SEOUL, Feb. 17 (Korea Bizwire) — Dutch pension fund APG said Thursday it has urged Samsung Electronics Co. and nine other South Korean companies that it has invested in to intensify efforts to reduce carbon emissions.
APG, the largest pension fund in the Netherlands, said it has sent a letter to major companies, including Samsung Electronics, SK hynix Inc. and LG Chem Ltd., urging them to conduct “ambitious climate and carbon reduction strategies and commitments.”
The pension fund called on them “to evaluate their existing climate change strategies and carbon reduction targets and make sure these are ‘sufficiently ambitious’,” APG said in a statement uploaded on its website.
According to APG, Samsung produced higher levels of carbon emissions relative to its annual revenue than its rival Apple in 2020.
It also said while SK Group vowed to cut 200 million tons of carbon emissions by 2030, a detailed plan still remained sketchy.
APG urged the companies to “communicate on their challenges related to climate change and the energy transition with long-term investors and to take their suggestions into careful consideration.”
“It is important for companies to demonstrate ‘consistent and decisive leadership’ in addressing climate change,” the fund added.
In response to APG’s request, Samsung Electronics said it was “doing various efforts to reduce carbon emissions in all work sites in the U.S., Europe and China,” such as using recycled plastic and adopting eco-conscious packaging.
Last year, the Dutch pension provider sold its stake in utility company Korea Electric Power Corp. over the state-backed firm’s lack of efforts to cut carbon emissions and fight against climate change.
South Korea set an ambitious goal of reducing greenhouse gas emissions to 40 percent of the 2018 levels by 2030. It is also pushing for reducing reliance on coal and eventually going carbon neutral by 2050.