This photo provided by LG Electronics Inc. on June 5, 2023, shows its video campaign to reduce the use of plastics via Times Square’s digital screen in New York.
SEOUL, June 5 (Korea Bizwire) — LG Electronics Inc. said Monday it has joined RE100, a global corporate initiative aimed at shifting to 100 percent renewable electricity to lessen the impacts of worsening climate change.
The move came after LG, one of the world’s biggest manufacturers of electronic devices, vowed in July last year to run its entire operations on 100 percent renewable energy in stages, 60 percent by 2030, 90 percent by 2040 and 100 percent by 2050.
In May 2019, the company committed itself to achieving net-zero carbon emissions from its global operations by 2030.
As part of its sustainability efforts, LG has been building a solar power station in LG Smart Park, a production base in the southeastern city of Changwon, jointly with local energy company, GS EPS, with the goal of completing construction in 2025.
LG said the station was partially completed in December, and has already gone into operation. The company also said it has been using self-produced electricity in manufacturing facilities and offices in Seoul, North America and India.
The South Korean tech firm has adopted a variety of strategies to go green, including installing solar panels on its buildings, utilizing Power Purchase Agreements (PPAs) that allow companies to purchase electricity directly from suppliers, utilizing Renewable Energy Credits (REC) and participating in the Green Premium program in Korea, LG’s home market to purchase clean energy directly from the Korea Electric Power Corporation.
According to the World Energy & Climate Statistics, South Korea’s share of renewables in electricity production stood at 8.6 percent in 2021, far lower than Japan at 22.3 percent.
Under the circumstances, businesses that vowed to commit themselves to switching to green energy resorted to RECs and other options, resulting in a rise in REC costs.
As of June 1, 1 REC, equivalent to 1,000 kW, cost 73,100 won, more than double the prices two years ago, according to Korea Power Exchange.
Samsung Electronics Co. admitted to difficulties in getting alternative renewable energy sources when announcing its plan in September to go carbon neutral by 2050.
“While RE100 is a meaningful campaign, it is also imposing a cost burden on local businesses,” Trade Minister Lee Chang-yang said last month. “We should review more realistic policies and system by utilizing carbon-free energy.”
(Yonhap)
