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PRODUCTION LEVEL GHG MANAGEMENT

 

GHG Emissions Management from Scope1 and 2

The Scope 1 and 2 emissions were verified according to "Greenhouse Gas and Energy Target Management Scheme Guideline" run by the Korean government and "LG Electronics Guidelines for Greenhouse gas inventory" which is based on the international ISO 14064-1 standard.


 

Scope 1 and 2 emissions breakdown

The scope 1 and 2 emissions breakdown data in 2012 were as below.


Third party verification

LGE had verified company's GHG emissions by Det Norske Veritas (DNV), Norway from 2007. The verification covers GHG emissions from scope 1 and 2 for all domestic production sites and overseas data from 2007 to 2012. Also, the 3rd party verification of GHG emissions from domestic leased buildings and commuting bus were completed from 2007 to 2012. The external verification of GHG emissions followed ISO 14064-1 and WBCSD/WRI GHG Protocols.
See details of Third party verification of Overseas Business Site.



GHG emissions reduction activities

LG Electronics reduced 102,000 tons of GHG emissions associated with production and contributed to reducing 21 million tons of GHG emissions associated with product use (compared to the energy consumption level of 2007)

  • · Facility/Operation Efficiency Improvement

    LGE was able to reduce about 20,000 tons GHG emissions in 2011 through activities such as cooling tower efficiency improvement (Plasma Display Panel production process), molding air compressor efficiency improvement (refrigerator parts production process), and air blowing pressure optimization.

  • · Investment in High Efficiency Equipment

    LGE was able to reduce about 30,000 tons of GHG emissions in 2011 by investing in high efficiency equipment such as automatic building energy control systems, small capacity boilers, high efficiency turbo air compressors, etc.

 

 

PRODUCT USAGE LEVEL GHG MANAGEMENT

In 2012, LGE contributed to reducing 29.65 million tons of GHG emissions associated with product use compared to the energy consumption level of 2007.

- Product Carbon Footprint Disclosure
LGE provides information of the carbon footprint of each product model and is voluntarily acquiring carbon labels.
For more information, visit PRODUCTS APPLICATION.

- Clean Development Mechanism (CDM)
LGE has been developing a CDM project in India to produce and sell the enhanced energy-efficient refrigerators by adopting advanced technologies.

See details of LGE's Clean Development Mechanism in India.

 

 

GHG EMISSIONS FOR BUSINESS TRAVEL

LGE manages GHG emissions from leased vehicles (for employee commutes) and business trips starting 2008. The total GHG emissions associated with employees' business trips were approximately 72,400 tons in 2012. LGE is working to reduce emissions from employees' business trips by increasing the use of video conferencing and by promoting rail transportation.

 



THIRD PARTY VERIFICATION

GHG emissions from employees business travel had verified from 2008 to 2012. The external verification of GHG emissions followed ISO 14064-1 and WBCSD/WRI GHG Protocols.
See details of Third Party Verification of Business Travel.



SUPPORT FOR SUPPLIER'S GHG MANAGEMENT

In 2010, LG Electronics established and announced a plan to expand its low-carbon procurement. Based on the plan, we will expand our annual purchase from suppliers that implement sustainable GHG reduction plans up to KRW 50 trillion by 2020. To this end, we provide and continually expand support to suppliers to strengthen their GHG management capacity (i.e. GHG management training and assistance for GHG inventory/monitoring system setup) and plan to provide GHG management tools and guidelines. In 2011, LG Electronics signed an MOU with Industrial Bank of Korea (IBK) for "Green and Shared Growth" and helps suppliers set up a green management framework and GHG inventory (14 and 13 companies in 2011 and 2012, respectively). In 2012, we also joined the Korean government funded project "Small, Medium and Large Green Partnership" and supported 10 small and medium sized enterprises in GHG inventory setup. We plan to provide the same support to 23 companies in 2013.

 

OFFICE BUILDING GHG MANAGEMENT

Since 2008, LG Electronics has managed GHG emissions from office buildings in Korea. In 2012, a total of 9,377 tons of GHG was emitted from LGE's office buildings, including the leased office spaces that house more than 100 fulltime employees (Twin Towers and Seoul Square in Korea). Following the announcement of our U.S. subsidiary (LGEUS) in 2011, our European subsidiaries also announced a plan in 2012 to reduce 15% of GHG emissions from their office buildings by 2020 from the base year 2008. Our European subsidiaries plan to achieve the target by using electricity generated with renewable energy sources.

 

GREENER LOGISTICS

LGE has set a target to reduce GHG emissions from logistics activities (Korea) by 1% on an annual basis compared to the distance traveled per unit weight carried from the previous year. The total GHG emissions from logistics activities in Korea was 42,344 tons in 2012. LGE plans to create a greener logistics system with transport system innovation, energy use optimization and a green logistics IT system.

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