On the 1st, LG Energy Solution unveiled its ESG (Environmental, Social, and Governance) vision of 'We CHARGE toward a better future' and a management strategy to achieve this vision.
'CHARGE' consists of 8 major ESG categories such as △Climate action and circular economy(C) △Human value management and human capital (H) △Advanced environmental health and safety (EH&S) and product responsibility(A) △Responsible supply chain management and shared growth/community effect(R), and it signifies four key areas of ESG promotion such as △Good governance and compliance(G) and △ESG disclosure and communication(E).
LG Energy Solution promotes seven core tasks consisting of △Setting and managing mid- to long-term greenhouse gas reduction goals △Achieving renewable energy conversion (RE100) △Establishing a global recycling business model △Managing diversity from a global perspective △Strengthening product eco-friendliness management system △Improving supply chain of ESG risk management system and △Reducing environment-related accidents on worksites.
Specifically, as a leading eco-friendly battery company, LG Energy Solution will actively promote energy efficiency enhancement through renewable energy conversion and process improvement, and implementation of high-efficiency facilities. After phasing out 960,000 tons of greenhouse gas emissions in 2019, it plans to achieve zero greenhouse gas emission by 2050.
In addition, by 2030, the electricity used by business sites around the world will be supplied with renewable energy. The company has already completed 100% conversion to renewable energy through the purchase of a Green Pricing and REC (Renewable Energy Certificate) for its Polish and US business sites. The domestic and Chinese business sites also plan to gradually increase the use of renewable energy.
The establishment of a virtuous cycle of resources at all global business sites will be completed by 2050. LG Energy Solution sold used and waste batteries to recycling companies in China and established a resource circulation system to manufacture cathode materials from core raw materials such as nickel and cobalt. In addition, it plans to increase the number of ESG partner groups to more than 90% and to secure 100% eco-friendliness of products by 2023.
Jong-hyun Kim, the president of LG Energy Solution, said, “ESG management is a new milestone for exploring new businesses and creating social values. Taking this year as the first year of ESG, we will accelerate ESG management which innovatively improves the livelihood of mankind.”
By Staff Reporter Jiwoong Kim (jw0316@etnews.com)