LG CHEM, Chosen by EBRD as the winner of the Gold Award for Sustainable Management
■ LG Chem Poland Plant, Contributing to the annual reduction of 1 million tons of CO2 emissions.
- Expected to reach the world’s largest production capacity of 65GWh within this year, which will allow it to supply 1 million electric vehicles
LG Chem Poland Plant has been firmly accredited as a model case for sustainable management.
In respect of this, on the 10th, LG Chem has announced that it won the Gold Award for ‘Sustainable Energy Category’ in the Sustainability Awards conducted by the EBRD, a European financial institution, on an annual basis.
* EBRD: European Bank for Reconstruction and Development
LG Chem has been recognized for making outstanding contributions towards supplying electric vehicles in Europe as well as improving the environment at the same time. LG Chem is planning to ensure that its electric vehicle battery plant in Poland will reach a production capacity of 65GWh or above by the end of this year, which is the world’s largest production capacity as a single plant and will allow it to supply 1 million high performance pure electric vehicles per year.
1 million vehicles are 6% of the overall cars (gasoline, diesel or electric vehicles, etc.) sold in Europe, and in fact if a 65GWh battery is installed in an electric vehicle, it will contribute to the annual reduction of over 1 million tons of CO2 emissions.
The European Union has recently introduced a stricter CO2 emission standard by reducing its average CO2 emission level from 130g/km to 95g/km. A penalty of €95 for each g/km of excess emissions per vehicle will be imposed. It has also declared its aim to be carbon neutral by 2050 and raised its target for cutting greenhouse gas emission, setting a reduction goal of 55% by 2030 compared to the 1990 target of 40%.
The EBRD has been conducting the ‘Sustainability Awards’ annually by selecting business entities that demonstrate outstanding achievements in sustainable management among projects financed by the EBRD itself.
The Sustainability Awards select winners for gold (best), silver and bronze awards respectively in five specific categories in total (Sustainable Energy, Climate Resilience, Environmental and Social Practice, Environmental and Social Innovation, Gender and economic Inclusion) and this year, a total of 16 entities were finally selected from 47 nominees.
Generally, the winning entities are invited to an annual general meeting of the EBRD and receive awards at a separate ceremony, however this year, the ceremony was conducted online due to Covid-19.
■ Electric vehicle battery plants, Environment-friendly production
In addition to this, LG Chem also secures power for operating plants with renewable energy and engages in sustainable management activities in every direction.
LG Chem Poland Plant has been using 100% renewable energy since 2019 and its Michigan Plant in the U.S. has also started to use 100% renewable energy since July, 2020. Also, Its Ochang Plant in Korea and Nanjing Plant in China will adopt 100% renewable energy by 2025.
LG Chem declared ‘Carbon-Neutral Growth 2050’ for the first time in the domestic chemical industry, and it is also the first Korean company to push for RE100 (Renewable Energy 100) in all operations across the world. RE100 means producing products only with 100% renewable energy
Furthermore, LG Chem takes the initiative in establishing the economic cycle system such as recycling discarded batteries and actively participates in the management of responsible supply networks by expanding due diligence conducted on supply networks through an external institution even including raw materials for batteries such as cobalt.