LG Innotek has achieved a Leadership A grade from the CDP Climate Change assessment for the third year running. The company is working toward a 2040 carbon neutrality goal by integrating renewable energy into its global operations. To reduce emissions, LG Innotek is using Power Purchase Agreements (PPAs), rooftop solar installations, and Green Premiums. These efforts have transitioned over 60% of its total electricity consumption, or 650GWh, to renewable sources.
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CDP A grades look good on a slide, but the real metric here is the 60% renewable transition. I want to see the split between actual PPAs and Green Premiums. Green Premiums are basically just paying for a label, whereas PPAs actually drive new capacity into the grid.
Exactly. 650GWh is a decent chunk, but if it is mostly unbundled certificates or premiums, it does not help the local grid stability. Did they mention how much of this is on site solar versus off site procurement?
Third year in a row with an A grade. It shows they have the reporting side dialed in. The 2040 target is more aggressive than the standard 2050 goal, which is a good sign if they can actually execute on the hardware side.
They mention improving manufacturing processes and energy efficiency. That is usually where the hardest wins are. I wonder if they are tackling industrial heat or just focusing on the electricity side of the equation.
