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From reduction to neutrality
Our choices today shape the environment of tomorrow. LG Electronics aims to achieve carbon neutrality by 2030 by transforming its business operation model and presenting a sustainable direction for future business through a full transition to 100% renewable energy.
LG Electronics is planning to accomplish carbon neutrality by using renewable energy.
Achieve a 54.6% greenhouse gases reduction by 2030 compared to 2017 base year.(Based on SBTi)
By 2030, LG Electronics plans to reduce greenhouse gas emissions through production process improvements, the adoption of energy-saving technologies, and the use of renewable energy, while achieving carbon neutrality through external GHG reduction projects.
A chart showing 55% in 2023, 53% in 2024, and a 100% carbon neutrality target for 2030.
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2023
55%
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2024
53%
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Carbon
neutrality2030 Target
100%
Achieve a 20% greenhouse gases reduction per functional unit across key product lines - TVs, monitors, refrigerators, washing machines, dryers and air conditioners(residential and system)1) by 2030 compared to 2020 base year.(Based on SBTi)
LG Electronics is actively reducing greenhouse gas emissions during the product use phase by developing high-efficiency products, supported by detailed energy efficiency targets and action plans for each product line.
1) Key product lines - TVs, monitors, refrigerators, washing machines, dryers and air conditioners(residential and system)
This chart compares performance and targets for carbon emission reduction during the product use phase. The reduction rate increased from 11.8% in 2023 to 19.4% in 2024, with a target of achieving a 20.0% reduction by 2030.
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2023
11.8% -
2024
19.4% -
2030 Target
20.0%
Achieving 100% Renewables by 2050.
Carbon neutral strategy
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30% improvement in energy efficiency
Introduction of high-efficiency energy facilities
LG Smart Park in Changwon, selected as a WEF "Lighthouse Factory," has improved energy efficiency by 30% compared to conventional factories through advanced solutions such as ESS (Energy Storage System) and BECON (Building Energy Control).*
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100% recovery and purification of waste refrigerant
Investment in refrigerant recovery facilities (Changwon plant)
By introducing a recovery and purification system for waste refrigerants, we're recovering waste refrigerant, equal to 45,000 tCO2e every year, which were emitted into the atmosphere. Waste refrigerants are generated from air-conditioner compressors with defects and malfunctions.
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GHG emissions reduction in product life cycle
Development and expansion of energy-efficient products
We promote environmental improvements through product lightweighting, resource conservation, and enhanced energy efficiency. In addition, we reduce carbon emissions during the product usage stage by developing and selling energy-efficient products, and we further expand the launch of products equipped with high-efficiency energy technologies.
Establishment of strategic energy management systems
Based on the Technology Road Map (TRM), we establish and implement detailed energy efficiency goals and action plans for each product. We also comply with global energy regulations, including Energy-related Products (ErP), while setting internal energy-related targets and developing detailed implementation strategies.
Lighthouse Factory
Lighting the path toward sustainability
A Lighthouse Factory is a top-tier model of global smart manufacturing selected by the World Economic Forum (WEF) since 2018. As its name suggests, it serves as a "lighthouse" for the manufacturing sector, guiding other companies toward pathways of innovation.
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Changwon | Republic of KoreaLG Electronics Smart Park: The first Lighthouse Factory in the home appliance industry
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Tennessee | United StatesLG Electronics Tennessee Plant: The first Lighthouse Factory in the U.S. home appliance industry
Renewable energy
LG Electronics has established and is implementing a mid- to long-term plan to achieve 100% renewable energy usage. LG Electronics is reviewing and applying the most eligible implementation options considering regional conditions, including participation in green pricing programs, the purchasing EAC (Energy Attribute Certificate), and PPA (Power Purchase Agreements).
Transition to 100% renewable energy by 2050 (RE100)
- Establishment of a mid- to long-term plan to achieve the transition to 100% renewable energy
- Expansion of renewable energy transition, considering local laws and site conditions in the countries where LG manufacturing sites of LG Electronics are located
- Reviewing applicable options such as PPAs, the purchasing EACs (Energy Attribute Certificates), and green pricing programs for renewable energy procurement
Global renewable energy expansion performance and plan
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Roadmap for achieving RE100
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Renewable energy
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Conversion rate of renewable electricity
A mixed chart showing LG Electronics' annual renewable energy transition roadmap toward RE100. Renewable energy (GWh) increases from 225 GWh in 2025 to 290 GWh in 2026, 376 GWh in 2027, 445 GWh in 2028, 565 GWh in 2029, 826 GWh in 2030, 1,450 GWh in 2040, and 1,976 GWh in 2050. The renewable energy transition rate targets rise from 19% in 2025 to 24% in 2026, 30% in 2027, 35% in 2028, 43% in 2029, 62% in 2030, 90% in 2040, and 100% by 2050.
Year Conversion rate of renewable electricity (%) Renewable energy (GWh) 2025 19% 225 2026 24% 290 2027 30% 376 2028 35% 445 2029 43% 565 2030 62% 826 2040 90% 1,450 2050 100% 1,976 -
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PPA (Power Purchase Agreements)
Unit: GWhA line chart showing LG Electronics' annual PPA (Power Purchase Agreement) performance (unit: GWh). 38 GWh in 2022, 56 GWh in 2023, 104 GWh in 2024, and 195 GWh in 2025.
Year PPA (GWh) 2022 38 2023 56 2024 104 2025 195
Renewable energy implementation status
A world map showing locations where renewable energy implementation information can be accessed, with markers placed on the USA, Brazil, Poland, Türkiye, Thailand, China, and Korea.
Global
- In progress RE100
- Achieved RE100
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Changwon Smart Park1
Utilized 2.3 MW of renewable electricity through Korea's 1st off-grid PPA and 3.2MW of solar power through on site PPA.
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Changwon Smart Park2
Implement 2 MW of solar power through on-site PPA
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Pyeongtaek Digital Park
Introduced 1.4 MW of solar power generation
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Tianjin
Implement 14 MW of solar power through on-site PPA
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Taizhou
Implement 10.58 MW of solar power through on-site PPA
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Nanjing
Implemented 6.7 MW of solar power through on-site PPA
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Huizhou
Implemented 3.2 MW of solar power through off-site PPA
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Achieved RE100
Clarksville (Tennessee)
Purchased renewable energy certificates for 100% of electricity consumption
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Achieved RE100
Huntsville (Alabama)
Purchased renewable energy certificates for 100% of electricity consumption
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Achieved RE100
Manaus
Transitioned to 100% renewable energy (Hydropower) through off-site PPA
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Achieved RE100
Mlawa
Transition to 100% renewable energy through off-site PPA
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Achieved RE100
Istanbul
Purchased renewable energy certificates for 100% of electricity consumption
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Rayong
Implement 7.4 MW of solar power through PPA
* As of 2025
Global greenhouse gas management
LG Electronics transparently measures and systematically manages greenhouse gas (GHG) emissions, integrating them with financial value to achieve its carbon neutrality goals.
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Measurement, reporting, and verification of GHG emissions
LG Electronics established a GHG inventory encompassing global production sites and the entire value chain (Scope 1, 2, and 3), and transparently discloses GHG emissions annually.
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Energy management systems
LG Electronics maintains ISO 50001 certification for all production sites and operates the Corporate Carbon Management System (CCMS) to monitor global energy use monthly.
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Carbon accounting and internal carbon pricing
LG Electronics tracks carbon allowances and actual emissions quarterly, applies internal carbon pricing to evaluate risks and opportunities, and supports investment decisions for GHG reduction.
Global GHG emissions
Scope 1 & 2
| Category | Detailed Criteria | Region | Unit | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|---|
| Direct GHC emissions (Scope 1) | - | Korea | tCO₂eq | 109,942 | 74,773 | 77,452 |
| Overseas | 155,307 | 134,174 | 147,811 | |||
| Total | 265,249 | 208,947 | 225,263 | |||
| Indirect GHC emissions (Scope 2) | Location-based | Korea | 224,703 | 218,586 | 225,984 | |
| Overseas | 471,228 | 491,841 | 535,808 | |||
| Total | 695,931 | 710,427 | 761,792 | |||
| Market-based | Korea | 224,496 | 217,159 | 225,984 | ||
| Overseas | 437,816 | 448,125 | 455,329 | |||
| Total | 662,312 | 665,284 | 681,313 | |||
| Total GHG emissions (Scope 1 + Scope 2) | Location-based | Korea + Overseas |
961,180 | 919,374 | 987,055 | |
| Market-based | 927,561 | 874,231 | 906,576 | |||
| GHG emissions (Scope 1 + Scope 2) target | Market-based | 1,053,000 | 923,000 | 919,600 | ||
| GHG emissions intensity (per unit) | Market-based |
tCO₂eq / USD million |
1.12 | 1.06 | 1.03 |
Scope 3
| Category | Unit | 2022 | 2023 | 2024 | |||
|---|---|---|---|---|---|---|---|
| Category | Materiality | Coverage | Unit | 2022 | 2023 | 2024 | |
| Category 1 | Purchased goods and services | H | Tier 1 suppliers within 90% of total purchase value | tCO₂eq | 2,735,782 | 2,712,121 | 2,468,350 |
| Category 2 | Capital goods | L | Tangible fixed assets newly acquired during the reporting year | - | 400,997 | 287,860 | |
| Category 3 | Fuel / Energy-related Activities | L | Fuel and energy used in operations, excluding Scope 1 and 2 | - | 135,070 | 151,474 | |
| Category 4 | Upstream transportation and distribution | H | Inbound parts based on 2023 volume (excluding missing and outlier data (3.5%)) + product distribution (including 90% or more) | - | 826,753 | 1,363,300 | |
| Category 5 | Waste generated in operations | L | Total waste generated domestically and overseas | - | 12,769 | 10,588 | |
| Category 6 | Business travel | L | More than 95% of business travel data | 19,746 | 46,073 | 78,307 | |
| Category 7 | Employee commuting | L | All employees | - | 78,055 | 82,500 | |
| Category 8 | Upstream leased assets | L | All leased assets | - | 65,377 | 90,795 | |
| Category 9 | Downstream transportation and distribution | L | - | - | - | - | |
| Category 10 | Processing of sold products | L | All intermediate products | - | 37,810 | 39,239 | |
| Category 11 | Use of sold products | H |
Excluding categories with <1% of sales or emissions (based on 2021 SBTi registration) 7 major finished goods (home air conditioners, system air conditioners, TVs, monitors, washing machines, refrigerators, dryers) |
61,082,416 | 61,207,842 | 65,061,927 | |
| Category 12 | End-of-life treatment of sold products | H | - | 1,153,377 | 1,220,204 | ||
| Category 13 | Downstream leased assets | L | All rental properties | - | 3,005 | 3,005 | |
| Category 14 | Franchises | L | Not applicable | Not applicable | Not applicable | Not applicable | |
| Category 15 | Investments | H | Subsidiaries, associates, and joint ventures not included in Scope 1 and 2 | - | 2,482,319 | 1,902,052 | |
| Total GHG emissions (Scope 3) | tCO₂eq | 63,837,944 | 69,161,568 | 72,759,601 | |||
* LG Electronics calculates and discloses all 15 Scope 3 categories
Explore more
LG Electronics Smart Park in Changwon was recognized in 2022 as the home appliance industry’s first “Lighthouse Factory” in Korea, earning international recognition. The facility strongly has implemented various initiatives to minimize environmental impact. These include greenhouse gas reduction, waste heat recovery—resulting in an impressive 30% reduction in energy consumption.
In collaboration with GS EPS, the facility is also installing rooftop solar panels to help achieve renewable energy targets. By 2025, approximately 10,000 solar panels will be produced and installed, generating more than 10% of the site's annual electricity consumption. This ambitious project is expected to reduce greenhouse gas emissions by about 3,000 tons per year—the equivalent of planting 20,000 trees annually.
Furthermore, the factory employs an Energy Storage System (ESS) to reduce peak loads by efficiently storing electricity during off-peak hours and discharging it when demand is high. In partnership with Korea East-West Power, this initiative not only reduces electricity costs but also contributes significantly to cutting greenhouse gas emissions. By optimizing energy use during low-rate nighttime hours, the system is projected to achieve cumulative cost savings of approximately KRW 77.4 billion over 15 years. The ESS can also replace up to 15% of daily electricity consumption, further strengthening LG Electronics' commitment to sustainability.
LG Electronics Tennessee plant has been honored with the prestigious designation of a “Lighthouse Factory” by the World Economic Forum (WEF), marking the first recognition of its kind among home appliance manufacturing facilities in the United States. The plant adopts advanced technologies and automated processes to primarily produce washing machines and dryers. Leveraging cutting-edge digital systems—including AI, big data, IoT, and robotics—it has established an agile local production system capable of responding swiftly to market demand.
The Tennessee plant features a fully automated logistics system in which 166 automated guided vehicles (AGVs) and robots perform complex operational tasks. Its achievements in the environmental domain are particularly notable. Since 2021, the plant has operated entirely on renewable energy, resulting in a remarkable 63% reduction in carbon emissions. In addition, the plant has adopted BECON*, an advanced building energy control solution, to maximize energy efficiency across electricity, steam, and heat supply systems. Completed in 2018, the plant stands as a symbolic representation of LG Electronics’ unparalleled manufacturing competitiveness and its strong commitment to leading the future of global manufacturing.
* BECON provides real-time access to energy information, enabling control and optimization tailored to each facility’s unique conditions, equipment, and environment.