According to the United Nations Intergovernmental Panel on Climate Change, one-third of all existing life species will be at risk of extinction if current global average temperatures rise by 1.5 to 2.5 degrees Celsius.
This is one of the reasons why the international community agreed to limit global warming to below 2 degrees. Of critical importance is achieving a carbon neutral world. Carbon neutrality refers to a state where carbon dioxide emissions are effectively net zero, meaning the amount of carbon emitted is equal to that removed from the atmosphere.
A complete shift from fossil-based fuels to renewable energy sources like solar, wind and geothermal is considered to be a major step in saving the planet from the catastrophic effects of global warming including the possible extinction of many species.
With the World Environment Day (WED) coming up on June 5, it is time for businesses and brands to reflect on how their activities and products impact the environment. The theme of this year’s WED is ‘Ecosystem Restoration’ with focus being on making peace with nature by reversing the damage wrought by human activities on the environment.
This is not for governments alone. Individuals, communities and businesses have an important role in addressing climate change as part of ecosystem restoration.
The LG Zero Carbon 2030 initiative is a good example of a company responding to the climate change and other environmental challenges facing the planet. Through this initiative, LG is aiming to achieve net zero carbon emissions in all its global operations in twelve years starting 2019, through carbon reduction and renewable energy initiatives.
However, this requires a sustainable business strategy based on sound Environmental, Social and Governance (ESG) practices. Apart from pursuing environmentally-friendly practices, LG has been implementing a rigorous ESG program that entails reducing the environmental impact of its products, promoting a circular economy and establishing sustainable supply chains.
The company’s products feature core energy-saving technology to conserve use of water and energy. Using materials that are bio-degradable makes LG products easier to recycle thus minimizing both waste and e-waste. The company has also invested heavily in renewable energy-based technology such as solar to protect the planet by reducing harmful emissions.
ESG enables businesses to measure the real impact of their actions from an environmental, social and ethical perspectives. In short, with a robust ESG program, LG has been at the forefront of the global carbon reduction and clean energy agenda, paying attention to the multi-dimensional aspects of climate change and environmental degradation.
It is therefore not surprising that in the recent 2021 Carbon Clean 200 report by Corporate Knights, LG is ranked 13th among public-listed companies practising the highest level of eco-friendly management practices such as reduction of carbon emissions in production of goods and services. LG was also recognized for making energy-saving home appliances that meet this goal. Companies and brands cannot work in isolation in championing environmental causes. LG has harnessed the power of collaboration in promoting sustainability, the partnership with various companies to develop electric vehicle (EV) technology being a case in point.