LG Innotek Accelerates RE100 Achievement... Direct Power Purchase Agreement with SK E&S

Annual 10MW Renewable Energy Direct Power Purchase Agreement (PPA)
"Annual 6000t Greenhouse Gas Reduction... Equivalent to Planting 900,000 Pine Trees"
Concurrent REC Purchase... Accelerating '2030 RE100' Implementation Roadmap

LG Innotek announced on the 23rd that it has signed a Power Purchase Agreement (PPA) with SK E&S. This is to achieve the goal of RE100 (100% renewable energy usage) by 2030. A direct PPA is a contract for direct trading of renewable energy between power suppliers and companies. By signing the contract, renewable energy can be stably procured for up to 20 years without changes in rates.

Through this contract, LG Innotek will stably receive about 10 MW of renewable energy annually for the next 20 years. The renewable energy purchased from SK E&S will first be supplied to LG Innotek's Gumi plant starting this December. The company plans to expand the renewable energy supply to other business sites by next year.

LG Innotek explained that about 90% of the company's greenhouse gas emissions last year came from electricity. It is expected that this contract will reduce greenhouse gas emissions by 6,000 tons annually. This effect is considered equivalent to planting 900,000 pine trees. Park Young-soo, head of LG Innotek's Safety and Environment Department, said, "This PPA with SK E&S is especially meaningful as it marks a decisive step in the '2030 RE100' implementation roadmap."

On the afternoon of the 22nd, Park Young-su, Head of Safety and Environment at LG Innotek (right), and Seo Geon-gi, Head of SK E&S Renewables Division, attended the signing ceremony for the Renewable Energy Power Purchase Agreement (PPA) held at the SK E&S headquarters in Jongno-gu, Seoul.
[Photo by LG Innotek]

LG Innotek joined the RE100 initiative last year. The membership requirement is to achieve RE100 by 2050, but LG Innotek stated that it will realize the goal at all domestic and overseas business sites by 2030. Last year, it achieved a renewable energy transition rate of 22% (RE22) through Korea Electric Power Corporation's Green Premium tariff, and self-generated solar power facilities installed at the Gumi, Magok, and Paju plants.

LG Innotek plans to purchase Renewable Energy Certificates (REC) alongside the direct PPA. This strategy aims to additionally secure a stable renewable energy supply chain.

Park said, "LG Innotek will continue its efforts to transition to renewable energy as a leading ESG management company providing differentiated customer value." Seokun-gi, head of SK E&S's Renewables division, said, "We are pleased to join LG Innotek on its global RE100 implementation and greenhouse gas reduction journey," adding, "We will continue to be a reliable partner for domestic companies striving for renewable energy transition."

This content was produced with the assistance of AI translation services.