"Eco-friendly Design and Energy Reduction"... LG Electronics Increases Environmentally Conscious Buildings

[Asia Economy Reporter Su-yeon Woo] LG Electronics is increasing the establishment of eco-friendly buildings by designing new buildings to be environmentally friendly and reducing energy use in existing buildings.

LG Electronics announced on the 12th that the LG Electronics Research Building within LG Science Park located in Magok-dong, Gangseo-gu, Seoul, completed six buildings in the first phase in 2017 and is currently carrying out the second phase construction to add four more buildings. The second phase construction is expected to be completed in 2024.

The first phase buildings received an excellent grade in the Green Building Certification System (G-SEED), an eco-friendly building certification system led by the Ministry of Land, Infrastructure and Transport and the Ministry of Environment. The second phase buildings, which began construction this year, also received an excellent grade in the preliminary certification evaluated at the design stage under the Green Building Certification System.

Among the 530 billion KRW corporate bonds issued by LG Electronics in May, 190 billion KRW of green bonds will be used for the second phase buildings. Green bonds are bonds issued to raise funds for environmentally friendly projects, and these green bonds are LG Electronics' first ESG (Environmental, Social, and Governance) bonds issued.

LG Electronics North America New Headquarters Exterior / Photo by LG Electronics

LG Electronics' new North American headquarters, newly built in the first half of last year in New Jersey, USA, recently received the highest platinum grade in the LEED (Leadership in Energy & Environmental Design) certification system established by the U.S. Green Building Council. LEED, established in 1998 by the Green Building Council, is a global eco-friendly certification system. It evaluates buildings in four grades?platinum, gold, silver, and general?by analyzing the environmental impact of buildings from design to post-completion stages, including energy efficiency, water usage, and indoor environment.

The North American headquarters, in which LG Electronics invested a total of 300 million USD, is planned to be established on a site of approximately 110,000 square meters with a total floor area of 63,000 square meters. To protect the surrounding forests and wetlands, green spaces covering half of the total floor area were created, and more than 1,500 trees were planted around the new headquarters. The high-efficiency solar modules installed on the building’s rooftop generate electricity while helping reduce carbon emissions. The high-efficiency HVAC system applied throughout the building also reduces energy costs.

Additionally, the smart factory LG Electronics is building in Changwon, Gyeongsangnam-do, will be equipped with eco-friendly energy facilities such as energy storage systems (ESS) and high-efficiency HVAC systems. LG Electronics' automotive parts subsidiary ZKW uses the heat emitted by machines for building heating at its Krosovice factory in Slovakia, which manufactures headlamps and fog lamps. It also uses a high-efficiency heat exchanger to collect internal building heat to produce hot water. The facility located in Silao, Mexico, reduces energy use by applying high-efficiency HVAC systems and LED lighting.

LG Electronics is presenting a blueprint for the "home of the future" not only through its business sites but also through buildings that enhance energy utilization. The "LG ThinQ Home," built in Pangyo, Gyeonggi-do, with a total floor area of about 500 square meters over three above-ground floors and one basement floor, received the first-grade official certification as a zero-energy building certified by the Ministry of Land, Infrastructure and Transport in Korea.

Also, the Iberia branch, which oversees Spain and Portugal, established a Smart Green Home showroom and Smart Green Garden near its office in 2019 as part of the Smart Green Project. The solar modules, eco-friendly boilers, and home energy storage systems in the Smart Green Home increase the use of renewable energy and reduce carbon emissions. The 1,000 trees in the Smart Green Garden absorb about 200 tons of carbon dioxide annually.

LG Electronics has set the "Carbon Neutral 2030" goal for future generations and is strengthening ESG management. Carbon Neutral 2030 means reducing carbon emissions generated during the product production stage at global business sites by 50% compared to 2017 by 2030, while achieving carbon neutrality through carbon credits acquired from external carbon reduction activities.

An LG Electronics official emphasized, "While continuing investments in eco-friendly buildings, we plan to continuously introduce environmentally conscious products and services, such as reducing plastic use and using eco-friendly packaging materials."