John Lim "Strengthening Efforts to Overcome Climate Crisis... Realizing Carbon Neutrality through Active Participation in SMI"
[Asia Economy Reporter Myunghwan Lee] Samsung Biologics announced on the 11th that it has acquired the "Terra Carta Seal," part of the "Sustainable Markets Initiative" (SMI) led by the British royal family to address climate change.
Terra Carta, promoted by King Charles III of the United Kingdom in 2021, is an environmental version of the Magna Carta, the British Great Charter symbolizing human freedom. It contains recommendations that companies worldwide should follow for a sustainable future, encouraging investments in major challenges such as the climate crisis.
SMI annually awards the Terra Carta Seal to companies that present roadmaps to achieve carbon neutrality by 2050, in collaboration with the Canadian economic magazine Corporate Knights. This year, 19 companies including Apple, GSK, and Sanofi were included in the list of awardees. Samsung Biologics is the only contract development and manufacturing organization (CDMO) company within the SMI's "Healthcare System Taskforce" and serves as the chair in the supply chain sector, working on plans to reduce carbon emissions across the supply chain.
John Rim, President of Samsung Biologics, stated, "Samsung Biologics will strengthen efforts to overcome global challenges such as the climate crisis by obtaining the Terra Carta Seal certification. In particular, through participation in SMI, we will actively cooperate with member companies to reduce greenhouse gas emissions and realize carbon neutrality."
Brian Moynihan, Co-Chair of SMI, said, "SMI unites CEOs under the shared goal of accelerating the realization of a sustainable future. Congratulations to the companies awarded the 2022 Terra Carta Seal in recognition of their efforts to create sustainable markets."
Meanwhile, Samsung Biologics plans to achieve carbon neutrality in its workplaces and supply chain by 2050. First, it intends to actively adopt new technologies to transition to low-carbon and energy-efficient workplaces. In September, it established a Factory Energy Management System (FEMS) to reduce greenhouse gas emissions and improve energy efficiency at its plants.
Additionally, Samsung Biologics became the first pharmaceutical and bio company in Korea to join the "RE100" initiative, which commits to sourcing 100% of corporate electricity from renewable energy. To achieve RE100, it will prioritize reducing electricity consumption by improving energy efficiency at workplaces, expand self-generation facilities such as solar power installations at existing and new plants, and actively introduce externally generated renewable energy. The company also plans to convert workplace vehicles to eco-friendly options such as electric and hydrogen vehicles.
Furthermore, Samsung Biologics has set a goal to achieve carbon neutrality in its supply chain by 2050. To accomplish this in the supply chain sector, which accounts for over 80% of other indirect emissions (Scope 3), it plans to establish initiatives with key suppliers and continuously identify and implement various reduction tasks.
Samsung Biologics' sustainability management efforts have been recognized by its inclusion in the Dow Jones Sustainability World Index, a global ESG representative evaluation index, for two consecutive years. It also received an overall "A grade" for two consecutive years in the "2022 ESG Evaluation and Rating Announcement for Listed Companies" published by the Korea ESG Standards Institute.
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