Management Approach to Climate Strategy
On the path to creating the“ mobility value,” Yulon Motor expects itself to contribute to the earth and environment. On top of compliance with the environmental policy of the government, we also put the environmental management policy into practice and set the goals for short-, mid- and long-term environmental performance. By setting relevant specific performance goals, we implement climate change risk management and promote energy saving and carbon reduction.
We evaluate the possibility, level and difficulty in quantification of impacts related to climate and set a linearly decreasing goal for the GHG reduction. We will reach the milestone of 2050 net-zero emissions with the climate response strategies, such as energy saving and emissions reduction, circulation and reuse, increase of renewable energy use and transition to smart electrification.
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2023-2024
Short-term
- Greenhouse gas emissions to be reduced by 4.2%/year
- Waste usage to be reduced by 30%/year
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2025-2026
Medium-term
- Greenhouse gas emissions to be reduced by 4.2%/year
- To complete the deployment of 20.2MW solar power capacity in 2025 and reduce 10% water usage/year
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after 2027
Long-term
- Greenhouse gas emissions to be reduced by 50% by 2030
- 100% electrification of vehicles in the plant by 2030
- To participate in EV100 and RE100 in 2030
Net-zero carbon emissions by 2050
Responsible unit：ESG Committee, Sluggish Material and Scrap Committee, Direct and Indirect Material Committee, Water Resource Management Committee, Energy Saving Committee
Achievement in the previous year
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GHG emissions reduction
2%yearGoals of the previous year
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Reduced GHG emissions
2%yearAchievement
Specific actions
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Obtained the statement for ISO 14064-1 greenhouse gas verification certification
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Solar power equipment with a maximum capacity of 11MW has been installed until 2022
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Vehicle electrification
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Zero-waste resource circulation
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Manufacturing process improvement and equipment efficiency enhancement
Climate Management strategy
We are extremely concerned about climate impact, so we regard the net zero emissions by 2050 as our important goal for environmental sustainability. We place our focus on the topic of emissions of the value chain, and by applying the approach of the Science Based Targets (SBTs) and the advice from external experts, we adopt the management process covering strategy, goals and actions and take action to reduce the scope 1 and scope 2 GHG emissions. Our energy conservation and emission reduction measures include process improvement and introduction of digital energy-saving management system, improvement of equipment efficiency and introduction of digital electronic billboards, electrification of official vehicles, waste reduction and recycling, etc., and we also add the strategic axes such as the use of renewable energy, transit and upgrade to smart electric vehicle manufacturing, and forest carbon sink. We review the achievement progress of the GHG emissions goal at regular ESG meetings and plan the incorporation of carbon rights into the carbon reduction policy. We subsequently allocate the carbon rights based on the result of carbon reduction to foster a carbon reduction mechanism and attain the best allotment of resources.
2021 is the base year for the calculation of reduction
E.SUN Initiative
We have supported the industry transformation to environmental sustainability with practical actions, including committing to the deployment of green energy (solar energy) and the development of environment friendly EVs, facilitating tree planting and greening at the plant campus and increasing the proportion of green energy usage, to echo the“ E.SUN ESG and Sustainability Initiative.” Currently, there are 52 key suppliers who signed the Corporate Social Responsibility Code of Conduct, and we have guided our suppliers to introduce carbon neutral and become a green supplier.
