Samsung Electronics Co. Ltd., a global leader in electronics, announced it was selected out of 500 FTSE companies to join the Carbon Disclosure Leadership Index (CDLI), ranking first in Asia and 10th out of 50 top global companies. Each year, the Carbon Disclosure Project (CDP) assesses corporate policies and activities companies engage in to respond to climate change.
The CDP held its Global CDP Forum on September 21 where they announced their findings for 2008. Samsung Electronics was the only Asian-based company included in the CDLI and one of only four IT companies selected overall.
Based in the UK, the CDP represents 475 institutional investors from around the world with combined assets under management in excess of $55 trillion. The CDP was established as a not-for-profit organization and project to research global corporations’ influence on climate change and the quality of their response to it. Since 2003, the organization has analyzed opportunities and crises associated with climate change, carbon emissions and reduction targets and current emission management among corporations. These results are tallied every September, followed by a presentation of the CDP’s Annual Global 500 Report.
The findings from the CDP also provide an evaluation tool for institutional investors to determine qualitatively how corporations are responding to global warming. Only the top 10 percent of the 500 corporations selected using the UK FTSE standard are included in the CDLI, showing they have a significantly higher benchmark and a stronger commitment to preventing climate change.
This year, Samsung Electronics devised a climate change response strategy by performing a detailed analysis of elements involving crises and opportunities regarding climate change. Several aspects of its program were received positively, including external verification of its carbon emissions, an analysis of financial implications of risks and opportunities from climate change, and the formulation of a holistic carbon emissions management system.
While presenting its green business vision and strategies in July, Samsung Electronics announced by 2013 it would reduce greenhouse gas emissions intensity normalized by sales from manufacturing facilities by 50 percent compared with their 2008 levels. Starting this year, Samsung will also improve its energy efficiency by 40 percent for the next five years, reducing greenhouse gas emissions from product use phase by 84 million tons.
“We are pleased that Samsung’s accomplishments with green business initiatives were acknowledged by the CDP report,” said Yoon-Woo Lee, Vice Chairman and CEO of Samsung Electronics. “Samsung is committed to sustainable business operations and will further embrace our corporate social responsibility to actively participate in solving the issues that face our environment.”
“Companies recognized in the Carbon Disclosure Leadership Index are rewarded for high quality responses to CDP, which demonstrate a good understanding of how climate change is impacting their business and how it will affect them in the future,” said Paul Dickinson, chief executive of the Carbon Disclosure Project. “Companies which control their risk today, while managing their emissions and seizing opportunities to produce low carbon goods and services, will find themselves in the best position to prosper in the low carbon economy of the future.”