Lenovo 2015 Annual Report Download - page 112

110 Lenovo Group Limited 2014/15 Annual Report
CORPORATE SOCIAL RESPONSIBILITY REPORT
Our second milestone to reduce Scope 2 emissions by 13 percent relative to FY 2009/10 and offset or eliminate
all Scope 1 emissions was achieved on target by March 31, 2013. We accomplished this by implementing energy
efficiency projects, installing a solar array at the manufacturing plant in Shanghai, China and purchasing Renewable
Energy Credits (RECs) and carbon offsets.
In FY 2014/15, Lenovo continued our progress in reducing our greenhouse gas emissions. We achieved a 1
percent reduction in global Scope 2 GHG emissions relative to the previous fiscal year and carbon balanced 100
percent of Scope 1 GHG emissions. We implemented several energy efficiency projects (lighting improvements in
Beijing, Shanghai, Wuhan, Huiyang, Chengdu and Hefei China; AC upgrades and improvements in Chengdu, Hefei
and Shanghai, China; low energy lighting in Medion, Germany; light sensor installation in Morrisville, NC, USA;
and equipment efficiency improvements in Huiyang and Shenzhen, China); used renewable energy (solar array in
Shanghai, China; hot water solar system in Huiyang, China and solar lamps in Beijing, China) and purchased carbon
offsets (80,000 MT CO2e) from carbon offsets projects located in China and RECs from renewable projects in the
United States (15,000 MWh).
Since October 2013, Lenovo’s Beijing sites have been participating in an emissions trading system in Beijing,
China. Lenovo is closely monitoring other provinces where this trading program has been imposed since our sites
in Shanghai, Shenzhen, Huiyang and Wuhan could be impacted in the future. Lenovo is working on establishing a
comprehensive energy system for its Beijing sites to minimize the amount of carbon emissions allowances we must
purchase.
Detailed performance relative to FY 2014/15 energy and GHG emissions targets will be available in the Sustainability
Report later this year.
For additional details on Lenovo’s GHG emissions inventory and management, see Lenovo’s Sustainability Reports
and Climate Change website at http://www.lenovo.com/climate.
While we have demonstrated good progress during the early stages of our ten-year GHG reduction commitment,
we are keenly aware there is still much to be done. In light of our impressive growth, we realize that accomplishing
our longer term goals will be a significant challenge. With a continued focus on energy efficiency, Lenovo’s Global
Energy Management teams continue to work to identify and implement energy reduction, renewable energy and
carbon offset opportunities that provide the most cost-effective path to meeting our targets.
In May 2014, Lenovo’s Board of Directors and Executive Committee (LEC) acted to increase Lenovo’s climate
change reduction targets from a 20 percent reduction goal relative to FY 2009/10 to a 40 percent reduction goal by
FY 2020/21. Since then we have been evaluating this increased reduction goal and investigating combinations of
investment in onsite renewable generation, energy efficiency and renewable energy credits or offsets that will align
with Lenovo’s business strategy and goals.
Lenovo continued efforts to improve its ability to quantify, track, and mitigate the impacts of its supply chain and
products. During FY 2014/15 we drove efforts on supplier environmental data transparency, reduction and reporting
in EICC tools. Lenovo’s suppliers have achieved overall greenhouse gas emissions reductions even though Lenovo’s
business volumes are growing significantly annually, and we have a very high level of suppliers with public reduction
goals and third-party verification. Lenovo will establish formal GHG quantitative reduction goals for suppliers in FY
2015/16. For water usage and waste generation, we have established baselines on quantities and public reduction
goals.