KT&G has established a vision and strategy system for sustainable environmental management to create shared value for the company and stakeholders. To minimize negative environmental impacts in business operation and entire supply chain and to quickly shift into a circular economy, we have defined areas to be intensively managed. Notably, we intend to systematically manage GHG reduction, water, and waste control by setting mid-to-long-term goals considering the essence, urgency, and need for regulatory response by area.
Green Impact Pathway TCFD Report
Environment management implementation system
To minimize negative impacts from GHG emissions and strengthen the responsibility for emitting GHG throughout the value chain ranging from the supply chain to customers, KT&G has established mid-to-long-term goals following the SBTi (Science-Based Target Initiative) guidelines. By 2030, we aim to reduce GHG emissions by 20% compared to 2020 and further contribute to creating a low-carbon society by achieving the 2050 Net-zero policy in entire value chain.
Taking action against climate change
The amount of GHG emitted (at domestic and international facilities)
| year | The amount of GHG emitted (at domestic and international facilities) |
|---|---|
| 2019 | 114,809 |
| 2020 | 123,908 |
| 2021 | 120,516 |
The amount of energy consumed (at domestic and international facilities)
| year | The amount of energy consumed(at domestic and international facilities) |
|---|---|
| 2019 | 2,258 |
| 2020 | 2,448 |
| 2021 | 2,399 |
Developing long-term and medium-term strategies for reducing GHG by 2030.
-
Expanding LED lights at plants
Replacing the lights to LED in major plants to reduce power consumption and energy costs
-
Replace office fleet to electric vehicle
Replacing all company vehicles with EVs by participating in the K-EV100 (the project of supporting Korean Zero Emission Vehicle) project and expanding the infrastructure for charging
-
Improve internal process energy efficiency
Improving steam boiler operation, applying an inverter control to air compressors, replacing with high-efficiency utility facilities, introducing FEMS (Factory Energy Management System), etc.
-
Rooftop solar power generation
Reducing power consumption by generating Solar power from the manufacturing plant’s roof
-
Expand renewable energy
Facilitating the use of renewable energy using the K-RE100 support
-
Value chain-related external projects
Discovering items for reducing GHG related to CSR activities
-
Improving efficiency of dryers used in leaf tobacco farms
Reducing energy consumption by restoring and reusing the heat generated from drying leaf tobacco
Accelerating the transition to a circular economy
The volume of water taken in (at domestic and international facilities)
| year | Intensity of GHG emissions |
|---|---|
| 2019 | 772,392 |
| 2020 | 766,167 |
| 2021 | 743,323 |
The volume of waste materials discharged (at domestic and international facilities)
| year | Intensity of energy consumption |
|---|---|
| 2019 | 10,019 |
| 2020 | 11,509 |
| 2021 | 10,382 |
Reducing water consumption and increasing water reuse, as well as upgrading utilities
-
Water-saving infrastructure
Install water-saving shower heads, faucets, and toilets at approx. 873 locations & adjust water pressures
-
Boiler
Minimize wastewater by adopting the standard for boiler water quality control and a management process
-
Cooling tower
Improve condensate recovery rate by improving steam condensate water recovery pipe (Sintanjin)
-
Air Conditioner
Improve condensate recovery rate by improving steam condensate water recovery pipe (Gwangju)
-
Water Reuse
Direct reuse of wastewater treatment discharge water: reuse for dissolving chemicals and cleaning at wastewater treatment plants (Sintanjin, Yeongju, Gwangju, Gimcheon)
-
Others
Invented and pilot installed 1 high-pressure washer only for product cleaning (Sintanjin)
Developing long-term and medium-term strategies for reducing GHG by 2030.
-
Expanding LED lights at plants
Replacing the lights to LED in major plants to reduce power consumption and energy costs
-
Replace office fleet
to electric vehicleReplacing all company vehicles with EVs by participating in the K-EV100 (the project of supporting Korean Zero Emission Vehicle) project and expanding the infrastructure for charging
-
Improve internal process
energy efficiencyImproving steam boiler operation, applying an inverter control to air compressors, replacing with high-efficiency utility facilities, introducing FEMS (Factory Energy Management System), etc.
-
Rooftop solar power
generationReducing power consumption by generating Solar power from the manufacturing plant’s roof
-
Expand renewable energy
Facilitating the use of renewable energy using the K-RE100 support
-
Value chain-related
external projectsDiscovering items for reducing GHG related to CSR activities
-
Improving efficiency of dryers
used in leaf tobacco farmsReducing energy consumption by restoring and reusing the heat generated from drying leaf tobacco
Reducing water consumption and increasing water reuse, as well as upgrading utilities
-
Water-saving infrastructure
Install water-saving shower heads, faucets, and toilets at approx. 873 locations & adjust water pressures
-
Boiler
Minimize wastewater by adopting the standard for boiler water quality control and a management process
-
Cooling tower
Improve condensate recovery rate by improving steam condensate water recovery pipe (Sintanjin)
-
Air Conditioner
Improve condensate recovery rate by improving steam condensate water recovery pipe (Gwangju)
-
Water Reuse
Direct reuse of wastewater treatment discharge water: reuse for dissolving chemicals and cleaning at wastewater treatment plants (Sintanjin, Yeongju, Gwangju, Gimcheon)
-
Others
Invented and pilot installed 1 high-pressure washer only for product cleaning (Sintanjin)
Policy on sustainable products at KT&G
In order to strengthen the sustainability of KT&G's products, we implemented the 'Sustainable Product Policy' to establish an environmental management system from the product's planning and development stages beyond the facility's environmental management.
Here is a shortcut to the KT&G Sustainable Product Policy
