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Climate Change Respons

GLOBAL LEADING
NET ZERO SHIPBUILDER

We ensure that climate change response activities are conducted according to optimal methods and procedures by developing carbon neutrality roadmaps, setting greenhouse gas reduction targets, and creating implementation plans. This involves assessing risks and opportunities based on climate change scenarios, as well as identifying greenhouse gas emission calculations and reduction tasks. We are exploring various measures to respond to domestic and international regulations, policy directions, and industry trends related to climate change, while collaborating with relevant business departments such as business planning and research development to address company-wide climate change-related transition and physical risks.

Carbon Neutrality Implementation Direction

Carbon Neutrality Reduction Path Setting

Establishing reduction paths through analysis of reduction scenarios¹ from international organizations related to climate/energy, considering demographics and economic development levels of countries where business sites are located

*1) IPCC's SSP 1~SSP 5, IEA's STEPS/ASP/NZE, etc.

Carbon Neutrality Roadmap Development

Establishing 2030, 2040, and 2050 targets based on analyzed scenarios, considering domestic and international climate change-related laws and regulations, market and technology development trends, customer requirements, implementation status in similar industries, and alignment with the company's business strategies

Carbon Neutrality Strategy Implementation and Review

Re-examining carbon emission reduction paths by implementing and identifying complementary measures according to key strategies such as energy efficiency and electrification, transition to low-carbon/zero-carbon fuels, introduction of renewable energy, and establishment of climate change response systems

Carbon Neutrality Implementation Strategies

Energy Efficiency and Electrification

We continually replace equipment used in construction processes (such as cranes, air compressors, and heaters) with high-efficiency models and optimize air usage through remote monitoring to prevent air leaks in the field. We're also converting gasoline and diesel vehicles operating within business sites to electric vehicles and replacing trial high-voltage equipment that currently uses fuel from oil with electricity.

Transition to Low-Carbon/Zero-Carbon Fuels

We will convert fossil fuel-based facilities and equipment, such as those using heavy oil and diesel, to renewable energy-based power or hydrogen energy-based systems. In line with the International Maritime Organization (IMO)'s 2050 carbon neutrality regulations for the shipping industry, greenhouse gas emissions from ship trials are expected to decrease as the industry transitions to low-carbon or zero-carbon fuel propulsion ships, utilizing ammonia, hydrogen, and electricity. We are contributing to greenhouse gas emission reduction by decreasing the frequency of quay and sea trial operations through trial operation simulations using digital twin technology.

Introduction of Renewable Energy

In line with our plans to achieve 100% renewable energy by 2050, we aim to expand the introduction of renewable energy self-generation facilities and increase external purchases and investments in renewable energy to convert grid power to renewable sources. We will build and operate solar and wind power generation facilities in areas with favorable renewable energy generation environments and conditions, and expand the direct use of generated renewable energy.

Establishing Climate Change Response Systems

To proactively respond to external environmental changes such as accelerating climate change and emerging regulations, we will pursue risk mitigation activities related to climate change while continuously identifying business opportunity factors. Additionally, to achieve carbon neutrality, we will explore efficient carbon reduction measures in cooperation with customers and supply chains throughout the value chain, and pursue highly effective external reduction projects to acquire carbon credits. Furthermore, detailed implementation matters related to the carbon neutrality roadmap, climate change risk mitigation, and opportunity identification will be transparently disclosed to stakeholders, based on domestic and international climate change-related information disclosure systems and guidelines, such as the TCFD.

Supporting Supplier Carbon Neutrality

HD Korea Shipbuilding & Offshore Engineering plans to support greenhouse gas emission reduction for small and medium-sized partners in the shipbuilding industry by participating in the "SME Carbon Neutrality Transition Support Project" organized by the Korea SMEs and Startups Agency. We aim to provide various support programs to SME partners, including equipment replacement, maintenance, and repair activity support, as well as carbon emission measurement and management solutions.

Greenhouse Gas Emission Management

HD Korea Shipbuilding & Offshore Engineering voluntarily calculates and manages its greenhouse gas emissions according to the domestic guidelines for calculating greenhouse gas emissions. To reduce greenhouse gases, we are enhancing energy usage management and continuously identifying and implementing energy-saving ideas through optimal heating and cooling operations, automatic shutdown of unnecessary lighting, automatic monitoring of power-saving mode conversion systems, and other measures to conserve energy.

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