LG Group said it would push green energy business forward on a strategy titled “Green New Business.”
Under the plan, the country’s second-biggest conglomerate aims to generate 10 trillion won ($8.5 billion) in revenue from green business by 2015, and become a leader in the electric vehicle parts, photovoltaic, and sewage treatment sectors. LG said it will invest about 8 trillion won in green projects by 2015.
LG, which posted 1.5 trillion in revenue from green business last year, expects the revenue to grow to 3 trillion by the end of 2011 and 10 trillion by 2015.
LG previously mapped out a masterplan, “Green 2020,” and the latest initiative is part of the broader plan.
The announcement came after it had set the green energy business as its new growth project in the coming years.
LG said its affiliates would partner with as many as 660 small- and medium-size companies to push forward with the plan that would also create 10,000 new jobs by 2015. LG said it has already partnered with 17 firms for joint research.
LG said it will invest a total of 100 billion won to promising business partners for their research and development in the next five years.
LG Chem produced electric batteries that could serve up to 100,000 vehicles last year.
By 2013, the supply will rise to power 350,000 vehicles, which is equivalent to a quarter of the total demand in the electric car industry worldwide, LG said.
For the photovoltaic industry, LG Innotek plans to increase the number and efficiency of batteries cells by upgrading its Paju LED manufacturing plant in a bid to take a 10 percent share in the market.
By Monica Suk (email@example.com