Lam Research published its annual Environmental, Social, and Governance Report, detailing the company's progress in reducing its environmental footprint, driving a healthy and safe workforce, advancing inclusion and diversity, and contributing positively to the broader community.
July 01, 2021. By News Bureau
"The world's response to the devastating pandemic has illuminated how we can transform our planet and intensify the best in humanity when we all work together towards a common goal," said Tim Archer, president and chief executive officer of Lam Research. "I could not be prouder of the incredible efforts of Lam's workforce to deliver for our customers and answer the call from our communities in need under the most challenging of circumstances. And in that spirit, I'm pleased to announce our goals detailed in the ESG Report include operating 100% on renewable energy by 2030 and becoming carbon net zero by 2050 to contribute to a more sustainable world."
The company is proactively implementing environmental measures throughout its operations, from operational practices to the design of its products. In 2020, Lam made advances toward its 2025 sustainable operations goals in energy savings, water conservation, waste abatement, and greenhouse gas emissions reduction. This includes goals of reducing scope 1 and scope 2 greenhouse gas emissions by 25% from a 2019 baseline; achieving 12 million kWh in energy savings; conducting waste audits at applicable factory sites; reducing waste to landfill to 0%; and saving 17 million gallons of water in water stressed areas.
The recently released report provides an in-depth review of Lam's ESG goals and strategies, as well as accomplishments in 2020.
Lam's Spares offerings enable the re-use of high value spare parts through a variety of re-cleaning, repair, refurbishment and re-coating services. Part lifetime extension, enabled by re-cleaning services, translates to approximately $400 million of reduction in materials consumption per year. Part re-use enabled by repair and refurbishment services translates to approximately $150 million of reduction in materials consumption per year.
Recently, Lam also announced the closing of an inaugural $1.5 billion sustainability-linked credit facility, demonstrating the importance of the company's ESG goals. Over the credit facility term, Lam will receive a pricing adjustment if the company is above or below performance targets around annual energy savings and maintaining its high standard of employee safety.
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