Balanced by renewable energy

Creator expert Vestas Wind Turbine

We define ‘balanced by renewable energy’ as: energy generated from renewable sources we own (either on or offsite) as being equal to, or more than the energy we use at our locations.

In 2020, the LEGO Group used 394 GWh of energy. Our renewable energy sources, on and off-site, generated more than 400 GWh over the same period, balancing out the energy we use.

Actions taken to be 100% balanced by renewable energy:

  1. Reduce our own energy consumption as far as practically possible. Over the past 8 years we have improved our energy efficiency by 15%.

  2. Invest in generating renewable energy at our sites. As of November 2020 we have 11 MW of renewable energy completed or under development at our factories and offices across the world, with a further 22MW due to come onstream in the next two years. At our headquarters in Billund, we installed Denmark’s largest roof-mounted solar farm. We are currently installing solar panels on the roof of our factory in Jiaxing, China and Nyíregyháza, Hungary

  3. Invest in ‘off site’ renewable energy projects. Through our parent company KIRKBI A/S, we have invested 6 Billion DKK (approximately USD 1 billion) in 2 offshore wind projects – Burbo Bank Extension and Borkum Riffgrund 1.

Renewable energy certificates

We purchase and retire all available Renewable Energy Certificates (RECs) from our renewable energy investments.

  • Burbo Bank Extension: KIRKBI A/S owns and retires the RECs on our behalf.
  • Borkum Riffgrund 1: There are currently no RECs available for this wind farm. We expect certificates to be available in 2025, at which time KIRKBI A/S will secure and retire the certificates. Between 2020 and 2025 we will purchase and retire the equivalent number of certificates from the open market.

We follow the relevant guidance regarding RECs from leading organisations such as WRI, CDP, WWF and RE100. A core principle of our actions and initiatives is to aim for ‘additionality’ which means taking action to encourage more renewable energy to be generated.

Next steps

1. Install more renewable energy at our sites, particularly solar panels
We will invest in onsite renewable energy through installing solar panels at our sites in Hungary, China and Mexico and expanding solar capacity at our sites in Denmark and the Czech Republic.

2. Stimulate renewable energy markets around the world
We are proud to be part of the RE100 initiative. One criteria to be considered ‘100% Renewable’ by RE100 is to have renewable energy in all the continents in which a company operates. To achieve this, we aim to invest in offsite renewables in Asia and the Americas by the end of 2022

We know there is even more for us to do in the future, particularly in helping our suppliers generate and use more renewable energy, and we will continue to do everything we can to achieve our ambitions, now and for many years to come.