(Left) Eco Network's Yeonggwang Jungang Solar. (Right) Solar panels at Osan Amore Beauty Park.

Amorepacific entered into the tripartite power purchase agreement (PPA) with the KEPCO (Korea Electricity Power Corporation) and Eco Network. Under this agreement, Amore Beauty Park located in Osan, Korea will gain approval from the Minister of Trade, Industry and Energy and source renewable energy amounted to 2.8MW from the solar power plant for the next 20 years, starting on August 1, 2022.

The tripartite power purchase agreement is an arrangement in which the KEPCO makes a purchase contract with the renewable energy supplier and enters into a sales contract with Amorepacific under terms mutually agreed upon by the renewable energy supplier and Amorepacific. The KEPCO serves as a go-between and under this agreement, Amorepacific Beauty Park will further secure about 21% of the total energy supplied by the KEPCO in 2021, from a renewable source.

Amore Beauty Park is responsible for the production of the main products of Amorepacific's brands including Sulwhasoo and Laneige, and it is already equipped with a 2.6MW solar power system. Furthermore, Amorepacific has proven its effort toward renewable energy transition even during dark hours when solar power is not generated or when the energy that is generated is not sufficient, with Green Premium from the KEPCO. With additional renewable energy to be sourced under this tripartite power purchase agreement, Amorepacific expects that it will be able to power 100% of its production with renewable energy by the end of the year.

Eco Network, the contract partner, is a renewable energy developer & green consultant and it runs Korea's largest solar power plant, which has a capacity of 100MW in Yeonggwang (312MWh Energy Storage System), and MW-level solar power plants in Uiseong, Sangju, Beolgyo and Jeju Island. Starting with this tripartite power purchase agreement, Eco Network plans to go further in developing a solar power business model for companies with the goal of achieving the RE100 target.

Amorepacific announced five sustainability goals it aims to meet by 2030 last year with achieving carbon neutrality across production sites worldwide being one of the goals. The company plans to use 100% renewable energy in its global operation by the year 2025.

"Our Daejeon Daily Beauty Park signed the direct green power purchase agreement in March, and Osan Amore Beauty Park concluded the tripartite power purchase agreement. We will continue our sincere effort with sustainable, green production in this fight against climate crisis largely attributed to the use of fossil fuels, and the diversification of the renewable energy supply portfolio across our global production sites is part of our effort," said Amorepacific Vice President, Lee Dongsoon.