By Anders Lorenzen
The Lego Group has announced that its state-of-the-art facility in Vietnam will be 100 per cent powered by renewable energy.
This follows the announcement in April that the world’s largest toymaker, which opened its Vietnam plant, will be the most sustainable factory to date.
Located in the southern part of the country, in Ho Chi Minh City, it is Lego’s sixth factory and is positioned to support the company’s growth in Asia.
Powered by 100% renewable energy
In April, the Danish company pledged that it would run on renewable energy by 2026. Lego said it has signed a Direct Power Purchase Agreement (DPPA) with Vietnam-Singapore Industrial Park (VSIP) to meet this challenge, which it says is key to meeting that target.
Large-scale solar panels mounted on VSIP’s facilities will be transported to the Lego facility through an industrial-scale energy storage system, providing a consistent supply of renewable energy.
Key facts about the facility
The $1 billion facility spans five buildings, which together take up approximately 150,000 m2 and include office spaces, an energy centre, moulding and packing buildings, a high-bay warehouse, and other buildings critical to the factory’s operations.
Lego says that the lion’s share of the factory’s energy consumption will come from solar power installed on the facility’s rooftops and the DPPA with VSIP. The company will purchase renewable energy certificates until enough renewable energy can be purchased through DPPAs.
Other sustainability components of the Lego facility
The facility will utilise some of the Lego Group’s other sustainability drives.
Lego bricks and pieces will be packaged in new paper-based bags that replace single-use plastic bags.
The Danish company says that its ambition of achieving zero waste from factories to landfill is also a priority for its Vietnam factory.
The factory has been issued with the Leadership in Energy & Environmental Design (LEED) platinum and Gold certifications for its main buildings, which cover energy, water, and waste.
A shared commitment to accelerate renewable energy
Commenting on the facility, Jesper Hassellund Mikkelsen, Senior Vice President of Asia Operations and General Manager of LEGO Manufacturing Vietnam, said: “This is an important step forward in our ambition to operate the factory on renewable energy. We are proud to be one of the first companies to sign a DPPA and appreciate the support of the national and provincial authorities in creating this opportunity. We are also grateful for the ongoing support of our operations.
We look forward to continuing our collaboration with VSIP to create a world-class, environmentally sustainable factory in Vietnam.”
Nguyen Phu Thinh, General Director, VSIP J.V. Co., added to that: “The agreement reflects a shared commitment to accelerate the transition to renewable energy and sets a new benchmark for low-carbon manufacturing in Vietnam. By integrating rooftop solar and battery energy storage, we demonstrate how industrial parks can deliver reliable low-carbon solutions.”
Carbon reductions
Due to the DPPA with VSIP, Lego Manufacturing Vietnam is expected to reduce around 15,000 tonnes of CO2e annually. In addition to the 12,400 rooftop solar panels already installed on the Lego facility, they will jointly cover 75% of the factory’s total energy demand for the first five years. Lego is currently in talks with other companies to reach 100%.
All of Lego’s factories follow the same blueprint to produce bricks and pieces, with high-tech equipment making sure 1/10th of a hair’s width precision.
It is estimated that around 36 to 50 billion LEGO pieces are produced annually.
Anders Lorenzen is the founding Editor of A greener life, a greener world.
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