LG listed in the Dow Jones Sustainability World Index for the 13th time
According to the company’s statement, DJSI World ranks the top 10 percent of the 2,500 largest global companies according to their economic, environmental, social and governance (ESG) practices and serves as a critical benchmark for investors evaluating corporate sustainability.
LG received the highest overall score, particularly in the Entertainment Equipment, Products and Consumer Electronics sector. Additionally, it remains the only South Korean company to have been in this category for 13 years. The company also continued its regional success by appearing on the DJSI Asia Pacific list for the 15th time and the DJSI Korea list for the 16th time.
LG has received high evaluations in various Environmental, Social and Corporate Governance System (ESG) areas, including environmental policy and management, human rights management, human resources management, customer relations, supply chain management and product liability management. Under its ESG management vision, Better Life for All, LG carries out various activities with the strategy of 3C for the planet (Carbon neutrality, Circularity and Clean technology) and 3D for people (Decent workplace, Diversity and inclusion and Design for all).
IT AIMS TO SWITCH TO 100 PERCENT RENEWABLE ENERGY BY 2050
To achieve 3C goals for the planet, LG has set ambitious targets such as achieving carbon neutrality in the product manufacturing process by 2030 and switching to 100 percent renewable energy by 2050.
The company plans to reduce direct greenhouse gas emissions (Scope 1) and indirect greenhouse gas emissions (Scope 2), especially during the product production phase, by 54.6 percent compared to 2017 levels. This will be achieved through process improvements, the introduction of energy-saving technologies and the use of renewable energy. Notably, LG became the first company in the home appliance industry to receive UN carbon credits in 2015.
In addition, LG focused on reducing unit greenhouse gas emissions of seven major product lines (TVs, refrigerators, washers, dryers, home and system air conditioners, and monitors) by 20 percent compared to 2020 levels during the product use phase (Scope 3). This commitment includes a variety of activities aimed at improving the energy efficiency of individual products and thus reducing overall carbon emissions.
As a member of the UN Global Compact and Responsible Cooperation, LG complies with international human rights and labor standards and enhances human rights management processes to respond to the strengthening of global ESG-related legislation.
In the ESG assessment and rating results published this year by the Korean Corporate Governance Service, LG received an overall A rating for four consecutive years. LG also received A grade for five consecutive years in the ESG assessment conducted by the global ESG assessment agency Morgan Stanley Capital International, receiving appreciation from reliable local and international institutions for its ESG management performance.