Lotte reaching sustainable goals through ESG

The Lotte World Tower in Jamsil, southern Seoul [LOTTE CORPORATION]

Lotte declared a focus on environmental, social and governance (ESG) management in 2021 and has fulfilled its commitments due to proactive efforts across the group.

These efforts include establishing ESG committees in all listed companies, issuing sustainable management reports, announcing a carbon neutrality roadmap for 2040 and implementing ESG key performance indicators.

These endeavors have laid the groundwork for establishing a comprehensive ESG management system.

Lotte is focusing on expanding its eco-friendly business by establishing key areas and themes to address the climate crisis, promote resource circulation and protect water resources.

Lotte Property & Development signed a power purchase agreement for fuel cell power generation with the Korea Electric Power Corporation (KEPCO) on Dec. 19. This led to Lotte World Tower becoming the first commercial building in Korea to qualify as a fuel cell power generator.

The 800kW-scale fuel cell power generation facility installed in the Energy Center on the 6th basement floor of Lotte World Tower will now sell its power to KEPCO.

Lotte World Tower is an eco-friendly landmark that produces approximately 15 percent of its total energy consumption from renewable energy sources.

Lotte is developing eco-friendly products for consumers. Lotte Mart obtained an Environmental Product Declaration verification — a system that quantifies and displays environmental impacts in figures — for 10 of its private brand products on Dec. 29 last year.

Lotte Home Shopping announced its ESG management slogan “Change Tomorrow by Acting Today” in November.

The message encapsulates the company’s determination to pursue sustainable management practices aligned with the direction of ESG management to create a better tomorrow for future generations.

On Nov. 17, Lotte held the annual “2023 Diversity Forum” at the Lotte Human Resources Development Institute Osan Campus.

The slogan “We Belong in Diversity” highlighted not only the importance of embracing diversity but also of enhancing a sense of belonging and connection between individuals.

Lotte established the Lotte Group Diversity Charter in 2013 and has been committed to increasing diversity in four major areas: gender, generation, disability and nationality.

As a result, as of 2022, the number of new female hires has more than doubled over the past decade, and the number of female executives has increased more than fivefold.

The employment rate of disabled persons within the group exceeds the legal employment quota and is being maintained.

Lotte also has over 40,000 local staff in approximately 26 countries globally.

Since 2019, Lotte has been conducting ESG support projects for partner companies with its nine subsidiaries including Lotte Department Store, Lotte Mart and Lotte Chemical.

Lotte has shared its ESG expertise with a total of 253 partner companies over the past five years.

Among them, 124 companies have received the Certificate for Excellent Small and Medium Enterprises from the Korea Commission for Corporate Partnership.

Lotte Corporation obtained certification for the international standard for compliance management systems, ISO 37301, from the Korea Management Registrar on Sept. 15.

In addition to Lotte Corporation, a total of 10 subsidiaries including Lotte Global Logistics and Lotte Chemical have obtained ISO 37301 certification.

Lotte Corporation organizes an annual compliance forum where persons in charge of compliance in the subsidiary companies gather to discuss the direction of group compliance development.

Furthermore, Lotte Corporation establishes and distributes work guidelines to effectively execute tasks related to compliance.

BY JEONG SEONWU [jeong.seonwu@joongang.co.kr]