Climate Change Data

POSCO E&C

Climate Impact & Sustainability Data (2020)

Reporting Period: 2020

Environmental Metrics

ESG Focus Areas

  • Energy Efficiency
  • Green Buildings
  • Renewable Energy
  • Clean Transportation
  • Affordable Housing
  • Employment Generation
  • Socio-Economic Advancement and Empowerment

Environmental Achievements

  • Improvement of the water supply system impacting 1 million Myanmar residents
  • Reinforcement of a Vietnamese sewage treatment system increasing capacity by 328,000 tons per day
  • Hydropower project in Indonesia increasing electricity access for around 430,000 persons

Social Achievements

  • Living environment improvement project in Korea improving deteriorated/substandard housings, creating 5,678 new households
  • Provided healthcare services, equipment and awareness education in Korea, Bangladesh, and Vietnam (total 3,387 beneficiaries)
  • Provided construction career training to 160 trainees in Indonesia and Myanmar

Governance Achievements

  • Established a Sustainable Financing Working Group (SFWG) comprised of members from Treasury, Finance, Risk Management, Sustainability and Technical Departments to manage project selection and evaluation

Climate Goals & Targets

Environmental Challenges

  • Potential adverse environmental and social impacts from eligible projects (e.g., occupational health and safety, community relations, land use, biodiversity issues)
Mitigation Strategies
  • All operations certified under ISO 14001 standard
  • Integrated requirements of ISO 45001 standard into health and safety management system
  • Established a four-step health and safety system aiming for ‘Zero Critical Accidents’
  • Implemented Environmental Management System (POEMS) focusing on environment management, accident prevention, and GHG reduction
  • Compliance with Act on the Improvement of Urban Areas and Residential Environments for redevelopment and reconstruction projects
  • Exclusion of businesses or projects associated with fossil fuel, nuclear, weapons, and child/forced labor

Supply Chain Management

Responsible Procurement
  • Prioritizing outstanding suppliers in safety

Climate-Related Risks & Opportunities

Opportunities
  • Development of energy-efficient materials and equipment

Reporting Standards

Frameworks Used: Green Bond Principles 2018, Social Bond Principles 2020, Sustainability Bond Guidelines 2018, Green Loan Principles 2018

Certifications: ISO 14001, ISO 45001

Third-party Assurance: Sustainalytics

UN Sustainable Development Goals

  • SDG 7
  • SDG 8
  • SDG 9
  • SDG 10
  • SDG 11

The projects funded by the bonds’ proceeds will facilitate a transition to a low-carbon economy and advance the socioeconomic development in South Korea.