LOTTE Fine Chemical
Climate Impact & Sustainability Data (2021)
Reporting Period: 2021
Environmental Metrics
Waste Generated:67,540 tons in 2021
ESG Focus Areas
- Environmental
- Social
- Governance
Environmental Achievements
- Reduced energy consumption by 73 TJ in 2021.
- Reduced GHG emissions by 1887 tCO2eq in 2021.
- Increased waste recycling rate from 84% in 2019 to 93% in 2021.
- Invested KRW 15.3 billion in energy conservation and waste recycling facilities in 2021.
- Invested KRW 8.2 billion in green purchasing in 2021.
Social Achievements
- 100% completion rate of hazardous chemical safety training for employees and partners.
- Invested KRW 699 million in education and training, providing approximately 29 hours of education per person in 2021.
- Recertified as a family-friendly company by the Ministry of Gender Equality and Family in 2021.
- Certified as a leisure-friendly company in 2019.
- Launched the “YOULUCS” program to foster a culture of appreciation and encouragement.
Governance Achievements
- Established the ESG Committee in July 2021.
- Introduced the electronic voting system at the 57th AGM in March 2021.
- Established the Independent Director Recommendation Committee in February 2022.
- Appointed a new female outside director in March 2022.
- Maintained 100% attendance rate of outside directors at BOD meetings in 2021.
Climate Goals & Targets
Long-term Goals:
- Achieve carbon neutrality (net zero GHG emissions) by 2050.
Medium-term Goals:
- Reduce GHG emissions by 14.5% compared to 2018 levels by 2030.
- Achieve carbon neutral growth by 2030.
Short-term Goals:
- Increase female leaders by 20% within three years.
- Achieve integrated environmental management permission by December 2022.
- Complete pilot testing and optimization of wastewater effluent reuse by June 2023.
Environmental Challenges
- Climate change caused by increased GHG emissions.
- Strengthening global regulations on chemical substances.
- Fluctuating international oil prices and exchange rates.
- COVID-19 pandemic.
- Growing uncertainties in the business environment.
Mitigation Strategies
- Implemented the “Green Promise 2030” strategy.
- Established a company-wide response system for chemical substance regulations.
- Implemented a company-wide integrated innovation program to improve energy efficiency.
- Strengthened non-face-to-face recruitment and implemented teleworking system.
- Established an integrated risk management system.
Supply Chain Management
Responsible Procurement
- Green purchasing policy prioritizing eco-friendly products.
- Use of products from business partners with FSC and PEFC certifications.
- Environmental impact assessments of partner companies.
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI, SASB, UNGC, UN SDGs
Certifications: ISO 14001, ISO 45001, ISO 9001, Halal, Kosher, ISO 27001
Sustainable Products & Innovation
- Green materials such as MECELLOSE® and HECELLOSE®
Awards & Recognition
- Minister of the Interior and Safety Award at the 20th Korea Safety Award (Incheon Plant)