Samsung Financial Companies Halt Investments and Insurance Underwriting in Thermal Power Plants... Declaration of 'Coal Phase-Out'

Proactive Response to the Climate Change Crisis
Strong Promotion of 'ESG Management Implementation Strategy'

[Asia Economy Reporter Oh Hyung-gil] Samsung financial affiliates have declared the strengthening of their 'coal phase-out' policies as a proactive response to the climate change crisis, including global warming.

On the 12th, Samsung Life Insurance and Samsung Fire & Marine Insurance announced that they have decided not to invest in or finance coal-fired power plants directly, nor invest in corporate bonds issued for the construction of coal-fired power plants. Both companies have halted new investments in coal power since June 2018. In particular, Samsung Fire & Marine Insurance has finalized an internal policy of "not underwriting insurance for the construction of coal-fired power plants."

Samsung Securities and Samsung Asset Management have also established 'Environmental, Social, and Governance (ESG)' investment guidelines, including excluding investments in coal mining and power generation businesses, which will be applied to their operations starting in December.

Samsung financial affiliates plan to continue expanding investments in eco-friendly assets such as renewable energy and electric vehicles. Furthermore, they will report these details in their 'ESG Management Promotion Strategy' to each company's board of directors next month and strongly promote it.

A representative from Samsung financial affiliates stated, "We have decided to strengthen our coal phase-out policy to enhance environmental protection and social responsibility," adding, "We will move forward as a company pursuing sustainable growth through active communication with various stakeholders."

Meanwhile, Samsung Electronics announced in its third-quarter earnings report that it will accelerate sustainable management through expanded ESG investments. Samsung C&T also decided on a 'coal phase-out' policy at its board meeting last month and declared its intention to "strengthen its status as a leading ESG management company."

This content was produced with the assistance of AI translation services.