K-ESG Evaluation Considers 'Renewable Energy Usage and Regular Employee Ratio'
[Sejong=Asia Economy Reporter Joo Sang-don] The government has decided to reflect the usage of renewable energy and the proportion of regular employees in the evaluation of Environmental, Social, and Governance (ESG) management.
On the 21st, the Ministry of Trade, Industry and Energy held the 'K-ESG Indicator Industry Meeting' and announced a draft of the K-ESG indicators containing these details.
Based on industry opinions on the need for credible ESG evaluations, since April last year, the Ministry has been working with the Korea Productivity Center and experts to develop ESG indicators in the form of guidelines. This is in response to concerns that overseas ESG indicators do not consider the management environment and specific characteristics of Korea, potentially causing reverse discrimination against domestic companies, thus necessitating ESG indicators suitable for our situation.
According to the draft K-ESG indicators revealed that day, the evaluation items are broadly classified into ▲ Information Disclosure (5 items) ▲ Environment (14 items) ▲ Social (22 items) ▲ Governance (20 items). In the environment category, the usage of renewable energy and the intensity of greenhouse gas emissions are evaluated, while in the social category, the proportion of regular employees and the industrial accident rate over the past three years are assessed. The Ministry plans to announce the final indicators in the second half of this year after collecting feedback and making revisions to the draft ESG indicators.
Hot Picks Today
"Could I Also Receive 370 Billion Won?"... No Limit on 'Stock Manipulation Whistleblower Rewards' Starting the 26th
- Samsung Electronics Labor-Management Reach Agreement, General Strike Postponed... "Deficit-Business Unit Allocation Deferred for One Year"
- "From a 70 Million Won Loss to a 350 Million Won Profit with Samsung and SK hynix"... 'Stock Jackpot' Grandfather Gains Attention
- "Stocks Are Not Taxed, but Annual Crypto Gains Over 2.5 Million Won to Be Taxed Next Year... Investors Push Back"
- "Who Is Visiting Japan These Days?" The Once-Crowded Tourist Spots Empty Out... What's Happening?
Hwang Soo-sung, Director of Industrial Policy at the Ministry, said, "These indicators are not an additional new evaluation metric on top of existing ones but are standard indicators provided as guidance to companies and various ESG evaluation institutions. We will closely cooperate with related ministries and industries so that these indicators can be utilized in various domestic and international applications, easing the burden of ESG evaluations on companies while strengthening the ESG capabilities of our companies."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
