Last Year, a Total of 141 Sustainability Reports Published... 10 More Than the Previous Year

Korean Standards Association Announces Analysis Results of 2020 Sustainability Report Publication

[Asia Economy Reporter Kim Cheol-hyun] A total of 141 sustainability reports were published last year. The Korea Standards Association announced the results of an analysis of sustainability reports published by Korean companies and institutions during 2020 on the 21st.

According to the ESG Management Promotion Team of the Korea Standards Association, a total of 141 sustainability reports were published in 2020, which is 10 more than in 2019. Additionally, the number of companies publishing reports for the first time increased to 14, compared to 8 in 2019.

Among the companies publishing reports, 93 were listed companies. By industry, there were 68 in manufacturing, 19 in services, 18 in finance, and 30 in the public sector.

Reports reflecting the SASB (Sustainability Accounting Standards Board) standards and TCFD (Task Force on Climate-related Financial Disclosures) recommendations, which have recently attracted attention from investors as ESG (Environmental, Social, and Governance) disclosure standards, numbered 20 and 23 respectively, with 14 reports reflecting both standards.

The Korea Standards Association operates the 'Korea Sustainability Report Awards (KRCA),' a system that evaluates and awards sustainability reports published by Korean companies and institutions throughout the year. This year, additional scoring items reflecting SASB, TCFD, and others have been introduced to encourage more companies to respond to the global trends in ESG information disclosure. The KRCA evaluation this year targets all sustainability reports published from August last year to July this year, with results to be announced in August.

Yu Hoon, head of the ESG Management Promotion Team at the Korea Standards Association, said, "The European Union mandates ESG disclosures for companies above a certain size, and Korea’s Financial Services Commission has announced a phased approach to mandatory ESG disclosures. Therefore, the number of sustainability reports published is expected to increase significantly." He added, "The core of ESG issues is accurate information disclosure tailored to investors' needs, so companies must actively respond to ESG disclosure standards such as SASB and TCFD, which investors are focusing on."