LS Group Launches ESG Committee Within Board of Directors, Appoints Ye Jongsuk as Chairman

Yejongseok, Chairman of the ESG Committee at LS Corporation
Photo by LS Group

[Asia Economy Reporter Kim Heung-soon] LS Group announced on the 19th that it has established an ESG (Environmental, Social, Governance) Committee by expanding and reorganizing the Internal Transactions Committee under the board of directors of its holding company, LS Corporation.

The committee is chaired by Ye Jeong-seok, an outside director of LS and former chairman of the Community Chest of Korea. Including Chairman Ye, the committee consists of five members: four outside directors?Kim Young-mok, former president of the Korea International Cooperation Agency (KOICA); Lee Dae-soo, former CEO of Woori Futures; and Jung Dong-min, lawyer at Barun Law Firm?and Lee Kwang-woo, vice chairman of LS.

The committee will not only continue the existing activities of the Internal Transactions Committee, such as prior review and deliberation of internal transactions, but also set directions and plans for ESG management strategies, approve policies, and report on major initiatives and outcomes.

Prior to the committee’s launch, LS conducted an approximately six-month ESG diagnostic project targeting its major affiliates. Through this, LS plans to establish and implement differentiated strategies in preparation for the advent of the "electricity era" driven by eco-friendly issues, viewing ESG not merely as risk management.

For example, affiliate LS Cable & System declared its ESG management vision in June and is progressively pursuing RE100 (100% renewable energy) in line with the expansion of its offshore wind power business. LS Nikko Copper, a non-ferrous metal smelting company, has also declared its ESG management by applying for the 'Copper Mark' certification audit, known as the ESG certification system in the copper industry.

Going forward, the ESG Committee will oversee the group’s ESG management by establishing group-wide ESG directions, responding to policy changes, and supporting ESG execution monitoring at each company. Major LS Group affiliates will also establish dedicated ESG organizations and continue to discover and promote new business opportunities in areas such as renewable energy and electric vehicles.

An LS Group official stated, "LS has long operated in the power infrastructure and comprehensive energy solutions sectors, which are key industries," adding, "The advent of the 'energy transition' era, triggered by the global trend of ESG and the current government’s Green New Deal policy, will be a great opportunity for us to leap forward as a sustainable growth company."