Kim Sang-hyun, vice chairman and CEO of Lotte Shopping, noted, "We will make the future of sustainable distribution by placing environmental, social, and governance (ESG) at the center of our management strategy and executing it with authenticity."
According to industry sources on the 1st, in the '2024 Sustainability Management Report' published by Lotte Shopping on the 27th of last month, Kim promised, "We will firmly establish ourselves as the 'first shopping destination for customers' based on trust with various stakeholders such as shareholders, customers, and partners."
The report contained the ESG management achievements and sustainable management strategies of Lotte Shopping from last year. In the environmental sector, Lotte Shopping was the first in the domestic retail industry to receive approval for its greenhouse gas reduction targets from the Science Based Targets Initiative (SBTi). It plans to reduce direct and indirect greenhouse gas emissions (Scope 1, 2, 3) in the retail industry by 46.2% by 2031 compared to 2021.
A roadmap for achieving carbon neutrality by 2040 has also been specified. As of last year, 93 stores nationwide generated 15.8 million kWh of electricity annually from solar power installations and expanded electric vehicle charging stations to 1,921.
In the social sector, family-friendly systems such as 'Expectant Father Fetal Examination Leave,' 'Baby Hope Leave,' and 'Mandatory Parental Leave for Men' have been introduced and expanded to respond to the low birthrate issue.
In the governance sector, regularization of 'CEO Investor Relations Day' has expanded direct communication with investors, and a predictable shareholder return policy has been established through corporate value enhancement disclosures.
Meanwhile, Lotte Shopping declared 'Reviving the Earth Together for a Better Earth' as its ESG slogan in 2021 and has published an annual sustainability management report. It also maintains the industry's highest level of ESG performance, receiving an environmental grade of A, a social grade of A+, and a governance grade of A from the Korea ESG Standards Institute's integrated evaluation, achieving integrated A grades for seven consecutive years.