LG Chem Ltd

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Direct Lobbying Transparency

Overall Assessment	Comment	Score
Comprehensive	LG Chem provides a highly detailed and transparent picture of its climate-policy lobbying. It names several discrete measures it has engaged on, including the “National Strategy/1st National Basic Plan for Net-zero and Green Growth,” the Korea Emissions Trading Scheme and its Phase 3 plan (2021-2025), the “Act on Allocation and Trading of Greenhouse Gas Emission Permits,” the “New Energy and Renewable Energy Development, Use, and Distribution Promotion Act,” the nationwide “Solar Separation Distance Regulation,” and revisions to regulations on electricity access for renewables. The company also explains how it communicates its views, citing face-to-face meetings with officials in the Ministry of Environment, the Ministry of Trade, Industry and Energy and the Korea Environment Corporation, “participation in public hearings organized by industrial associations,” the submission of written opinions through bodies such as the Korea Chamber of Commerce and Industry, and regular policy meetings that bring together senior government officials and corporate executives. In addition, it is explicit about the concrete policy changes it has sought: maintaining the 10 % offset-credit limit in the K-ETS, persuading authorities to count bio-naphtha reductions toward company emissions totals, advocating “operationalizing renewable energy power purchase agreements and green energy pricing schemes,” calling for deregulation of solar-power separation distances, and proposing more “realistic alternatives” to sectoral greenhouse-gas targets. By clearly linking each engagement to a specific outcome and explaining the rationale behind its positions, LG Chem demonstrates a comprehensive level of transparency around its climate-related lobbying activities.	4

Lobbying Governance

Overall Assessment	Comment	Score
Strong	LG Chem Ltd exhibits a detailed governance framework to ensure its lobbying aligns with its climate strategy. The company explains that it “is participating in various engagement activities by supervising all climate change strategy and policy-related activities in the Sustainability Department under the Chief Sustainability Officer (CSO), thereby maintaining consistency of strategies,” indicating a clear policy and process for managing its advocacy. Key inputs are provided by the Corporate Affairs Department, which reports “major domestic and foreign policy and legislative information … monthly” that is “shared with the Sustainable Development Department,” while recommendations are “continuously recommended to the government through meetings with petrochemical associations,” demonstrating both direct and indirect lobbying oversight. Important issues are “listed on the agenda at the management meeting and reported to the CEO,” and all decisions are “reported to the CSO,” showing named executive ownership and formal review steps. The company also publicly commits to conduct its engagement in line with the “goals of the Paris Agreement.” We found no evidence of a published audit or third-party review assessing the alignment of its climate lobbying, suggesting an opportunity to strengthen transparency through an external report.	3