Double Materiality Assessment
- Financial Impact
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Outside-in
Positive and negative impacts of external sustainability factors on KEPCO’s management and financial status
- Environmental and Social Impact
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Inside-out
Actual or potential positive and negative impacts of KEPCO’s management activities on the environment and society
Double Materiality Assessment Process
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- STEP 01
- Compilation of a Sustainability
Management Issue Pool
We employed an analytical mechanism to comprehensively examine the characteristics of the industrial group to which KEPCO belongs, recent internal and external environmental changes, management strategies, policies, and pending issues. Through this process, 21 issues were selected for inclusion in the pool, covering environment (6), societal aspects (7), and economic and governance aspects (8).
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- STEP 02
- Identification of Impact
and Priority Evaluation
After identifying the environmental, social, and financial impacts of each issue, we selected nine significant issues— spanning financial, environmental, and social aspects—through a comprehensive priority assessment that considered their interconnectivity.
이해관계자별 소통 및 참여 Financial
impact
(Outside-in)Analysis of international standards and evaluation indicators based on financial impacts (SASB, S&P Global, MSCI and KCGS) Analysis of related laws and regulations Analysis of internal strategies and policies Employee surveyEnvironmental
and social impact
(Inside-out)Analysis of international standards and evaluation indicators based on environmental and social impacts (GRI, UN SDGs and UNGC) Benchmarking analysis of similar industries (seven domestic and foreign companies in the electric utility Analysis of media articles (1,050 articles Survey of external stakeholders< Stakeholder survey >
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- • Survey period : August 13 ~ 23, 2023
- • Survey targets : Executives, employees, and external stakeholders
- • Survey method : Online multiple-selection check method
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- • Results : Answers from 1,816 respondents (1,494 employees, 9 shareholders and investors, 5 partners, 291 customers, 7 academics and experts, 10 people from government, media, local governments, etc.)
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- STEP 03
- Identification of Key Issues
and Validation
• We reviewed whether the key issues (5) and the reporting/management issues (16) were selected according to the significance requirements of KEPCO’s sustainability management policies. We also verified their appropriateness concerning the scope, boundaries, and time frame of sustainability management.
• The results of the double materiality assessment were reported and checked to the management and the Board of Directors (ESG Committee). The report included strategies, goals, implementation structure, major activities, and performance of the identified key issues.