LUG GROUP SUSTAINABILITY REPORT AHEAD OF THE MARKET!

A year ahead of the market

We are proud to announce that, in order to meet the reporting requirements set out by the CSRD (Corporate Sustainability Reporting Directive), we have prepared our sustainability report for 2023 in accordance with the ESRS (European Sustainability Reporting Standards), one year before the formal requirement to report in accordance with the new standards.

Verified by an independent audit company

Moreover, our report was independently verified by an audit company Grant Thornton Polska PSA. The verification service carried out was based on the National Standard of Assurance Services 3000. Based on the results of performed inquiry and obtained evidence, the auditor did not find anything that would indicate that the LUG Group Sustainability Report is not compliant, in all aspects, with the ESRS and the Taxonomy.

Based on materiality assessment

Work on 2023 LUG Group Sustainability Report was preceded by a materiality assessment, adapted to the CSRD requirements and to the uniform ESRS. The study was conducted in accordance with the principle of double materiality, assessing the impact of the LUG Group on sustainability issues and the impact of sustainability issues on the Group's financial results.

Founded on a sustainable development strategy

Noteworthy is the Sustainable Development Strategy presented in the report, developed on the foundation of the Group's business strategy for 2023-2026 and the UN Sustainable Development Goals. In the Sustainable Development Strategy, the LUG Group outlined the directions for further development of the organization based on the idea of ​​sustainable development. These directions have been collected in four dimensions - environment, society, corporate governance and light, making the strategy unique and reflecting the challenges of the lighting industry and the LUG Group.

Aligned with the EU Taxonomy

We are pleased to report, for the fifth time, the results of the study on the compliance of the LUG Capital Group's revenues and costs with the criteria specified in the Regulation (EU) 2020/852 of the Parliament and of the Council, briefly called the EU Taxonomy. Nearly 87% of LUG's revenues, 60% of capital expenditures and over 82% of the Group's operating costs in 2023 were considered environmentally sustainable. The above data clearly proves that the business activities of the LUG Group are consistent with and aligned with the environmental and climate goals of the European Union.

Calculated emissions in all three scopes

For the third year in a row, the LUG Group calculated greenhouse gas (GHG) emissions for all three scopes. Monitoring greenhouse gas emissions enables us to track whether the initiatives implemented to reduce emissions are effective. Compared to 2022, the total emissions of the LUG Capital Group (scope 1+2 market based+ 3) were reduced by 10%.

We invite you to read the 2023 LUG Group Sustainability Report.