2010. 10

National Plan for Green Growth

Korea Green Business IT Association

Jung Kook Paeng

2

I Background and Concept

II National Strategy for Green Growth

III

IV Green Initiatives for Year 2010

National Policies for Green Growth

3

I. 추진배경과 개념Background and ConceptI

『 We are facing Environmental and Resource Crises simultaneously.』

- The human lives are in danger due to the meteorological disasters and ecosystem destruction (Global Weirding)

- Economic loss induced by climate change is predicted when current energy consumption system continues: 5~20% of global GDP per year ('06, Stern Report)

- Deficiency in energy · resource and oil price increase (Temporary decrease)- Impacted by economic development in the newly developing countries andcontinuous growth in human population

200319792060, 2030(?)

NSIDCSeptember Highest Temperature in

Summer of North Pole(?)

『Scientific Truth of the Global Warming』• Carbon concentration in atmosphere before industrialization in 1750 was 280ppm

→ 384ppm in 2007(2ppm increase per year), in past 100 years, 0.74℃ has increased in global temperature→ If the above trend continues, the carbon concentration in atmosphere and

temperature increase by 2050 would be 550ppm, 3℃ (Stern Report)• The temperature difference between glacial period and interglacial period are only about 5~6℃ • For Korea, average temperature 1.5℃↑, Jeju sea-level 22㎝↑for last 40 years

Maximization Synergy between Environment and Economy- Greening of the industrial structure and expansion ofthe clean energy Cope with climate change and reduce greenhouse gas

- Develop green technology and promote green industry Increase national income and create new jobs

Active involvement on the international climate change discussionShow global leadership as a green bridge nation

Low-carbon in land development, ecological space expansionActivate green transportation system · public transportationEstablish green market through green consumption

It will be impossible to become an advanced country without advancing through the current trend: 『Green Competition』

Low-carbon green growth through green technology and clean energy as new national vision for next 60 years

Simultaneous crises in Environment and Resource

Green technology & green industry as new growth engines

High foreign energy dependence

Can become an advanced country when survive in green competition

International Society

under Green

Competition

Solutions for Environment/resource crises and New Growth

Engines needed in

Domestic Situation

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National Strategy for Green GrowthII

Recycled energy development planNew growth engine promotion strategyGreen IT strategy, etc.

National energy basic planAdaptation to climate changeSustainable growth, etc.

Core Plan

National land basic planNation-wide balanced development planNational science technologybasic plan, etc.

Related Plan Other Plan

National Strategy for Green Growth

5 year plan

Central promotion plan

Total Plan by agencies

Local Promotion Plan

Overall Plan

Partial Plan

Mitigation of climate Change & energy independence

Creating New enginesFor economic growth

Improvement on quality of life &enhanced international standing

Efficient Reduction onGreenhouse Gas

Petroleum Free·Self-reliance on Energy

Strengthen capacity for climate change adaptation

Construction of Green Land andTransportation

Green Revolution on Human Living

Realization as a model country for green growth

Development of Green Technology and Growth Engine

Promotion of the Green on Industry

Enhancement of Industrial Structure

Base Construction of Green Economy

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I. 추진배경과 개념III National Policies for Green Growth

• Job Creation(960,000)

• Select New GrowthEngine Industry(Invest 50 trillionKRW yearly)

Establishment of Green New Deal

Policy

• Select 27 MajorGreen Technology

• Invest in GreenTechnology R&D (Twice by 2012)

Establishment of Total Measure for Green Technology R&D

• Formation of localgreen committee and appointment of Officers

• Formation of 5Consultative Group including Green IT

Inauguration of Green Growth

Committee

• Prepared big threepromotion strategiesand 10 policies(107 trillion KRWinvested)

Establishment of Green Growth National Strategy & 5 year plan

• Constructionproject for Jejudemonstrationcomplex

Selected as Leading Nation for

Smart Grid

• 13.3 Trillion KRWinvested by top30 enterprises(~2013)

Enlarged investment for Green Industry

and Outcome Visualized

• Reduce 30%compared to BAUby 2020

National Greenhouse Gas Reduction Goal

Settled

• NAMA Registry Resolution selected(COP15)

• GGGI Establishment announced

Strengthen Global Green Growth

Leadership

• Export 4 1400MWlevel Korean stylenuclear powerplants

Contract for UAE Nuclear Power Plant

Construction Awarded

• Comprehensiveregulations on economy,industries,national territoryand so on

Basic Law for Low-Carbon Green Growth

Approved by the National Assembly

Promote green growth

participated by all citizens

Strive for creating green growth engines

Contribute to enhancing nation’s

position suitable for G20 chair nation

Prepare action plan for national greenhouse gas reduction goal

Promote greening of main industries by improving energy efficiency

Expand green buildings · transportation and activate green financing

Rationalize energy price and reform tax system eco-friendly

Settle ‘Me First’ green life-style like energy and food waste reduction

Task 1

Develop growth engines from 10 core green technologies and promote business startups from the excellent green technologiesTask 2

Task 3

Task 4

Task 5

Task 6

Expand international cooperation in green growthTask 7

Policy Keynote

Policy Direction

Action Tasks

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I. 추진배경과 개념IV Green Initiatives for Year 2010

Set up the reduction goals on each industry and prepare the action tasks

Legislation of Emissions Trading Laws

• Construct international levelgreenhouse gas statistics by major industry such as steel, chemistry

• Prepare projects that can beeasily practiced by citizens and companies

• Inventory by nation and industry- Prepare comprehensive action plans for greenhouse gas reduction

• Prepare specific administration plansuch as allocation, registration · management, exchange bankinstallment · operation

- Prepare government proposal (August), Review and Approveby National Assembly, and Legislation of Trading Laws

1. Prepare action plan for national greenhouse gas reduction goal

Secondary Battery of the next generation

Improve weak base such as component · material

Strengthen development of basic· original technology

Strengthen mid-long termcompetitiveness

Future Nuclear Power

Eco-friendly fast reactor technology,Nuclear power hydrogen

production system technology

Secure future nuclear energycompetitiveness

Water Supply Treatment

Develop advanced top water management technology,

Sewage·waste water re-use technology

Promote water treatmentindustry

CCS

Establish CCS Master Action Plan Groundbreaking reduction on greenhouse gas

reduction cost

Smart Grid

Build Jeju demonstration complex, legislate special law

International lead through early commercialization

Growth activation in core technology

Promote business startups from the excellent green technologies

Organize a special investment fund such as Green business startup fund (100 billion KRW)

Install green-specialized daycare center for business startups , promote 1,000 green technology ventures by 2013 (200 by 2010)

2. Develop growth engines from 10 core green technologies andpromote business startups from the excellent green technologies

Steel, Shipbuilding, Petrochemistry, Cement, Paper manufacture, etc.

Large Energy Consumption Industry

Car, Semiconductor, Display, Textile, etc.

Cast, Mold, Welding ·Lamination, Heat Treatment, Surface Treatment, Plastic

Working

IT and Green Technology used- Energy efficiency enhanced,

CO2 reduced

Eco-friendly products developed and early commercialization

promoted

Establish greening strategy for 6 root industries

• Secure New Growth Engines and Greenhouse Gas Reduction in majorindustries

• Provide each industry with differentiated greening strategy accountingfor industry characteristics

Core Green Industry Base Manufacturing Industry

3. Promote greening of main industries by improving energy efficiency

Strengthen Standard

Strengthen Energy

Strengthen Standard

• Strengthen Energy ReductionDesign Standards on Buildings• Extend Green Building Certification

applicable to more buildings

• Introduce Building Energy TargetManagement Policy

• Construct Building Energy ConsumptionStatistical System

• Make the apartment house energyperformance indication mandatory

• Expand PF assurance to the Eco-friendly houses

• Reduce ESCO interest and assurance rates

Demand Management

Public Transport

ation

Green Logistics

• Set Up Traffic Congestion Fee policy• Designate the special GreenTransportation Measure Areas

• Build Complex Transit Centers• Extend highway rest area transferpolicy

• Introduce Modal Shift Agreement policy,Green logistics certification policy• Support construction of the commonlogistics centers

Expansion of Green TransportationExpansion of Green Buildings

4. Expand green buildings/transportation and activate green financing

Implement Fuel cost synchronizing system : production cost-based price system

(Gas) Return to Fuel Cost Synchronizing System from March, 2010(Electricity) Introduce Fuel Cost Synchronizing System from 2011

Prepare Energy Welfare System : Vulnerable people considered

Eco-Friendly Tax System ReformEnergy Price Rationalization

Eco-Friendly house : acquisition · registration tax exempted- differential exemption rate by CO2 reductionrate (5~15%, June)

Car : Tax base changed- Change to base on fuel efficiency or

CO2 Emission rate (Local tax law reorganization preparedno later than December)

5. Rationalize energy price and reform tax system eco-friendly

Green Start Network, Green Energy Family, 1 ton Carbon reduction per family, etc.

ActionsCarbon Cash-Back- Point provided when purchase

low-carbon productCarbon Point- Point provided based on electricity

and other reduction activities

Incentives on Carbon Reduction

Implement Carbon Grade Notice Policy- Display greenhouse gas emission

produced during manufacturing · distribution

Expand Green Energy Consumption Cultures

Strengthen food waste meter-rate system

Expand small · various dish distribution

Food Wastes

‘Me First’

6. Settle ‘Me First’ green life style like energy and food waste reduction

Strengthen Green Growth Research Cooperation

Establish Global Green Growth Institute (GGGI) (First half)- Support green growth policy

establishment focusing on Asian developing countries

Strengthen cooperation toOECD- Promote joint research ‘OECDgreen growth strategydevelopment’

Continue on Responding to Climate Change Agreement

Actively participate in climate change agreement after the Copenhagen Agreement- Ensure autonomy in climate

change policy

Function as bridge between developed/developing countries- Continuous effort to reflect inNAMA International Registry, etc.

Call on East Asian Climate Partnership

Promote water-related landmark business- Provide total solution to water

issues in developing countries

Host 2nd East Asia Climate Forum (Second half)

7. Expand international cooperation in green growth