Ministry of Industry Invests 916.3 Billion KRW in Energy Technology Development This Year... 202.1 Billion KRW for New Projects and 43.1 Billion KRW for Hydrogen

[Asia Economy Reporter Moon Chaeseok] The government announced that it will invest 916.3 billion KRW in energy technology development this year, with 202.1 billion KRW allocated to new projects. 95% of the new project budget will be concentrated on 16 key areas related to energy transition.

On the 20th, the Ministry of Trade, Industry and Energy announced that it will increase investment in energy technology development by 19.1% compared to a year ago. Among energy transition, technology convergence, and safety, the focus will be on 'energy transition.'

The Ministry will concentrate 1.928 billion KRW, which is 95% of the 202.1 billion KRW new project budget, solely on the 16 key areas related to energy transition.

The largest amount, 43.1 billion KRW, will be invested in hydrogen. Budgets will also be allocated to nuclear power (27.0 billion KRW), industrial efficiency (17.6 billion KRW), energy safety (16.5 billion KRW), energy storage (14.3 billion KRW), transportation efficiency (13.7 billion KRW), solar power (11.0 billion KRW), and wind power (9.3 billion KRW).

To promote technology convergence, attention will also be paid to advancing 16 large-scale flagship projects involving industry, academia, and research institutes. These reflect major national energy plans and strategies such as the '3rd Basic Energy Plan' announced in June last year and the '4th Energy Technology Development Plan' revealed in December of the same year.

Large flagship projects to be pursued this year include ▲354 billion KRW for customized smart factory energy management systems (FEMS) tailored to energy-intensive industries ▲approximately 29 billion KRW for MW-class floating offshore wind power systems ▲approximately 30 billion KRW for development of building exterior materials and equipment convergence technologies and performance evaluation systems.

To discover and plan large-scale convergence projects, a 'Technology Sensing Group' composed of personnel from private companies, public enterprises, government-funded research institutes, and academia will be operated. Plans also include introducing preliminary feasibility studies.

Twenty-six safety management-type projects will be selected and managed separately to strengthen safety management throughout all stages of technology development, from planning to evaluation. Specifically, these 26 projects require focused safety management during the technology development and demonstration phases of new projects.

Selected safety management-type projects will have safety management details specified in the Request for Proposal (RFP). Projects deemed 'inappropriate' in safety reviews during selection evaluation will be excluded from funding. Projects handling hazardous materials will undergo regular inspections by specialized institutions, and even after project completion, a safety officer will be designated to manage the project for five years.

Additionally, ▲50 new projects will be planned as 'demand-linked technology development,' involving energy public enterprises or large corporations as technology demanders ▲a 'Technology Innovation-type Energy Small Giant Company Development Project' will be introduced with a budget of 1.7 billion KRW ▲an 'Energy Convergence Graduate School' will be selected with 5 billion KRW over five years until 2024 ▲and energy industry technology cooperation with New Southern and New Northern countries will be strengthened.

On the same day, the Ministry announced 89 new support target projects (including 26 safety management-type projects) across 16 business areas such as renewable energy, demand management, and nuclear core technology development.

Funding for the announced projects, totaling 133 billion KRW, will begin at the end of April. From next month until March, business plans will be accepted, followed by selection evaluations to determine project executors before providing funding.