Minister Jo Myung-rae Introduces Plan to Use 'Yeon-gigeum' Pension Funds as Green New Deal Resources

Attended KEI Environmental Forum... "Emphasis Must Be Placed on 'Green'"
"Introduced Jeremy Rifkin's Book Content at Moon-Hosted Meeting"
Mentioned the Need for Long-Term Strategies Including Enactment of the Green New Deal Basic Act

Minister of Environment Jongmyung-rae / Photo by Hyunmin Kim kimhyun81@

[Asia Economy Reporter Kim Bo-kyung] On the 28th, Minister of Environment Cho Myung-rae introduced a plan to utilize pension funds as a source of financing for the 'Green New Deal,' which aims to stimulate the economy through eco-friendly investments.

Minister Cho attended the Korea Environment Institute (KEI) Environmental Forum held at The Plaza Hotel in Seoul that afternoon. The theme of this forum was "Development Direction of the Korean New Deal: Green New Deal."

Minister Cho conveyed that he recently introduced the core contents of futurist Jeremy Rifkin's book, "The Global Green New Deal," at a ministerial-level meeting presided over by President Moon Jae-in at the Blue House.

He said, "This book discusses social idle capital such as pension funds. It suggests mobilizing idle funds to be used as financing for the Green New Deal, with stakeholders enjoying the benefits of the projects."

He added, "The book describes promoting the Green New Deal by investing pension funds as 'social capitalism.' Since pension funds are savings collected by workers, the projects should benefit that class," he explained.

Minister Cho emphasized, "The Green New Deal should serve as a lever to lead our country's high-carbon economy toward a carbon-neutral economy. In response to the post-COVID-19 situation, we inevitably have to place emphasis on 'green.'"

Furthermore, regarding the Green New Deal projects the government is promoting, Cho stated, "In the third supplementary budget, we are focusing on short-term projects that can show effects by 2022."

He revealed that the Green New Deal projects are being prepared around three main pillars: greenhouse gas reduction, climate change adaptation, and green transition.

However, Minister Cho noted, "There are limitations in fully incorporating long-term and fundamental aspects. In the future, the National Assembly should enact the 'Green New Deal Promotion Basic Act' or establish promotion strategies and systems to proceed with a long-term perspective through national consensus."

He continued, "It is appropriate to promote the Green New Deal in alignment with the government's greenhouse gas reduction roadmap and the 2050 long-term low-carbon development strategy."

Finally, Minister Cho stated, "Since the Green New Deal can be a turning point for environmental policy and national policy transformation, the Ministry of Environment will make thorough preparations."