Daejeon City Regrets Ministry of SMEs and Startups' Move to Sejong... "Concerns Over Interregional Public Institution Competition and Conflict"

[Asia Economy (Daejeon) Reporter Jeong Il-woong] The Daejeon city government expressed regret over the Ministry of SMEs and Startups' (hereinafter referred to as the Ministry) move to relocate to Sejong through an official statement.

According to the city on the 21st, the Ministry recently submitted a letter of intent to the Ministry of the Interior and Safety expressing its wish to move from Daejeon (currently housed in the Government Complex Daejeon) to Sejong.

Since the Ministry was upgraded from the Small and Medium Business Administration in 2017, its scope has expanded, resulting in a shortage of office space. The Ministry argues that since many other government departments at the vice-ministerial level have already relocated to Sejong, it is reasonable for the Ministry to also move to Sejong to facilitate smooth coordination.

However, the city clearly opposed the Ministry’s position by expressing regret over the relocation to Sejong.

First, the city stated, “We strongly regret that the Ministry’s relocation to Sejong is being carried out at the government level,” and emphasized, “The Ministry’s move to Sejong contradicts the grand cause of national balanced development.”

The city’s grounds for opposing the Ministry’s relocation to Sejong include: ▲ relocating public institutions located outside the metropolitan area to Sejong contradicts the original purpose of alleviating metropolitan overpopulation and promoting national balanced development at the time of Sejong’s establishment ▲ violating the relocation institution selection principle set in the 2005 ‘Plan for the Relocation of Central Administrative Agencies,’ which excludes the Government Complex Daejeon and institutions located outside the metropolitan area ▲ the possibility of fierce competition among regions to attract public institutions located outside the metropolitan area and the potential for interregional conflicts if relocation of such institutions is allowed.

Based on these reasons, the city argued, “Since the launch of Sejong City, Daejeon has already suffered enormous losses due to the rapid outflow of population and corporations,” and “If the Ministry and its affiliated institutions also relocate to Sejong, urban decline is expected to accelerate further.”

In particular, regarding the Ministry’s rationale for relocating to Sejong, the city pointed out, “The shortage of office space caused by the upgrade to a ministry can be resolved by utilizing the remaining land within the Government Complex Daejeon, and considering that the travel time between Daejeon and Sejong is around 30 minutes, the argument that the Ministry needs to relocate its office to facilitate inter-ministerial coordination is disconnected from reality.”

Meanwhile, Mayor Heo Tae-jung of Daejeon visited the press room and described the Ministry’s recent move to Sejong as “a very disappointing matter,” adding, “We will strengthen cooperation with the political sphere and civil society until the Ministry withdraws its intention to relocate to Sejong.”