To Achieve Carbon Neutrality... Establishment of Zero-Emission Vehicle Distribution Targets and Significant Expansion of Electric Vehicle Charging Stations

Ministry of Environment's Innovation Plan for Zero-Emission Vehicle Distribution

[Asia Economy Reporter Joo Sang-don] The government's recently announced implementation plan for this year’s goal of achieving the "300,000 Zero-Emission Vehicle Era" focuses on establishing new distribution targets for zero-emission vehicles and significantly expanding electric vehicle charging stations.

Until now, distribution targets were set only for low-emission vehicles, which include electric and hydrogen vehicles, hybrid vehicles, and some gasoline and liquefied petroleum gas (LPG) vehicles with low emissions. However, this year, a new distribution target has been established exclusively for electric and hydrogen vehicles, i.e., zero-emission vehicles.

Starting this year, at least 1 out of every 10 vehicles sold must be an electric or hydrogen vehicle, with targets set at 10% in 2021 and 12% in 2022. To enhance the effectiveness of the distribution target system, the Ministry of Environment plans to impose contribution fees on manufacturers who fail to meet the targets. For example, if a manufacturer with a target of 100 vehicles distributes only 80 zero-emission vehicles, a contribution fee will be charged for the remaining 20 vehicles. These fees will be used to expand electric and hydrogen charging infrastructure. The exact level of contribution fees for unmet targets will be finalized through a research project this year.

Manufacturers who fail to meet the distribution targets must either purchase excess credits from other companies or adjust their targets by carrying over surplus or deficit amounts over a three-year period.

The distribution target for low-emission vehicles, which was 15% last year, will be raised to 18% this year and further increased to 20% next year.

Expansion of electric charging stations and disclosure of location information will also be promoted. Approximately 2,800 rapid chargers and more than 123 ultra-rapid chargers will be installed at high-demand mobility hubs such as highways and gas stations. In particular, over 30,000 customized chargers, including streetlight and outlet-type chargers, will be expanded near residential areas and workplaces, considering parking conditions and usage environments. More than 24,000 outlet-type slow chargers will be installed this year in existing apartment parking lots where installing high-speed chargers is difficult, and 1,000 streetlight-type chargers will be pilot-installed on side roads in densely populated multi-family residential areas where securing outlets is challenging. The goal is to install a total of 500,000 electric chargers by 2025.

Provision of charging station location information will also be strengthened. Currently, out of a total of 64,000 electric vehicle chargers, only about 28,000 (43%) have publicly available location information. Although related laws require electric vehicle chargers to be installed at a ratio of one charger per 200 parking spaces in apartments with more than 500 households, this location information has not been disclosed. The Ministry of Environment plans to complete the establishment of a system to verify the location information of all chargers within this year. A ministry official stated, "Currently, only residents who know the location of chargers within apartments can use them, but once location information is disclosed, visitors will also find it convenient to use them," adding, "We will do our best to create a convenient charging environment through charger expansion and location information disclosure."