Exemption of Water Usage Charges and Reduction of River Water Fees for Cooling and Heating Using Suyeol Energy

Approval of the Amendment to the Enforcement Decree of the Act on Water Quality Improvement and Resident Support in the Hangang River Basin at the Cabinet Meeting

Exemption of Water Use Charge of 170 KRW per Ton
Application of River Water Usage Fee at 0.00633 KRW per Ton

Schematic diagram of river water thermal energy (heating and cooling) supply.

[Sejong=Asia Economy Reporter Joo Sang-don] The government has decided to exempt the water use charge and reduce the river water usage fee to enhance the economic feasibility of thermal energy using river water.

The Ministry of Environment announced that the amendment to the Enforcement Decree of the Act on Water Quality Improvement and Resident Support for the Han River Basin and other Four Major Rivers Basin Acts, as well as the amendment to the Enforcement Decree of the River Act, were approved at the Cabinet meeting on the 2nd.

First, to activate thermal energy, those who use river water to produce thermal energy will be exempted from the water use charge of 170 KRW per ton, and the river water usage fee will be reduced and applied at 0.00633 KRW per ton. The existing unit price for domestic and industrial water is 52.7 KRW per ton.

However, since the Ministry of Environment introduced the water use charge to improve water quality, conditions have been applied to ensure that there is no change in intake and discharge volumes and that no new water pollutants are included in the discharged water, minimizing the impact on the water quality environment.

The limit on the allocation of special support project funds among resident support projects under the Basin Act will also be expanded from the current 20% to within 30% for local governments managing water source areas. Special support projects are those selected and supported by the Four Major Rivers Basin Management Committee through local government competitions to promote regional development in water source management areas. This expansion of project fund allocation provides a financial foundation to strengthen support for local government regional development projects.

Shin Jin-su, Director of the Water Integration Policy Bureau at the Ministry of Environment, said, "With this amendment, the reduction of river water fees for thermal energy opens the way to actively contribute to carbon neutrality by expanding the use of renewable energy and reducing greenhouse gases." He added, "Furthermore, the institutional improvement of resident support projects provides an opportunity to protect water sources, improve water quality, and strengthen support for residents in 53 cities and counties in the upper reaches of the Four Major Rivers Basin."