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Energy Vice Minister Position Proposed, Faces April National Assembly Approval... Industry Minister Nominee Prioritizes Nuclear Power and Resources Review

Government Organization Act Amendment Bill to Be Submitted at the Full Meeting of the Public Administration and Security Committee on the 26th

Energy Vice Minister Position Proposed, Faces April National Assembly Approval... Industry Minister Nominee Prioritizes Nuclear Power and Resources Review [Image source=Yonhap News]


[Sejong=Asia Economy Reporter Kwon Haeyoung] Attention is focused on whether the government organization act amendment bill to establish a dedicated energy vice minister in the Ministry of Trade, Industry and Energy will pass the National Assembly this month. Along with the establishment of the 'K-Semiconductor' support strategy to be announced next month, the creation of the energy vice minister position, which has been stalled for six months, is expected to be the first task for Moon Seung-wook, the nominee for Minister of Industry. After his nomination, Moon also prioritized reviewing energy policies such as nuclear power and resources.


According to the National Assembly and the Ministry of Trade, Industry and Energy on the 20th, the National Assembly's Public Administration and Security Committee will place the government organization act amendment bill, which centers on establishing an energy vice minister, on the agenda for the plenary session scheduled for the 26th. This comes about a month after the committee's first subcommittee on bill examination passed the amendment bill last month.


Previously, President Moon Jae-in announced in November last year that a dedicated energy vice minister would be established within the Ministry of Trade, Industry and Energy to promote energy transition policies. Currently, the ministry has two vice ministers: one in charge of industry and energy, and the other heading the trade negotiation bureau. With the increasing importance of carbon neutrality, the Blue House judged that establishing a dedicated energy vice minister is necessary to accelerate the energy transition policy.


Unlike South Korea, where the establishment of the energy vice minister position has not progressed due to opposition from opposition parties, major countries such as the United States, Germany, and Japan have separate energy-dedicated ministries or vice ministers. Japan has the Agency for Natural Resources and Energy under the Ministry of Economy, Trade and Industry, with one minister (vice minister level) and one vice minister, effectively two vice ministers dedicated to energy policy. Germany's Federal Ministry for Economic Affairs and Energy has one of its three state secretaries dedicated to energy policy. The United States has an independent Department of Energy, with one secretary, one deputy secretary, and one undersecretary for science and energy, totaling three ministers and vice ministers overseeing energy policy.


Inside and outside the Ministry of Trade, Industry and Energy, the first tasks for nominee Moon Seung-wook are cited as establishing the K-Semiconductor policy to be announced next month and the stalled establishment of the energy vice minister position, which has been stagnant for six months. Opposition parties oppose the creation of the energy vice minister position as part of their party line linked to the anti-nuclear power policy, causing discussions on the government organization act amendment bill to go in circles. Since the establishment of the energy vice minister position is far from livelihood bills and faces strong opposition from opposition parties, even the ruling party is not putting much effort into passing the bill.


However, there is cautious optimism that progress may be made in establishing the energy vice minister position given Moon's close ties to the current administration. Moon worked in the Blue House's Office of National Affairs alongside Kim Kyung-soo, Governor of Gyeongsangnam-do, during the Roh Moo-hyun administration, and from July 2018, he served as the political appointee Deputy Governor for Economic Affairs of Gyeongsangnam-do. Last year, he moved to the Office for Government Policy Coordination as the second vice minister, coordinating industrial policies with former Prime Minister Chung Sye-kyun.


Meanwhile, after his nomination as Minister of Trade, Industry and Energy, Moon focused on reviewing energy policies during his first day at work on the 19th to prepare for the confirmation hearing. It is reported that Moon received briefings on nuclear power industry policies and resource industry policies in the morning and afternoon the previous day, and also received intensive briefings on energy policies on that day.


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