Vice Minister of Economy and Finance: "New Climate Response Fund to Be Established Next Year... Focused Investment on Four Core Carbon Neutrality Tasks"

Ando-geol, 2nd Vice Minister of Ministry of Economy and Finance, to Hold 'Environmental Budget Council' on 27th
Establishing Carbon Neutrality Implementation Foundation, Improving Living Environment, Building Climate Response Safety Net
Carbon Neutrality Tasks Including Greenhouse Gas Reduction and Support for Coal Phase-Out Restructuring

Ando-geol, 2nd Vice Minister of Strategy and Finance. (Photo by Yonhap News)

[Sejong=Asia Economy Reporter Moon Chaeseok] Ando-geol, Vice Minister of Strategy and Finance, announced on the 27th that a climate response fund will be established next year, and the budget will be concentrated on the four core tasks of carbon neutrality. The four tasks are greenhouse gas reduction, fostering innovative companies, supporting coal phase-out restructuring, and expanding research and development (R&D).

On the morning of the same day, Vice Minister Ahn visited the Osong Greenhouse Gas Comprehensive Information Center and held a budget consultation meeting on the environmental sector with the Ministry of Environment, related organizations, academia, and industry.

At the consultation meeting, he stated, "The direction of fiscal investment next year is to establish a foundation for carbon neutrality implementation, improve living environments such as water, air, and waste so that the public can feel the effects, and advance safety nets to respond to climate and environmental crises."

Among the major policies, establishing a foundation for carbon neutrality implementation was highlighted first. To this end, he pledged to implement the four core tasks: ▲supporting investment in greenhouse gas reduction in the industrial and public sectors ▲fostering innovative green industry companies ▲supporting industry, workforce, and regional transition for coal phase-out sectors ▲operating customized systems for a carbon-neutral society and expanding R&D.

To achieve the goal of distributing 1.13 million electric vehicles and 200,000 hydrogen vehicles by 2025, plans are in place to utilize accounts and funds such as the Special Account for Environmental Improvement and the Special Account for Energy and Resource Projects. Investments in energy transition will also be supported without delay.

To improve the living environment, support will be provided for ▲implementing the nationwide smart water supply project by 2023 ▲completing the first phase of aged water supply maintenance by 2024 ▲investing in fine dust reduction through early scrapping of old diesel vehicles ▲creating resource circulation clusters such as for waste plastics and waste batteries.

To prepare for disasters such as droughts and floods, the flood forecasting system will be advanced, and a smart dam safety management system will be established. Fiscal resources will also be invested in building systems for automatic measurement and reduction support of artificial environmental harmful factors such as asbestos, radon, noise, and vibration.