Ministry of Environment Supports Early Retirement of 840,000 Grade 4 Diesel Vehicles

[Asia Economy Sejong=Reporter Dongwoo Lee] The Ministry of Environment will support early scrapping for diesel vehicles with emission grade 4 starting next year. It is projected that if 840,000 diesel vehicles are scrapped early from 2023 to 2026, fine dust emissions will be reduced by approximately 3,400 tons annually, and greenhouse gas emissions will be reduced by about 4.7 million tons.

According to the Ministry of Environment on the 16th, the amendment to the "Enforcement Rules of the Air Quality Preservation Act," which expands the early scrapping support target vehicles to diesel vehicles with emission grade 4, will be promulgated on the 17th and take effect from January 1 next year.

Grade 4 diesel vehicles are those manufactured under the emission standards of the "Enforcement Rules of the Air Quality Preservation Act." They emit fine dust, including direct emissions and secondary formation in the atmosphere, at about half the level of grade 5 vehicles, while greenhouse gas emissions are similar to those of grade 5 vehicles.

The Ministry of Environment plans to support early scrapping from 2023 to 2026 for 840,000 out of 1.16 million grade 4 diesel vehicles registered domestically as of July 31 this year, which do not have particulate matter reduction devices installed and thus emit relatively more particulate matter.

The Ministry also announced that support for early scrapping or installation of particulate matter reduction devices for diesel vehicles without such devices among grade 5 diesel vehicles (hereinafter referred to as low-emission non-compliant grade 5 diesel vehicles) will be provided only until 2023. This is estimated to reduce about 8.4% of fine dust and about 4.8% of greenhouse gas emissions from vehicle emissions in 2018.

Early scrapping support can provide up to 3 million KRW for small and medium-sized vehicles, up to 30 million KRW for vehicles over 3.5 tons, and up to 40 million KRW for dump trucks and similar vehicles. Specific support conditions and amounts can be inquired about at the relevant local government offices.

Additionally, the Ministry of Environment plans to support early scrapping or installation of particulate matter reduction devices only until 2023 for diesel vehicles without such devices among grade 5 diesel vehicles (hereinafter referred to as low-emission non-compliant grade 5 diesel vehicles), which have been supported so far.

Park Yeon-jae, Director of Air Quality Policy at the Ministry of Environment, said, "We will do our best to prepare, including sufficiently allocating the related budget to ensure no disruption in supporting early scrapping of grade 4 diesel vehicles." He added, "Local governments are expected to complete related ordinance revisions during the remaining period of this year and actively promote the early scrapping project to residents. Also, since support for early scrapping of grade 5 diesel vehicles is about to end soon, we hope applicants apply by next year to receive support."