Government to Establish International Greenhouse Gas Reduction Platform in September: "Annual Reduction Targets to Be Set"

"Plan to Promote Linked with Official Development Assistance"

Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho is speaking ahead of the Cabinet meeting held on the 16th at the Government Seoul Office in Jongno-gu, Seoul. Photo by Hyunmin Kim kimhyun81@

[Asia Economy Sejong=Reporter Dongwoo Lee] The government is set to actively engage in international greenhouse gas reduction projects to achieve its greenhouse gas reduction targets by 2030.

On the 19th, Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho held the Foreign Economic Ministers' Meeting and the Foreign Economic Cooperation Fund Management Committee to discuss the "International Greenhouse Gas Reduction Project Promotion Strategy." International reduction is a system that recognizes part of the reduction performance when countries obligated to reduce greenhouse gases invest in foreign greenhouse gas reduction projects.

The government plans to establish an integrated inter-ministerial support platform next month to revitalize international reduction projects. The platform will include participating ministries attending the International Reduction Deliberation Committee, dedicated agencies responsible for frontline support, and international organizations to discuss and coordinate detailed policy tasks. The platform will conduct monthly progress checks and identify additional tasks to secure momentum for international reduction support policies.

Efforts will also be made to build a foundation for implementing procedures related to international reduction projects, including mid- to long-term plans. To support companies' swift project implementation and resolve procedural uncertainties, the government plans to complete the announcement of related regulations next month and establish specific project guidelines. Additionally, annual international reduction targets will be set, project requirements to achieve these targets will be derived, and annual government support plans based on mid- to long-term project needs will be prepared.

The government also intends to design an investment support model by the first half of next year that can generate additional economic effects, such as providing incentives for projects with a high ratio of domestically produced equipment usage. By the second half of next year, the feasibility of applying various purchase support models on-site?including long-term purchase contracts, competitive bidding, pilot trading, and options?will also be reviewed.

To expand intergovernmental contracts, the government plans to first induce international reduction cooperation from partner countries and promote international reduction projects in connection with Official Development Assistance (ODA). Furthermore, it will consider investing the Economic Development Cooperation Fund (EDCF) in international organization funds supporting international reduction projects and actively participate in international climate change discussions.

Deputy Prime Minister Choo said, "We will expand sources for project discovery and encourage domestic companies' project development and overseas market entry through public finance support for private investment."