[2023 Budget] Ministry of Environment's 13.7 Trillion Won Budget for Next Year... Strengthening Flood Prevention and Carbon Neutrality

3.8% Increase Compared to This Year's Original Budget

[Image source=Yonhap News]

[Asia Economy Sejong=Reporter Dongwoo Lee] The Ministry of Environment's budget for next year has been set at approximately 14 trillion won, marking a 3.8% increase compared to this year's main budget.

According to the government on the 30th, the Ministry of Environment's budget proposal for next year is set at 13.7271 trillion won. The budget consists of 11.8463 trillion won, up 2.4% from the previous year, and funds totaling 1.8808 trillion won, an increase of 13.6%.

The Ministry of Environment plans to focus next year's budget on ▲ public safety issues such as floods, urban inundation, and drinking water accidents ▲ responding to citizens' environmental basic rights and environmental service demands ▲ and continuous green investments.

First, to prevent urban flooding and river floods, 741.8 billion won will be invested in the installation and expansion of sewage treatment plants, a 49.4% increase from the previous year. The sewer pipeline maintenance project will also see a 54.9% increase, with 149.3 billion won allocated. To fundamentally prevent flooding damage in areas such as Gwanghwamun and Gangnam Station in Seoul, the installation of two deep rainwater tunnels (total project cost of 600 billion won) will be pursued. Additionally, 3 billion won will be newly invested this year to install flood prevention facilities around Dorimcheon Stream.

Efforts to strengthen the safety of drinking water, including issues such as waterborne larvae and algae blooms at water intake sources, will be enhanced. A new allocation of 22.7 billion won has been made for installing precision filtration devices at 153 water purification plants across 46 local governments nationwide. To respond to algae blooms in public water bodies, 84.9 billion won will be invested, a 19.2% increase from the previous year. The budget for advancing the chemical substance management system has been increased to 56.7 billion won for next year.

For zero-emission vehicles (electric and hydrogen cars), to achieve the in-term supply target (2 million units cumulative), a budget will support 290,000 units next year (273,000 electric vehicles, 17,000 hydrogen vehicles), and 2.7402 trillion won will be invested to expand charging infrastructure by 62,000 units.

The early retirement subsidy, previously applied only to grade 5 old diesel vehicles, will be expanded to include grade 4 old diesel vehicles (new, 90,000 units) and construction machinery (new, 10,000 units), increasing the budget to 398.7 billion won. Additionally, 518.9 billion won will be invested in charging infrastructure construction projects.

To supply 20 new waste treatment facilities, including 6 landfill sites and 9 incineration plants, across about 20 local governments, the budget has been increased to 146.8 billion won. Furthermore, 8.75 billion won will be newly invested to install 1,500 unmanned collection machines for disposable cups to support the 'Disposable Cup Deposit System' scheduled to be implemented from December 2 this year.

As part of achieving carbon neutrality, the budget for supporting reduction equipment for companies subject to the 'Greenhouse Gas Emissions Trading System' (684 companies) and the 'Greenhouse Gas Target Management System' (355 companies) has been increased to 138.8 billion won, and 90.9 billion won has been allocated for building smart eco-factories.

To support the creation of a low-carbon industrial ecosystem for small and venture businesses, the Future Environmental Industry Investment Fund has been increased to 45 billion won, and long-term low-interest loans for eco-friendly facility investments will be doubled from the previous year to 100 billion won. Additionally, 24.3 billion won will be invested in activating green policy finance projects.

To expand public awareness and encourage practice of carbon neutrality, the Carbon Point System will be expanded, and the number of carbon neutrality experience centers will be increased from one this year to three next year, with a budget of 4.5 billion won allocated.

Eighteen billion won will be invested in installing three pyrolysis facilities for waste plastics, and 1 billion won will be newly allocated for clean hydrogen production using biogas. A total of 37.1 billion won will be invested in resource circulation cluster projects in Pohang, Busan, Jeju, and other locations.

Ninety-seven billion won will be invested in developing domestic technology for high-purity industrial water production processes, and 5 billion won will be newly allocated for domestic production of core equipment for water and air environment industries. The budget for technology development to promote recycling of waste resources has been increased to 8.05 billion won, and 6.3 billion won has been newly allocated for demonstration technology development for energy conversion using waste resources.

The Ministry of Environment's budget and fund operation plan for next year will be submitted to the National Assembly on the 2nd of next month and is expected to be finalized on December 2 this year after review and approval by the National Assembly. Minister Han Hwajin of the Ministry of Environment stated, "Next year's budget proposal for the Ministry of Environment has been organized to firmly establish the Ministry's role in securing public safety and providing high-quality environmental services, while faithfully supporting the transformation to a future-oriented economic and social structure such as carbon neutrality."