Small Business Owners Who Replaced Old Heating and Cooling Units Reduced Electricity Usage by 2.8%

Ministry of Industry Focuses Support on 'Small Business Energy Costs'

It has been found that the electricity usage of small business owners who replaced old heating and cooling units with energy efficiency grade 1 products decreased by nearly 3%.

On the 14th, the Ministry of Trade, Industry and Energy held the 'Small Business Energy Efficiency Innovation Council' at the Seoul Regional Headquarters of the Korea Energy Agency, attended by the Small Business Federation, major industry associations, and related organizations, to review the performance of the high-efficiency equipment support project for small business owners.

The 'Old Heating and Cooling Unit Replacement Support Project' is a program that supports small business owners by covering up to 40% of the product cost when they replace cooling and heating units produced before 2015 with energy consumption efficiency grade 1 products.

According to the Ministry of Trade, Industry and Energy, as of the 13th, a total of 11,300 applications have been received for the support project, and 4,160 replacements have been completed. An analysis of 110 stores that completed replacements in July showed that electricity usage for the August billing period decreased by an average of 2.8% compared to the previous year. Compared to stores where replacements were not made, there was an energy saving effect of about 14.2%.

The refrigerator door installation project, which supports 40% of the installation cost when doors are added to open-type refrigerators, has been accepting applications mainly from food stores since the 7th of last month. The Ministry of Trade, Industry and Energy is continuing to promote the project to convenience stores and major food companies to discover additional support targets.

At the meeting, discussions were also held among participants on the swift and effective execution plan for the 2024 project budget, including 40 billion KRW in the second half of this year, as the government’s 2024 budget proposal includes an expansion of the support budget for high-efficiency equipment for small business owners.

Lee Won-ju, Director of Energy Policy at the Ministry of Trade, Industry and Energy, said, "The high-efficiency equipment support project is leading to business stability by alleviating the energy cost burden of small business owners," adding, "To reduce energy costs for small business owners, which is included as one of the 20 key tasks in next year’s budget plan, we will strengthen support in practical ways, such as discovering specialized items by industry."