Minister Kim Seonghwan Holds Stakeholder Meeting
"Support for Industrial Transition for Existing Heating Workers"
The government has decided to provide 70% of the installation costs when a heat pump is installed in a single-family home equipped with solar panels. The government has designated this year as the “first year of electrified heating” and plans to actively promote the distribution of heat pumps.
On the morning of March 4, Kim Seonghwan, Minister of Climate, Energy and Environment, held a meeting with heat pump stakeholders at FKI Tower in Yeouido, Seoul, where he announced plans to promote the distribution of heat pumps, the direction of the electrified heating project, heat pump technology development tasks, and support measures for the heat pump industry transition.
The meeting was attended by six domestic heat pump manufacturers, including Samsung Electronics, LG Electronics, KyungDong Navien, Daesung Heat Enersys, Century, and Otech Carrier, as well as companies specializing in heat pump installation, thermal storage tank manufacturers, and virtual power plant (VPP) operators.
The previous day, at a Cabinet meeting, the amendment to the Enforcement Decree of the Renewable Energy Act was approved, officially including air-source energy as a type of renewable energy. This institutional change, alongside existing geothermal and hydronic sources, has established a foundation for the distribution of air-source heat pumps. The Ministry of Climate, Energy and Environment stated, “We plan to make 2026 the first year of electrified heating and will promote the electrified heating distribution business.”
Considering this is the initial phase of distribution, the government plans to support installations mainly in warmer regions such as Jeju and Gyeongnam this year, targeting single-family homes equipped with solar panels. Seventy percent of the heat pump installation cost (40% national funding, 30% local funding) can be subsidized. To strengthen domestic industrial competitiveness, the government will only provide support for heat pumps that meet a certain performance standard.
Minister Kim Seonghwan said, “Starting in 2026, we will accelerate the distribution of heat pumps to solidify the domestic market, and based on this, we will support our companies in gaining competitiveness in the global market. We will also ensure that existing workers in the heating industry are not left behind by providing support for industrial transition.”
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