SMEs say "It's like pouring oil on a fire caused by COVID-19"... Concerns over strengthened enforcement of the 'Hwagwan Act'

Headquarters of the Korea Federation of Small and Medium Business

[Asia Economy Reporter Kim Daeseop] The small and medium-sized enterprises (SME) sector expressed deep concern on the 5th regarding the Ministry of Environment's plan to strengthen enforcement following the full implementation of the Chemical Substances Control Act (Chemicals Control Act).

The Korea Federation of SMEs stated in a commentary on the same day, "Given the extremely difficult business environment for not only small business owners but also SMEs due to the recent impact of the novel coronavirus disease (COVID-19), strengthening enforcement of the Chemicals Control Act would be like pouring oil on a fire, further worsening business operations, which is very worrisome."

They urged the Ministry of Environment to provide a sufficient guidance period. The SME sector requested, "To enable SMEs to smoothly comply with environmental regulations, on-site support policies such as expanded facility improvement support and increased on-site inspection consulting support should be implemented, and instead of enforcement and punishment, a sufficient one-year guidance period should be granted."

They also emphasized the need to prepare regulatory improvement measures. The SME sector said, "We urge proactive measures for practical regulatory improvements, such as the introduction of an operation commencement reporting system and relaxation of small quantity standards, which have been continuously proposed by the SME sector in relation to the Chemicals Control Act," adding, "The SME sector will also strive to ensure that the law’s purpose of strengthening chemical safety is properly realized and will make every effort to revitalize the economy and create jobs."

The Chemicals Control Act is a system aimed at systematic management by evaluating the impact of chemical substances within workplaces on areas outside the workplace and supplementing hazardous substance management personnel to strengthen facility management of chemical substances. After a five-year grace period following the law’s amendment and enforcement starting January 2015, it has been fully implemented since January 1 of this year.

This content was produced with the assistance of AI translation services.