Anyone Can Move Into the 'Startup Support Center' for New Venture Companies

A Total of 206 Public Institutions' Regulations to Shift to a Comprehensive Negative System

[Asia Economy Reporter Kwangho Lee] Any new venture company can now apply to move into the Startup Support Center. In addition, consumer litigation support will be available without field restrictions for lawsuits exceeding 30 million won.

Prime Minister Chung Sye-kyun held a government affairs review and coordination meeting at the Government Sejong Complex on the 7th and discussed and finalized the "Comprehensive Negative Regulation Transition Plan for Public Institution Regulations," which includes these measures.

The transition to comprehensive negative regulation has been continuously promoted jointly by related ministries since it was proposed as a new paradigm for regulatory innovation in new industries.

This plan focuses on ▲flexible legislative methods ▲introduction of regulatory sandboxes that suspend or exempt existing regulations to enable new products and services to be launched quickly in the market.

The plan includes a total of 206 cases: 60 to promote the development of new industries and new technologies, 56 to revitalize existing industries, 68 to alleviate inconveniences in residents' lives, and 22 to expand the foundation of an inclusive society.

First, the support targets for new industries and new technologies, which were rigidly defined, will be made more flexible. Previously, the eligibility for moving into the Startup Support Center was strictly limited to "specific companies or individuals," causing difficulties for excellent new venture companies attempting to start up. Going forward, a new classification type will be established to allow new venture companies with more innovative new technologies to move in.

Also, the scope of support for filming equipment for video content production will be converted to a negative regulation system, and the eligibility for participation in cooperative research for new technology development will be expanded. Until now, in cooperative research between Korea Electric Power Corporation and small and medium enterprises (SMEs) for new technology development, the participating SMEs were limited to specific fields and industries such as energy-related manufacturers, causing difficulties for SMEs in various other fields such as service industries to participate. Therefore, the eligibility for cooperative research participation will be changed from "enumerating specific fields and industries" to allowing all "SMEs" to participate.

Furthermore, the eligibility for consumer litigation support applications will be expanded. Until now, if the value of the lawsuit exceeded 30 million won, the eligibility for consumer litigation support was limited to "consumers in specific fields (medical, finance, insurance)," making litigation support impossible in other fields requiring expert assistance such as automobiles and housing. This has been comprehensively redefined and made more flexible. The government expects that consumer litigation support will be activated and damage relief strengthened.

In addition, for newly developed wood materials without existing prescribed quality testing methods, quality testing will be possible using methods proposed by the applicant. SMEs relocating from the metropolitan area to non-metropolitan areas can receive credit guarantee support without restrictions on specific industries. For national technical qualification exams lasting less than two hours, restroom use will be allowed during the exam.

A government official said, "We aim to complete the implementation of each transition task within this year," adding, "The implementation results of improvement tasks by public institutions will be linked to the Ministry of Strategy and Finance's '2020 Public Institution Evaluation' to ensure prompt execution." He continued, "In preparation for the post-novel coronavirus infection (COVID-19), we will focus on discovering and improving regulations closely related to corporate and public life, especially those related to the non-face-to-face economy and revitalization of the economy."

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