[2020 National Audit] Despite 'Ecological Industrial Complex' Achievements... Sharp Decline in Eco-friendly Equipment Support

Decrease in the Number of Participating Companies in the Project

[Asia Economy Reporter Kim Daeseop] Although the Ecological Industrial Complex Development Project has been achieving environmental results, its budget has decreased every year. It has been pointed out that increasing the project budget is important to alleviate the burden of greening and environmental costs faced by small and medium-sized manufacturing enterprises.

According to data submitted by the Korea Industrial Complex Corporation to Kim Kyung-man, a member of the National Assembly's Industry, Trade, Energy, Small and Medium Enterprises Committee from the Democratic Party of Korea, the amount of greenhouse gas emissions reduced through the Ecological Industrial Complex Development Project, which has been implemented since 2017, was 2,500 tCO2 in 2017, 4,166 tCO2 in 2018, and 1,424 tCO2 in 2019.

However, the number of companies participating in the project decreased every year, from 146 in 2017 to 85 in 2018, and 30 in 2019.

The Ecological Industrial Complex Development Project was established to recycle by-products, waste, and waste energy generated within industrial complexes as raw materials or energy sources for other companies or factories, thereby reducing sources of pollutants such as fine dust and greenhouse gases.

Support is provided for energy efficiency and greenhouse gas reduction facilities to individual small and medium enterprises and industrial complexes participating in the project, but the number of supported facilities has decreased annually, with 61 in 2017, 24 in 2018, and only 3 last year.

Despite visible achievements in reducing fine dust and greenhouse gases and the project's role in alleviating the cost burden of small and medium enterprises struggling with eco-friendly facility investments, the budget was nearly halved from 1.868 billion KRW in 2017 to 920 million KRW in 2019.

Regional disparities were also observed. A total of 88 facilities were supported across 63 complexes nationwide: 29 facilities (868 million KRW) in 16 complexes in Gyeongnam, 16 facilities (873 million KRW) in 12 complexes in Gyeonggi, and 11 facilities (1.81 billion KRW) in 10 complexes in Daegu. In contrast, only one facility (200 million KRW) was supported across 3 complexes in Gyeongbuk. Furthermore, no support was recorded for Seoul, Gangwon, Daejeon, Sejong, Jeonbuk, Jeonnam, and Jeju.

Assemblyman Kim Kyung-man stated, "Fortunately, with the government's Green New Deal policy direction and the next year's project budget increased to 2.1 billion KRW, the Korea Industrial Complex Corporation should actively work on discovering support demands and promoting policies to strengthen support for eco-friendly facility investments by small and medium enterprises and industrial complexes."

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