Naju-si Initiates Correction Order Against Hanan's Arbitrary Change of Business Plan View original image


[Naju=Asia Economy Honam Reporting Headquarters Reporter Kim Yukbong] Jeollanam-do Naju City (Mayor Kang In-gyu) announced on the 1st that following the failure to reach a final agreement at the 'Public-Private Cooperation Governance Committee for Resolving Issues of the Combined Heat and Power Plant' held on the 30th of last month, it has initiated administrative procedures for a corrective order on the occupancy contract to Korea District Heating Corporation Gwangju-Jeonnam Branch (hereinafter referred to as Hanhan), the operator of the combined heat and power plant.


Hanhan signed an industrial complex occupancy contract on April 30, 2014, while promoting the SRF combined heat and power plant project, but the power generation facilities were installed differently from the originally submitted business plan to the city, prompting administrative action to correct this.


Hanhan's original plan was to use SRF (225 tons/day) produced in Mokpo, Suncheon, and Naju as fuel, but currently, it intends to use Gwangju SRF, which constitutes a change in the occupancy contract as stipulated by the 'Act on Industrial Cluster Activation and Factory Establishment.'


The city warned that if Hanhan proceeds with operating the power plant without changing the occupancy contract, strong administrative and legal actions will follow.


Ultimately, the city maintained the position that "Gwangju SRF is not allowed" in operating the Naju combined heat and power plant.


Through the statement, the city reiterated its clear stance regarding the controversial Gwangju SRF issue.


The basis for installing the Naju combined heat and power plant, the 'Agreement on Cooperation for Waste-to-Energy Projects to Create a Resource Circulation Energy City in the Gwangju-Jeonnam Joint Innovation City' signed in March 2009, did not include Gwangju SRF.


However, Gwangju Metropolitan City had planned since 2011 to supply all Gwangju SRF to the Naju combined heat and power plant, and despite the city clearly expressing its refusal to accept Gwangju SRF through an official letter in 2013, it is responsible for selecting the 'POSCO Construction Consortium,' which designates the city as the SRF demand source, as the preferred negotiator for Gwangju Metropolitan City's combustible waste fuel project.


Mayor Kang In-gyu stated, "The current conflict over the Naju combined heat and power plant is a tragedy caused by Gwangju Metropolitan City's selfish waste policy and Hanhan's reckless project promotion."



He added, "Without resolving the SRF issue, we cannot guarantee regional development and the future of the innovation city. With a desperate heart, I will fulfill my role as the head of Naju city administration together with 120,000 citizens," and "We have reaffirmed a firm refusal regarding the import of Gwangju SRF."


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

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