Ministry of Environment Targets 100 Trillion Won in Green Industry Orders by 2027

Environment Minister Han Hwa-jin is holding a policy meeting with Choi Jin-sik, chairman of the Korea Federation of Medium-sized Enterprises, and other medium-sized business leaders at the Korea Federation of Medium-sized Enterprises in Mapo-gu, Seoul, on the 6th. Photo by Kim Hyun-min kimhyun81@

[Asia Economy Sejong=Reporter Dongwoo Lee] The government has set a target of 20 trillion won for green industry export orders this year. The plan is to make this year the inaugural year for green industry exports, which had previously remained in the domestic market, and to achieve 100 trillion won in orders by 2027.

On the 3rd, the Ministry of Environment reported this year's work plan, which includes measures to leap forward as a green industry export nation, to President Yoon Seok-yeol. Green industry refers to industries that rebuild existing industrial structures in an eco-friendly way to establish a nature-friendly system. The core is to pursue high efficiency in energy and resource use across economic activities and low-carbon growth in the production of goods and services.

Green Industry Orders Target 100 Trillion Won by 2027

First, customized export strategies by region such as the Middle East and Central and Southeast Asia will be established to actively promote the overseas expansion of green industries, which have so far remained in the domestic market. The target for orders in the green industry sector this year is 20 trillion won.

The projects expected to receive orders by the Ministry of Environment include the Oman and Saudi Arabia green hydrogen production facility project (15.4 trillion won), the Philippines hydropower and Oman-Australia solar power projects (800 billion won), Bangladesh industrial complex water and sewage projects (1.7 trillion won), Indonesia, Saudi Arabia, and United Arab Emirates (UAE) seawater desalination plant projects (1.8 trillion won), Uzbekistan landfill gas power plant project (100 billion won), and Poland incinerator expansion project (300 billion won).

In particular, a memorandum of understanding related to the Oman green hydrogen production facility project is scheduled to be signed next month. It is reported that as a condition for the order, a plan to import some of the produced hydrogen to Korea to guarantee a certain demand is being discussed. The Ministry of Environment plans to launch a public-private joint 'Green Industry Export Alliance' led by the minister this month to prepare export strategies, and ministers and vice ministers will visit Oman, Uzbekistan, and Indonesia in the first quarter of this year to conduct sales diplomacy.

To solve the biggest difficulty of environmental industry companies, which is financing, green bonds and green finance will be activated. This year alone, about 3 trillion won worth of green bonds and 3.5 trillion won worth of policy finance, totaling 7.2 trillion won, will be supported.

450,000 Zero-Emission Vehicles to be Supplied by 2030

The Ministry of Environment is also promoting measures to expand the domestic market and induce technological development in line with the global automobile market being reorganized around zero-emission vehicles such as electric and hydrogen cars. The cumulative target for zero-emission vehicle supply is 700,000 units this year, 2 million units by 2027, and 4.5 million units by 2030. Regarding electric vehicle subsidies, the Ministry of Environment stated that it is currently reviewing a plan to reflect whether manufacturers have a post-management system this year.

Regarding waste batteries, which are expected to increase along with the rise in electric vehicles, the development of high-efficiency recovery technologies for rare metals such as nickel and cobalt will continue. The U.S. environmental consulting and research institute EBI estimated the global green industry market size at 1.3421 trillion dollars. However, the domestic market size is 26.4 billion dollars, which is less than 2% of the global market.

In line with the nationally enhanced greenhouse gas reduction target (NDC: 436.6 million tons by 2030, a 40% reduction compared to 2018) set two years ago, the Ministry of Environment plans to announce the 'National Carbon Neutral Green Growth Basic Plan,' which includes reduction paths by sector and year, by March.

To reduce waste, national and local government waste reduction targets will be established within the year. A plan to shift the collection of recyclable waste such as waste paper and waste vinyl in apartment complexes from the private sector to the public sector will also be promoted. Currently, 'valuable waste' such as waste paper is collected by the private sector, but there is a constant risk of problems arising when collection stops due to price drops.

Infrastructure Investment for Flood Preparedness

For public safety, the water management system will be completely transformed focusing on science and practicality. Bold and continuous investment will be made in flood preparedness infrastructure, and the four major rivers' weirs, which have been the subject of ongoing debate, will be utilized to benefit local communities and residents, thereby enhancing the value of water use.

Currently experiencing severe water shortages in regions including Gwangju and Jeonnam, the water supply networks of dams, weirs, and reservoirs nationwide will be connected like a spider web. To prepare in advance for increasing water demand and eliminate blind spots in water supply, new water resources will be diversified using water technologies such as wastewater reuse, seawater desalination, and underground storage dams.

Additionally, the world's first national-level artificial intelligence flood forecasting and a virtual model (digital twin) capable of predicting dam-river flooding will be introduced to provide early risk information, securing golden time to reduce casualties and property damage. The production of flood risk maps assessing river flooding and urban inundation risks will be advanced from the original 2025 schedule to 2024 to be utilized for infrastructure investment.

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