by Kim Bokyung
Published 19 Jul.2020 12:01(KST)
[Asia Economy Reporter Kim Bo-kyung] The Ministry of Environment and the Ministry of SMEs and Startups announced on the 20th that they will begin accepting applications to select 'Green New Deal Promising Companies' that will strategically respond to climate change and environmental crises.
Applications will be accepted from the 20th of this month until the 10th of next month through the Korea Environmental Industry & Technology Institute's research management system (ecoplus.keiti.re.kr) and the Korea Technology and Information Promotion Agency for SMEs' integrated management system (www.smtech.go.kr). After evaluation, 40 companies will be finally selected in September.
This year, a supplementary budget of a total of 40.7 billion KRW has been reflected, and selected companies will receive up to 3 billion KRW over the next three years for technology development and commercialization funds. The two ministries plan to start with 40 companies this year and select and nurture a total of 100 companies by 2022.
The selection of Green New Deal Promising Companies is a project promoted to establish an 'Innovative Green Industry Ecosystem,' one of the three major areas of the Green New Deal.
The Ministry of Environment plans to focus on nurturing SMEs in five leading green industry sectors such as clean air, resource circulation, and thermal energy through a green innovation company growth support program centered on commercialization support.
The Ministry of SMEs and Startups plans to focus on supporting innovative SMEs in the green technology sector through the Green Venture program centered on research and development (R&D) support.
According to EBI (Environmental Business International), a U.S. environmental consulting and research organization, the global green industry market is approximately 1.2 trillion USD, about three times the size of the semiconductor market.
The green industry is growing annually by around 4% despite the global real economy recession. Companies such as AECOM in the U.S., Veolia in France, and Siemens in Germany are generating trillions of won in revenue in the green sector.
The selection of Green New Deal Promising Companies was planned to create a foundation for leading companies in the green industry to emerge in Korea as well.
Meanwhile, the two ministries signed a memorandum of understanding last month to efficiently promote Green New Deal policies, including the selection of Green New Deal Promising Companies, and to jointly support the innovative growth of green SMEs and venture companies. Specific matters such as nurturing Green New Deal Promising Companies are communicated through policy councils.
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