Environment Minister Kim Sung-hwan said, "Even after the organizational reshuffle, the Ministry of Trade, Industry and Energy and the Ministry of Climate, Energy and Environment should coordinate fully like sibling departments."
Minister Kim said this at a "roundtable marking the 50th day in office and the government reorganization announcement" held at the Han River Flood Control Office in Seocho-gu, Seoul on the 9th, adding, "It is not something to be seen through the dichotomy of 'environment equals regulation, energy equals promotion.'"
This follows the government's announcement on the 7th that it would create a new Ministry of Climate, Energy and Environment by integrating the energy institutional sector of the Ministry of Trade, Industry and Energy with the Ministry of Environment. The Ministry of Climate, Energy and Environment will launch as early as early next month.
Minister Kim said, "There are many European countries that, like our country, run ministries by combining climate, energy, and environment," adding, "With the climate crisis being very serious, there is an urgent task to reduce the use of coal, oil, and gas while increasing renewable energy so as not to place a greater burden on the climate."
He then rebutted Democratic Party of Korea Supreme Council member Lee Eon-ju's criticism that creating the Ministry of Climate, Energy and Environment would make the Ministry of Environment, a regulatory ministry, responsible for industrial promotion. Minister Kim said, "I respect personal opinions, but the Lee Jae-myung administration's pledge to separate out a Ministry of Climate and Energy and have it work together with the Ministry of Environment is a promise to the people and the president's judgment," adding, "Concerns about contraction of the nuclear power industry will be addressed separately through proper consultations."
Minister Kim also distanced himself from a nuclear phaseout policy. Minister Kim said, "While there is an aspect of nuclear power being very dangerous that raises the question of 'should it be encouraged,' the share of renewable energy is extremely low," adding, "We should appropriately mix the nuclear plants we are operating." He went on, "The perspective on nuclear power needs to change," adding, "It is still dangerous, so it must be operated safely, but I hope you will not view the Minister of Climate, Energy and Environment as 'pro–nuclear phaseout.'"
Minister Kim also said the nuclear export apparatus should be slimmed down. He said, "The Barakah nuclear project was something Korea Electric Power Corporation did not have to be involved in, but it got pulled in because of its size," adding, "Basing exports around KHNP and crafting strategy there makes for a much leaner setup." By this, he meant there was no need for KEPCO to participate when Korea won the Barakah nuclear project in the United Arab Emirates (UAE) in 2009. This is interpreted as a comment following KHNP's filing in May with the London Court of International Arbitration (LCIA) against KEPCO, arguing that the settlement of Barakah construction costs was improper.
Regarding internal streamlining after the launch of the Ministry of Climate, Energy and Environment, Minister Kim said, "Research functions related to climate change, such as the Greenhouse Gas Information Center and the National Institute of Environmental Research, are scattered, so we need an integrated support body that systematically bundles them." On the direction for reorganizing affiliated public institutions, Minister Kim said, "The five state-owned enterprises that operate coal power each have an average of eight coal-fired plants," adding, "We may need to decide as early as possible on how to restructure them."
He began by saying, "There is a way to gradually reduce the scale." He added, "There is also a way to bundle and slim down the five generation subsidiaries excluding Korea Hydro & Nuclear Power, and transition them so they can take on new businesses such as offshore wind and other renewable energy."
He also said independence is needed for the Electricity Commission, which determines the electricity rate system. Minister Kim said, "The Electricity Commission is currently inside the industry ministry," adding, "Once the reorganization is complete, we will decide, in consultation with the presidential office, on the Electricity Commission's independence and on a power oversight agency for stable management."
On the Four Major Rivers, Minister Kim said, "If they do not flow, water stagnates, and if it stagnates, you cannot fundamentally resolve algal blooms," adding, "In principle, rivers should flow, but circumstances differ by river and by weir, so we judge that where opening is possible, it can be opened." He said, "It could be dismantled, but we will decide after a public deliberation process with local residents and experts."
Minister Kim added, "Over the five years of the Lee Jae-myung administration, we will respond to the climate crisis while growing new green industries," adding, "We will do our best to export as Team Korea and create good jobs at home."