With the goal of an official launch in October, a subtle war of nerves is emerging over the organizational design of the Ministry of Climate, Energy and Environment. As the ministry's name suggests, it put "energy" at the forefront, but there is a growing possibility that the Energy Policy Office being transferred from the Ministry of Trade, Industry and Energy will be placed under the second vice minister.
While the first and second vice ministers have no difference in official rank, the first vice minister is seen as weightier because key units such as the Planning and Coordination Office and the General Affairs Division sit under the role, along with personnel authority. In the end, the existing organization of the Ministry of Environment, a ministry centered on regulation, would take the grip, leaving concerns over a "weakening of energy industry competitiveness," which have been consistently raised about the reorganization plan, unresolved.
According to the government on the 28th, the Ministry of Trade, Industry and Energy and the Ministry of Environment recently formed a joint working-level consultative body and have discussed the organizational plan for the Ministry of Climate, Energy and Environment with the Ministry of the Interior and Safety. Then, after documents related to the plan were leaked externally, it became known that the organization in charge of the Ministry of Environment's environmental policy would be placed under the first vice minister, while the Ministry of Environment's climate policy organization and the Ministry of Trade, Industry and Energy's Energy Policy Office would be incorporated under the second vice minister.
On this, the Ministry of Environment drew a line, saying, "No specific organizational structure has been finalized," but in government circles the content is viewed as the most likely scenario. It left members of the Energy Policy Office, who had been quietly hoping to be placed under the first vice minister, disappointed.
An official at the Ministry of Trade, Industry and Energy said, "Judging by the ministry name 'Ministry of Climate, Energy and Environment,' there was an expectation that energy would be emphasized, but in the end the traditional Ministry of Environment becomes the main actor," adding, "There is concern that the Energy Policy Office could become subordinate, as the existing environmental policy organization holds personnel authority."
Putting "energy" ahead of "environment" in the ministry's name was a symbolic move to show the government's will to bolster grid expansion and the spread of renewable energy. But as the actual allocation of authority gets out of step, concerns about "neglect of energy," which were raised as the pledge to establish a Ministry of Climate and Energy became a reality, are deepening.
Of course, the Ministry of Environment's position is not incomprehensible. Having served as a regulatory ministry, it feels a mission to prevent the environment from being pushed down the priority list. Members of the Energy Policy Office, since they are moving to the Ministry of Environment anyway, are trying to hide their disappointment, saying they "must not become estranged from the environmental policy organization."
However, this is turning into resentment toward the reorganization plan, which has created a structure that makes it fundamentally hard for either side to be satisfied. By lumping together "water and oil," which are difficult to mix from the start, a strange atmosphere has formed in which the two sides only watch each other's reactions.
A government official said, "As the Ministry of Environment and the Ministry of Trade, Industry and Energy have been ministries that clashed on every issue, they will feel a heavy burden toward each other," adding, "Since it is still unknown how the Ministry of Climate, Energy and Environment will be run after its launch, it seems we have no choice but to hope for positive synergy."
Now the future of Korea's energy industry rests in the hands of Minister Kim Seong-hwan, who will serve as the first commander of the Ministry of Climate, Energy and Environment. We hope Minister Kim can find an appropriate balance point and alleviate these concerns.