Ministry of Industry,’Renewable Energy Act Enforcement Decree Amendment’ Legislative Announcement
Stepwise expansion from the current 3%… Increased by 0.5%p every 3 years
[에너지신문] The ratio of mandatory mixing of renewable energy fuels will increase to 5% by 2030.
The Ministry of Trade, Industry and Energy announced that the’Partial Revision of the Enforcement Decree of the New Energy and Renewable Energy Development, Use, and Distribution Promotion Act (draft)’ will be announced from February 1 to March 15.
The main purpose of this amendment is to gradually increase the ratio of the blending obligations of the RFS (Renewable Fuel Standard) system in operation to expand the use of new and renewable energy fuels, and to improve the domestic sales volume calculation standards for calculating the annual blending obligations.
In terms of main content, first, the ratio of the mixed obligation, which is currently 3%, will be increased to 3.5% starting in July 2021, and will be increased by 0.5%p every three years, and will be expanded to 5.0% in 2030. The Enforcement Decree of the New and Renewable Energy Act stipulates that the annual blending duty ratio should be reviewed every three years as of July 31, 2015, taking into account the level of new and renewable energy technology development and fuel supply and demand.
|
year |
Now(’18year–) |
‘21.7month–’23year (2.5year) |
’24–’26year |
’27–’29year |
’30year– |
|
Mixed duty ratio |
3% |
3.5% |
4.0% |
4.5% |
5% |
According to the Ministry of Industry, a research service conducted in February last year showed that even if the mixing ratio was raised to 5%, vehicle performance was not affected beyond the legal standard. In addition, although the cost of fulfilling the obligations of the combined obligors increases, it is analyzed that there is economic feasibility when comprehensively considering the national environmental benefits such as the effect of creating new and renewable markets and reducing greenhouse gases.
In addition, the standard for domestic sales volume of petroleum refiners (the previous year) for the calculation of the annual blending obligations was changed to’the year’ with the oil exporters and importers. Through this, petroleum refiners can respond flexibly to market fluctuations, such as the possibility of fluctuations in sales volume compared to the previous year, such as whether or not they will be successful in auctions, and a decrease in diesel sales due to the expansion of eco-friendly vehicles.
Along with this, the Ministry of Industry is reviewing the introduction of a flexible fulfillment system recommended by the oil refining industry (allowing to deposit excess amounts of mixed obligations and deferring insufficient amounts). In response, it plans to stipulate a specific flexible ratio in the enforcement decree when the legislation is passed.
The Ministry of Industry and Industry is planning to complete the revision of the enforcement decree by the end of June and enter into full-scale implementation from July 1st.
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