(Unofficial Translation)

Good morning, everyone. Climate crisis response is a matter of vital importance on which the survival and future of humanity hinges. Carbon neutrality by 2050 has become an irreversible dominant trend across the world. Over the next 30 years, humanity will embark on the great transformation of civilization – from a civilization based on fossil fuels to one reliant on green energy.

The world is already accelerating this transition to a carbon neutral society and economy, and a new international economic order is on its way. Major economies, including the European Union and the United States, have made the adoption of a carbon border tax a fait accompli. The move by global businesses and financial firms to limit their transactions and investments primarily to eco-friendly companies is spreading. As such, international economic regulations and the trade environment are rapidly changing. We should respond to these grand shifts actively rather than being dragged down by them. Taking it a step further, we need extraordinary determination to turn the current challenges into opportunities instead and catapult the Republic of Korea to an even higher level.

My Administration plans to submit to the United Nations within this year a long-term low-carbon development strategy that aims to achieve the goal of carbon neutrality by 2050. Also regarding the national greenhouse gas emission reduction target for 2030, we will make the earliest possible upward adjustment to our submission to the U.N. before 2025. Every effort will be made to ensure that – on the premise of a social agreement – the reduction target is raised before the end of my term in office. 

Moreover, we will swiftly put in place roadmaps and implementation strategies for each major task, including energy transition, industrial innovation, the shift to future cars, the establishment of an ecosystem for innovation, the realization of a circular economy and the pursuit of a just transition mechanism. A broader public consensus will be sought through a systematic and well-thought-out implementation plan based on in-depth research and review as well as sufficient communication.



First of all, we will begin by building a fully empowered pan-government implementation system. The public and private sectors will be brought together in a presidential committee tentatively named the 2050 Carbon Neutrality Committee set up to swiftly make the switch to a carbon-neutral society. We will also seek to create a new vice minister post in charge of energy policy within the Ministry of Trade, Industry and Energy to give the energy transition policy even greater traction. 

Achieving carbon neutrality by 2050 is never going to be easy. Korea announced its 2030 greenhouse gas emission reduction target a few years ago, however, the country’s actual output only began to decline last year. For this reason, compared with other countries, time is short for us to achieve carbon neutrality. Manufacturing and other industries with heavy carbon emissions make up a disproportionately high percentage of our economy. Our energy mix’s high reliance on fossil-fueled power plants and the insufficient supply of renewable energy remain immense stumbling blocks in our efforts to achieve carbon neutrality early.

Nonetheless, we can do it. The history of the Republic of Korea attests to this. We created the Miracle on the Han River from the ruins of war. Amid the foreign exchange crisis that necessitated a bailout from the IMF, we stood tall as an IT powerhouse. Even at this moment, Korea is playing a leading role in the world in terms of epidemic prevention and control. In our economic response, too, the country is performing miraculously well. We are more than capable of taking on the challenge of becoming carbon neutral as well. We possess the potential to turn this challenge into yet another opportunity to take off.

Our excellent low-carbon technology is leading the world in eco-friendly vehicles, batteries, energy storage systems and hydrogen. Our digital competitiveness and capacity for innovation in semiconductors, telecommunications and other areas rank among the best in the world. Should our two strengths – digital and green technologies – be combined and produce a synergy effect, our transition to a carbon-neutral society is certain to be accomplished at a quick pace that defies expectations. We have already started taking on the challenge of fusing the Green New Deal and the Digital New Deal – two major pillars of the Korean New Deal.

The great transformation to a carbon-neutral society will present opportunities to seek economic growth and simultaneously improve the quality of life. The Government will promote low carbonization in all economic spheres. A structural shakeup of the energy system is the starting point. The main source of energy will be shifted from fossil fuels to new renewable energy; the electrical grid and region-based dispersed generation will be expanded; and these efforts will be concentrated on fostering three new energy industries – renewable energy, hydrogen and energy related IT. 

Moreover, our status as a manufacturing powerhouse will be further strengthened through comprehensive innovations that give industry a low-carbon structure. We will make our manufacturing industry low-carbon and eco-friendly and provide full support for bold private-sector technological innovations. In particular, future cars will be fostered into a leading carbon-neutral industry. The production and supply of electric and hydrogen-powered vehicles will be expanded. By significantly increasing the number of charging stations, we will extensively transform the industrial ecosystem to focus on future vehicles. The Government will keenly focus policy efforts on the transitioning of the existing internal combustion engine industry and supporting parts manufacturers, as well as job related issues. 

We will also make all-out efforts to form a new low-carbon industry ecosystem. The hydrogen economy and other promising new industries will be nurtured and green economy-leading innovative business ventures and startups will be actively cultivated. Moreover, we will stimulate a circular economy that minimizes energy consumption by expanding the reuse and recycling of raw materials and goods. It is also important to make the urban and rural areas where we live carbon-neutral. We will ensure that people benefit from pleasant residential environments, for instance, by making villages and cities more energy self-sufficient and by making zero-energy buildings more common.  

The transformation into a carbon-neutral society should be a just transition without inequality and marginalization. We will encourage a stable industrial reorganization and job conversion by devising transition roadmaps for different industries. The Government will create a structure that generates jobs and profits for local residents by setting up customized strategies for each region and fostering locally led green industries.  

To achieve our goal of carbon neutrality, a solid institutional foundation must be put in place. In addition to the establishment of a special fund to respond to climate change, we will review the introduction of a conducive fiscal system such as a carbon budget system. In the mid to long term, reorganizing the tax and levy system will continue to be reviewed. We will also strengthen efforts, so government-backed financing can lead carbon neutrality and the private sector’s green investments increase. 

Science and technology are the main forces driving a civilization’s transformation. Every country is in a life or death struggle to secure innovative low-carbon technologies and entering an era of unbridled competition for technological innovation. We will significantly expand investment in new technology development and greatly strengthen the support system for R&D at the national level.
 
Another important task is raising our national prestige and diplomatic stature by strengthening international leadership with regard to climate change. We will increase our global leadership role regarding the green agenda by holding the P4G Korea Summit next year. International cooperation will be enhanced by promoting carbon-neutral cooperation among Korea, China and Japan while actively pushing Korea-EU carbon-neutral projects and solidifying cooperation with the incoming Biden Administration of the U.S. on climate change-related policies. We will also continue to actively engage in inclusive climate change cooperation with developing countries by, for instance, expanding Green New Deal-related Official Development Assistance and holding the ASEAN-Republic of Korea Carbon Dialogue.
 
Carbon neutrality is a task that must be driven consistently and vigorously in one direction for at least the next 30 years. We will do our utmost to establish a solid framework for carbon neutrality during my Administration rather than leave it for the next one. 

Thank you.