Greenhouse Gas Energy Target Management Scheme

Abstract

KEPB Issue 4, Volume X, 2012 In 2009, the Korean government announced a goal of 30% reduction of greenhouse gases against anticipated emissions (BAU) by 2020. Also, Korea declared to the world that it will actively respond to the global greenhouse gas reduction and implemented systematic low carbon green growth. To achieve the reduction goal, the 「Framework Act on Low Carbon, Green Growth」 was enacted in January 2010. As a result, the greenhouse Gas & Energy Target Management System (TMS) was introduced from 2012. As of October, 2011, 458 firms are designated as the target firms and their allowable greenhouse gas emissions in 2012 is 598 million CO2 tons, which accounts for 1.44% of the estimated emissions reduction goal. Most of target firms currently participating in the TMS are expected to participate in the emissions trading scheme (ETS). According to the Greenhouse Gas Emission Trading System Act which was promulgated in May this year, firms that emit more than 25,000 tons of greenhouse gas must participate in the ETS (2015). Therefore, installation that emit more than 25,000 tons of greenhouse gases automatically will be switched to ETS from the Goal Management System in 2015. The method for target setting and MRV of the TMS will be utilized in the ETS.