On The Promotion Policies Of The Use Of Renewable Energy Of South Korea

Energy industry is a pillar of the national economy,the exploration and use of energy has dramatically promoted the development and progress of human society and world economy.But the limited fossil energy of the world has constrained the sustainable development.The large amounts of pollutants produced in the process of energy usage leads to severe environmental deterioration,such as air pollution.The exploration and use of renewable energy is the best option,which,once converted into high-grade energy,can reduce the use of fossil energy.This is an important way of protecting the ecological environment and achieving a sustainable development of the economy.The market failure and market barriers in the renewable energy industry leads to an insufficient stimulation to the investment of the society in renewable energy development,therefore we need policy mechanism to internalize the social costs of the market failure.But due to the fact that these factors function at the same time,and interact with each other,it is a key issue,therefore,in the area of renewable energy policy research to choose appropriate policy tools,and design and implement in a reasonable manner.Renewable energy policies can be classified into two types,namely,demand-pull policies and supply-push policies,according to the types of market failure and objectives of the government.The demand-pull policies aim to promote the development of renewable energy industry by creating demand,promoting the demand of renewable energy market through internalizing the negative externalities and lowering market barriers,including increasing the profit of the investment in renewable energy industry through tax breaks and rebates,compulsory technology promotion or the direct investment of the government.The supply-push policies aim to lower the costs and risks of the investment in renewable energy industry by internalizing the positive externalities of technology innovation,application and marketization,including the subsidy of the government in the R&D and promotion of renewable energy technology.South Korea started to pay attention to the energy issue since the 1980 s,and has formulated policies and laws to promote the development and popularization of new energy and renewable energy.The year 1987 witnessed the promulgation of Act on the Promotion of the Development and Use of New and Renewable Sources of Energy,which is the basis of four basic plans of South Korea to promote the development and use of new and renewable energy and two national energy strategies,hence the goals of renewable energy popularization: low-carbon increase as a “new mode of national development”,the transformation from traditional energy to renewable energy,reduction of greenhouse gas emission,aiming to build South Korea into a world power in terms of ecological environment and create economic miracles boosted by clean energy.Supported by the market failure theory,sustainable development theory,public policy theories and rational choice theory,this article examines the beginning and development of South Korea's promotion policies in its renewable energy development,analyzes the content of South Korea's promotion policies in its renewable energy development,analyses the effects of South Korea's promotion policies in its renewable energy industry with both qualitative analysis and quantitative analysis methods through the taxation and financial policies and R&D promotion policies from the supply-push side,and power certificate trading market,carbon emission trading mechanism,clean energy mechanism from the demand-pull side.First,the effects of renewable energy popularization are examined from the perspectives of supply,consumption and infrastructure development.Second,the effects of South Korea's promotion policies in renewable energy development on its overall energy supply structure and renewable energy structure policies are examined.Third,effects of South Korea's promotion policies in renewable energy development on its renewable energy industry are examined in terms of its number of enterprises,number of employees and its turnover.Fourth,effects of South Korea's promotion policies in its renewable energy development on its reduction of greenhouse gas emission are illustrated through a study on its TPES carbon dioxide emission variation tendency.Fifth,the effects of South Korea's promotion policies in its renewable energy development on the efficiency of energy are manifested through the method of data development analysis(DEA).Finally,this article provides an overall evaluation on the promotion policies of South Korea in its renewable energy development,summarizes their experiences and lessons which can be learned by China,after a study on the content and existing problems of China's promotion policies in its renewable energy development.