(Yonhap Interview) Transition to renewable energy to bring opportunities for export-oriented S. Korean economy: Climate Group chief

Expanding the role of green energy sources in South Korea’s energy mix will create economic opportunities in both trade and investment, the head of a renewable energy advocacy group said Wednesday.

Helen Clarkson, CEO of the London-based nonprofit Climate Group, made the remark during an interview with Yonhap News Agency in Seoul, noting that South Korea needs to prepare to meet global carbon pricing regulations, including the EU’s Carbon Border Adjustment Mechanism (CBAM).

“There’s a huge risk if Korea doesn’t adapt as quickly as some of its competitors,” Clarkson said. “There’s CBAM and other carbon pricing systems coming in, and they are on the near horizon.”

CBAM imposes import charges equivalent to the carbon emissions generated from the production of steel, cement, electricity, fertilizer, aluminum and other related products.

Clarkson added that adjusting to the global transition toward renewable sources will benefit South Korea by enabling it to maintain shipments to major trading partners while al
so reducing its reliance on imported energy sources.

The Climate Group CEO added South Korea should also harness more green energy sources, as a growing number of global companies will consider such factors when deciding where to roll out new investments.

“I think we are already seeing companies and others that are committed to, for example, buying green steel, questioning whether they will be able to source it from Korea in the future,” she added.

Clarkson cited the example of the Denmark-based Lego Group, which decided to build a factory running on renewable energy in Vietnam.

“I think you are going to see this increasingly, with companies saying we need a site where we can access renewables. That’s where Korea might start missing out on some of those opportunities,” she said.

Source: Yonhap News Agency