By E-Yon Park

Asian countries have experienced spectacular economic growth and approximately 270 million people have been raised out of poverty between 1990 and 2004 (Zhang, 2008). However, this economic progress has come at a high cost. Asia relies heavily on coal as its main commercial energy source.

Coal consumption in developing Asian countries accounted for 44% of their total primary energy and 57% of their total commercial energy consumption in 2004, in comparison with the corresponding world average of 25% and 28% (IEA, 2006).

In the case of South Korea, energy sector is responsible for more than 80% of the GHG emissions in the country. South Korea is currently ranked 10th in the world in terms of energy consumption and imports 97% of its energy from abroad (Kang, 2008).

As the world's second-largest economy, Japan is a fifth-largest emitter of greenhouse gases, which are a major contributor to climate change. Japan has been under pressure to introduce tougher policies on climate change after its emissions rose last year to 16% above the Kyoto target, which it played a leading role in agreeing in 1997 (BBC, 2009).

At the national and international level, renewable energy and carbon emissions reduction have become the focus of environmental policy in two countries. In 2005, Korea's state-controlled power monopoly Korea Electric Power Corporation (KEPCO) and several other state-run companies agreed to spend a combined 1.1 trillion won ($1.09 billion) on developing renewable energy from 2006 through 2008, supported by the Ministry of Commerce, Industry and Energy.

In the case of Japan, the country has launched the Post-2012 Framework in 2009 as a main initiative on climate change, which provides climate-change related assistance to developing countries that are aiming to achieve both emissions reductions and economic growth (Cool Earth Partnerships). This Post-2012 Framework is Japan's new medium-term strategy which eventually targets cutting global emissions by 2050 in a long-term. To accelerate global emissions reduction by supporting climate change issue, much more specific nation-wide energy conservation scheme is crucial.

Two countries introduced renewable energy targets to achieve by this year.

(Kang, 2008)

In addition to policies on renewable energy targets,  Zhang (2008) proposes that “governments need to put in place policies and incentives favourable to the widespread use of renewable energies”. Suggested policies include public research, development, and demonstration programs, feed-in tariffs, renewable energy mandates, tax credits for investment and production, preferential loans, accelerated depreciation rates, technology-forcing regulations, reduction on import duty and export facilitation, consumer purchasing, green certificate trading, and competitive bidding. 

References

• Zhang, ZhongXiang (2008) Asian Energy and Environmental Policy: Promoting Growth While Preserving the Environment, Korea Economic Institute, the KEI Northeast Asian Energy Outlook Seminar, Washington, DC, May 6, 2008
• International Energy Agency (IEA). 2006. World Energy Outlook 2006. Paris: IEA.
• Kang, Seonjou (2008) Korea's Pursuit of Energy Security,  Korea Economic Institute, the KEI Northeast Asian Energy Outlook Seminar, Washington, DC, May 6, 2008
• BBC,  Japan vows big climate change cut, 7 September 2009, available from  http://news.bbc.co.uk/2/hi/8241016.stm
• Toward COP 15 Japan’s Initiative on Japan’s Climate Change, May 2009, Version 3, Ministry of Foreign Affairs of Japan