1. Building Energy Efficiency and Renewable Energy Experience in South Korea

2. Index Background Planning Effort Change South Korea ’ s Renewable Energy Policy (Spatial Policy) Renewable Energy with Unilateral CDM The Case of Sosabeol Discipline of the Case

3. Background Previously, Planning deals with Environment, Economy, Equity At this point, Environment is more likely to be preservation, at most environment industry for preventing air and water pollution Recently, Energy Crisis & Climate Change causes Environment & Economy Connection Environmental Energy Development brings about Equity in certain level through providing new industry

4. Planning Effort Change in Energy Matter Previously, Energy matter was dealt with preservation or energy saving through urban design such as urban grid and compact city (Ewing, etc) Recently, Environmental Energy development makes planning field to energy producer through developing solar, bio, wind energy

5. South Korea ’ s Renewable Energy Policy Change ‘ The Second Renewable Energy Plan for the Technology Development, Usage, and Dissemination ’ 2003.12 - 10 years Plan(2003~2012) - Year 2002, the proportion of renewable energy in consumption is only 1.4%, Year 2011, 5%(the proportion of electric generation is 7%) - Year 2002, most of renewable energy is composed of waste disposal(93.5%), Year 2011, 56.54% portion of other renewable energy getting up

6. Spatial Dissemination Policy Until 2005, spatial policy for the renewable energy dissemination was not existent In 2006, the Ministry of Industrial and Resource joins to subside building Renewable Energy Town by Korea Land corporation, and now planning In 2007, the Ministry of Finance and Economy designated two ‘ renewable energy special zone ’ in Yeongdeok and Taean

7. Sosabeol in Pyongtack Public Development of Renewable Energy City TaeAn Renewable Energy Special Zone Yeongdeok Renewable Energy Special Zone Recent Designation of Renewable Energy Space

8. Renewable Energy with CDM CDM was previously related to industrial production and Climate Change (environment) It is much dominant in production matter (electric power company or chemical company) Now, imminent crisis of climate change encourages the CDM to consumer side effort In particular, the appearance of unilateral CDM in 2005.2 enables each country to develop its own CDM projects to acquire CERs which is money (The Connection of Environment and Economy)

9. 3.Transaction of CERs 4.Money non-Annex I states Annex I states The 18th meeting of UNFCCC EB in 2005 UNFCCC EB Non-Annex I (developing countries) can do their own unilateral CDM projects UNFCCC (CDM EB) UNFCCC (CDM EB) 1.registration 2.CERs The Advantage of Unilateral CDM open the way to developing countries to acquire own CERs (accomplishing World environment economy) create entrepreneur and consumer participation over the diplomacy (enabling individual participation) contribute to technology and knowledge development of renewable energy and reduction of CO2 The Advantage of Unilateral CDM open the way to developing countries to acquire own CERs (accomplishing World environment economy) create entrepreneur and consumer participation over the diplomacy (enabling individual participation) contribute to technology and knowledge development of renewable energy and reduction of CO2

10. Source : CDM statistics (http://cdm.unfccc.int/Statistics/index.html) 2007.06.08http://cdm.unfccc.int/Statistics/index.html Other : the 23 states that the registered number of CDM is under 4 (Moroco, Nepal, Egypt, etc.) # of Registered CDM and Yearly Average CERs by State

11. Registered CDM Projects in R.O.K. 320,000 CO 2 t/yr 7year (Flexible) Tidal Plant CDM Windmill CDM 150,000 CO 2 t/yr 10year (fixed) 10,000 CO 2 t/yr 7year (Flexible) 500 CO 2 t/yr 10year (fixed) 8,700 CO 2 t/yr 7year (Flexible) Small Water Power CDM II 1.2 mil. CO 2 t/yr 7year (Flexible) Hucams N 2 O Reduction Hanhwa N2O 280,000 CO 2 t/yr 7year (Flexible) Garbage Reclaim CDM 121 mil. CO 2 t/yr 10year (fixed) 30,000 CO 2 t/yr 10year (fixed) Fuel Change CDM 21,000 CO 2 t/yr 10year(fixed) Namdong Small Water Power Ulsan Chemical HFC 9.15 Mil. CO 2 t/yr 7year(Flexible) Rodia N 2 O 1.4 mil. CO 2 t/yr 10year(fixed) Yongduk Windmill CDM 60,000 CO 2 t/yr 7year (Flexible) Small Water Power CDM I Donghae Solar Cell CDM YangYang CDM 8,600 CO 2 t/yr 7year (Flexible) Reduction CO 2 t/yr Approval Period(7,10) Project Name

12. Urban Adopt of Renewable Energy with CDM The City of Renewable Energy Sosabeol, in Pyeongtaek

13. Renewable Source Natural Condition Applyi ng Solar Cell (thermal) Amount of sun shining per day in Sosabeol is average in South K. o Geotherma l 200m Underground, 18-20 ℃ geothermal energy available o Fuel Cell LPG(Liquefied petroleum Gas), LNG(Liquefied Natural Gas) etc, if technology available, other fuel cell is more desirable o Circumstances of Renewable Energy in Sosabeol

14. The Possibility of Renewable Energy in Construction sector The Possibility of Renewable Energy in Construction sector O Theme Park OO Symbolic Tower OOO Public Office OOOSchool Public Facility Sector O Multi Family OO Single Family Housing Sector Fuel Cell Geotherm al Solar Thermal Solar CellConstruction Sector

15. Number of Housing Unit : 743 Size Solar Cell : 20 ㎡ /unit(14,860 ㎡ ) Solar thermal : 6 ㎡ /unit( 8,916 ㎡ ) Yearly Production electricity : 1,790MWh/y (64%) Heating : 2,006MWh/y (10%) Single Family Housing Single Family Housing

16. Number of Housing Unit : 14,175 Size of - Solar Cell : 2 ㎡ /unit Yearly Production of Electricity : 3,415MWh/y (5.7%) Multi-family Housing Multi-family Housing

17. Number of School : 9 - elementary 4, middle 3, high 2 Size of - Solar Cell : 2,100 ㎡ (electricity 5%) - Solar Thermal : 498 ㎡ (Heating 50%) - Geothermal : 1,546RT (cooling and Heating 100%) Yearly Production of - Electricity : 254MWh/y - Heating : 9,769MWh/y School School

18. Area of Facility : 58,588 ㎡ Size of - Solar Cell : 5,160 ㎡ (electricity 5%) - Solar Thermal : 1,073 ㎡ (heating 50%) - Geothermal : 2,872RT (cooling & heating 100%) Yearly Production - electricity : 622MWh/y - heating : 17,993MWh/y Public Facility Public Facility

19. Energy Plan - Supplying Solar Cell Energy for Total 8km Park Street Lamp Size of - Solar Cell : 1,450 ㎡ Yearly Production of - electricity : 175MWh/y(100%) Theme Park Theme Park

20. Area of Building : 7,070 ㎡ Size of - Solar Cell : 686 ㎡ - Fuel Cell : 250kW Yearly Production of - electricity : 1,141MWh/y (50%) - Heating : 973MWh/y (100%) Symbolic Tower Symbolic Tower

21. total 667 ($70mil.) 4,36939,721 452332,7136,030m 2 2,713MWh/y Solar Thermal 1812,46328,638 4,418RT (3,550) 28,638MWh/y Geotherm al 079973222kW 91.9% of Electric Energy Fuel Cell heat ing 202331,058242kWel1,058MWh/yFuel Cell 4211,3616,3395,261kWp52,614m 2 Solar Cell elect ricity Cost (100millio n won) TOE/yMWh/y Output Energy / Area Size Construction Size and Cost of Renewable Energy Construction Size and Cost of Renewable Energy ※ Dissemination Proportion of Renewable Energy 5.17% (Total demand of Energy : 95,374TOE) - government Objective in 2011: 5% (Solar Cell, Solar thermal, Geothermal, fuel Cell : 0.36%)

22. Generation (MWh/yr) CO 2 Reduction (CO 2 t/yr) Estimated Profit (Mil. Won/yr) Renewable Energy Solar Cell 6,3393,92271 Solar Thermal 2,7131,67930 Geothermal 28,638 (21,480) 13,292239 Fuel Cell 2,0311,25723 Total39,72120,150 363 ($382,000/yr) ■ The Calculating method of CO 2 Reduction and Estimated Profit ☞ Source : UNFCCC and the Ministry of Industrial and Resource(ROK) ◆ CO 2 Reduction(CO 2 t/y) = Generation(MWh/y)×EM(CO 2 t/MWh) ※ EM(Emission Multiplier) : 0.6188 CO 2 t/MWh ◆ Sell Price of CERs(won) = CO 2 Reduction(CO 2 t)×15 €/CO 2 t×1200won/€ The Provisional Amount of Reduction, and Benefit The Provisional Amount of CO 2 Reduction, and Benefit

23. Planning Period and Profit Planning Period and Profit Phase I : Year 2007~8, UNFCCC Registration Beginning Construction Year ’ 08~ ’ 10 Renewable Energy Facility Year ’ 10~ ’ 14 Phase II : Year 2014~2035 (21 years) Total Profit = 363 mil * 21years = 6,888 million Won ($7.3 million) * Registration to UNFCC: 7 year 3 times

24. Discipline of Soabeol Case Urban Spatial Policy : New Town Unilateral CDM causes creative urban renewable energy production system Likewise, renewable energy cooperation for North Korea should be changed from Humanitarian aid to Self-Sufficiency of Energy by International Cooperation through both bi- lateral and unilateral CDM Application of Spatial Energy Cooperation in N.K. Region through creating a renewable energy special zone