• Environmental and Resource Economics Review
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• v.24 no.1
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• pp.189-224
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• 2015

To meet sectoral emission target by 2020 and prepare for the emission trading scheme from 2015, decomposition analysis of energy consumption and GHG emission is required by 18 subsectors in industry sector where emission targets are established. Log Mean Divisia Index decomposition method was used to analyze factors' effects on energy and emission in the industry sector and by 18 subsectors from 2004 to 2011. Industrial energy consumption was increased due to the production effect and energy intensity effect. However structure effect contributes to the decrease of energy consumption. In terms of emissions (including indirect emission due to electricity consumption) in the industry sector, only structure effect contributed to the emission reduction. Factors' effects by subsectors were different. Cement industry, which is included at Nonmetal shows different results from those of Nonmetal industry and machinery industry, which is a subsector of Fabricated Metal, was also similar. In this regard, we should not apply the policy implications from decomposition analysis of aggregated industry such as Nonmetal or Fabricated Metal to its subsectors uniformly and develop a differentiated policy for each subsector industry.

• Journal of Korean Society of Environmental Engineers
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• v.35 no.12
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• pp.867-876
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• 2013

To promote the carbon emission trading scheme and reduce greenhouse gas (GHG) emission as following 'Korean GHG & Energy Target Management System', GHG emissions should be accurately determined in each industrial sector. For the estimation method of GHG emission from waste landfill, there are several error parameters, therefore we reviewed the estimation method and proposed a revised method. Methane generation from landfill must be calculated by the selected method based on methane recovery rate, 0.75. However, this methodology is not considered about uncertainty factor. So it is desirable that $CH_4$ generation is estimated using first order decay model and methane recovery should use field monitoring data. If not, $CH_4$ recovery could be applied from other study results; 0.60 of operational landfill with gas vent and flaring system, 0.65 of operational site with landfill gas recovery system, 0.90 of closed landfill with final cover. Other parameters such as degradable organic carbon (DOC) and fraction of DOC decompose ($DOC_f$) need to derive the default value from studies to reflect a Korean waste status. Proper application of MCF that is selected by operation and management of landfill requires more precise criteria.

• The Korean Journal of Air & Space Law and Policy
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• v.25 no.1
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• pp.3-26
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• 2010

The European Union(EU) has recently introduced its Directive 2008/101/EC to include aviation in the EU ETS(emissions trading system). As an amendment to Directive 2003/87/EC that regulates reduction of the green house gas(GHG) emissions in Europe in preparation for the Kyoto Protocol, 1997, it obliges both EU and non-EU airline operators to reduce the emission of the carbon dioxide(CO2) significantly in the year 2012 and thereafter from the level they made in 2004 to 2006. Emission allowances allowed free of charge for each airline operator is 97% in the first year 2012 and 95% from 2013 and thereafter from the average annual emissions during historical years 2004 to 2006. Taking into account the rapid growth of air traffic, i.e. 5% in recent years, airlines operating to EU have to reduce their emissions by about 30% in order to meet the requirements of the EU Directive, if not buy the emissions right in the emissions trading market. However, buying quantity is limited to 15% in the year 2012 subject to possible increase from the year 2013. Apart from the hard burden of the airline operators, in particular of those from non-European countries, which is not concern of this paper, the EU Directive has certain legal problems. First, while the Kyoto Protocol of universal application is binding on the Annex I countries of the Climate Change Convention, i.e. developed countries including all Member States of the European Union to reduce GHG at least by 5% in the implementation period from 2008 to 2012 over the 1990 level, non-Annex I countries which are not bound by the Kyoto Protocol see their airlines subjected to aircraft emissions reductions scheme of EU when operating to EU. This is against the provisions of the Kyoto Protocol dealing with the emissions of GHG including CO2, target of the EU Directive. While the Kyoto Protocol mandates ICAO to set up a worldwide scheme for aircraft emissions to contribute to stabilizing GHG concentrations in the atmosphere at a level that would prevent dangerous anthropogenic interference with the climate system, the EU ETS was drawn up outside the framework of the international Civil Aviation Organization(ICAO). Second, EU Directive 2008/101 defines 'aviation activities' as covering 'flights which depart from or arrive in the territory of a Member State to which the [EU] Treaty applies'. While the EU airlines are certainly subject to the EU regulations, obliging non-EU airlines to reduce their emissions even if the emissions are produced during the flight over the high seas and the airspace of the third countries is problematic. The point is whether the EU Directive can be legally applied to extra-territorial behavior of non-EU entities. Third, the EU Directive prescribes 2012 as the first year for implementation. However, the year 2012 is the last year of implementation of the Kyoto Protocol for Annex I countries including members of EU to reduce GHG including the emissions of CO2 coming out from domestic airlines operation. Consequently, EU airlines were already on the reduction scheme of CO2 emissions as long as their domestic operations are concerned from 2008 until the year 2012. But with the implementation of Directive 2008/101 from 2012 for all the airlines, regardless of the status of the country Annex I or not where they are registered, the EU airlines are no longer at the disadvantage compared with the airlines of non-Annex I countries. This unexpected premium for the EU airlines may result in a derogation of the Kyoto Protocol at least for the year 2012. Lastly, as a conclusion, the author shed light briefly on how the Korean aviation authorities are dealing with the EU restrictive measures.

• Journal of Climate Change Research
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• v.7 no.3
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• pp.283-288
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• 2016

In this study, applicability of GHG ETS Offset Program in Korea for a refrigerant sector was analyzed by reviewing foreign management policy and project status in progress related to refrigerants in the disposal stage. In order to derive the implication of the domestic Offset Program, it was looked into approved offset projects and certified offset credits current state in Korea. Offset Program has approved 22 methodologies up to the present, so it is necessary to enhance the accessibility to GHG reduction in various industrial sector including the refrigerant sector by developing appropriate methodologies. In this study firstly, it was investigated that management regulation of countries are managing the refrigerants in the disposal stage such as United States, Japan, Australia. Secondly, of CDM methodologies there were two methodologies associated with the refrigerant reduction(treatment), which were decomposition HFC-23 and destruction of HFC-134a. Also there were a non-registered methodology about destruction of HFC-134a of end of life vehicles. Lastly, in California according to Compliance Offset Program, there was Compliance Offset Protocol in ODS Projects that provided eligible conditions. Based on the review, it was examined the possible conditions for domestic offset project for refrigerant sector

• Korean Journal of Construction Engineering and Management
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• v.18 no.1
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• pp.74-82
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• 2017

It is known that energy usage from Korean Universities was growing rapidly in the early 2000s. But since 2011, the change was caused by GHG emissions regulation enforced by the government. The purpose of this research was to find the characteristics and trends of greenhouse gas emissions from major universities in Korea according to the each university's data and information. The result shows that GHG emissions from University have increased steadily prior to enforcement by 4-5% annually, but the rate of increase marked 0.5~1% in 2011~2013 is the season of emission regulation and the total amount of emissions decreased 3%~5% in 2014~2015 while preparing an emissions trading scheme. Therefore we can say that the enforcement of GHG reduction such as energy target management system makes a visible effect at least in the University sector that level of GHG emissions is from $75kg/m^2$ to $58Kg/m^2$ for seven years. Another result says that the size of research fund is the main factor that affects the amount of GHG emissions before 2011, but the size of building area has been a new factor influencing the GHG emission since 2013. Thus we suggest that the criteria for evaluating the level of GHG emission from University is suitable if it is based on the building area intensity.

• Environmental and Resource Economics Review
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• v.29 no.2
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• pp.219-246
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• 2020

From the Phase II (2018~2020) of K-ETS, the offset credit from 'CDM projects that domestic companies and others have carried out in foreign countries' can be used in the K-ETS. As a result, stakeholders in the K-ETS market are actively developing overseas CDM projects, such as the 'high-efficiency cook stove project'. which can secure a large amount of credits while marginal cost is relatively low. This paper develops the investment decision-making model of offset project for the 'high-efficiency cook stove project' using the real option approach. Under the uncertainty of the emission allowance price, the optimal investment threshold (p^⁎) is derived and sensitivity analysis is conducted. As a result, in the standard scenario (PoA-S), the optimal investment threshold is 29,054won/ton, which is lower than the stock price (p^⁎_spot). However, allocation entities are not only economics in the CDM project, but also CDM risk factors such as non-renewable biomass ratio, cook stove replacement ratio, equity ratio with host country, investment period and submission limitation of emission allowance. In addition, offset project developers will be able to derive the optimal investment threshold for each business stage and use it for economic feasibility checks.

• Journal of Climate Change Research
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• v.5 no.2
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• pp.179-187
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• 2014

The global warming caused by GHG has emerged as a global environmental problem. For this reason the continued efforts to reduce GHG emission by international cooperation and each country are in progress. This study was performed for a successful accomplishment of Korea's ETS aims in 2015, that is to reduce GHG emission, maintain competitiveness of the domestic industries and to reinforce competitiveness of the environmental management of domestic companies through comparing analysis research of major overseas ETSs with main features of Korea's ETS and the analysis of semiconductor industry. In this study, the cases of already being implemented ETS countries such as the European Union, the United States and New Zealand etc. have been investigated by comparing to Korea's ETS. We also suggested the detailed political proposals to stabilize the introduction of Korea's ETS at the enterprise level.

• Korea Trade Review
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• v.48 no.4
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• pp.189-208
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• 2023

This paper analyzed the dynamic conditional correlation between the Korean ETS market, energy market and stock market. This paper conducted an empirical analysis using daily data of Korea's carbon credit trading price, WTI crude oil futures price, and KOSPI index from February 2, 2015 to December 30, 2021. First, the volatility of the three markets was analyzed using the GARCH model, and then the dynamic conditional correlations between the three markets were studied using the bivariate DCC-GARCH model. The research results are as follows. First, it was found that the Korean ETS market has a higher rate of return and higher investment risk than the stock market. Second, the yield volatility of the Korean ETS market was found to be most affected by external shocks and least affected by the volatility information of the market itself. Third, the correlation between the Korean ETS market and the stock market was stronger than that of the WTI crude oil futures market. This paper analyzed the correlation between the Korean ETS market, energy market, and stock market and confirmed that the level of financialization in the Korean ETS market is quite low.

• The Transactions of The Korean Institute of Electrical Engineers
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• v.68 no.1
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• pp.27-35
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• 2019

There is a growing interest in various microgrid solutions that supply electricity 24 hours a day to off-grid areas where are not connected with the main grid, and Korea has many positive effects by constructing overseas microgrids as a country operating the emission trading scheme. Since it is not clear how to obtain load curves that is one of the inputs of the HOMER used to design a microgrid optimization plan, or it is necessary to examine whether electricity is supplied to the peak load level of the areas where have not received the electricity benefits from the viewpoint of the demand management, a methodology should be developed to know the load composition ratio and the shape of the daily load curve. In this paper, the relative coefficient and average load information for each load group obtained from the survey are used besides peak load and total average load. A mathematical model is proposed to derive the load composition ratio in the form of a Quadratic Programming and the load forecasting is performed using simple linear regression with future indicators. The effectiveness of the proposed method is confirmed for the Philippine island region supported by Korea Energy Agency and the Asian Development Bank.

• Journal of Navigation and Port Research
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• v.38 no.4
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• pp.335-341
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• 2014

Faced with global agenda of greenhouse abatement program including regulations and $CO_2$ emission trading scheme, shipping companies are enforced to a high level of efficiency in fuel consumption. Accordingly shipbuilding companies worldwide are required to develop fuel-efficient ships which otherwise traditionally consume a great amount of fossil fuels. In this dissertation, relevant to the improvement of fuel efficiency for commercial ships, design methodology through the numerical simulations are intensively described. This work consists of derivation of effective hydrodynamic design practice based on the application of longitudinal grooves to effectively improve the pressure distribution around ship hull. The primary objective of the present study is to improve ship resistance performance using longitudinal grooves which originate from long strips on the abdomen of humpback whale. Several groove shapes have been extensively investigated and the proposed shape efficiently controlled the variation of pressure distributions acting on the hull surface.