Home > News > Korea Ministry of Commerce, Industry and Energy (MOCIE)- Energy Project Special Account
Korea Ministry of Commerce, Industry and Energy (MOCIE)- Energy Project Special Account
|
Name |
|
Korea Ministry of Commerce, Industry and Energy (MOCIE)- Energy Project Special Account |
Status |
|
| |
|
|
|
Active |
|
| |
Funding Mechanism |
|
Loan fund |
|
| |
|
|
|
|
| |
Duration |
|
1995- |
|
| |
|
|
|
|
| |
Objectives |
|
Energy Project Special Account sponsors energy related investments including energy efficiency investments |
|
| |
|
|
|
|
| |
Sponsors |
|
MOCIE |
|
| |
|
|
|
|
| |
Eligible Sectors |
|
Large industrial consumers (50 loans in 1999), ESCOs working with schools (7 loans in 1996 and 55 in 1999) |
|
| |
|
|
|
|
| |
Eligible Projects/Technologies |
|
Schools, district heating activities, high efficiency investments, housing, regional energy development |
|
| |
|
|
|
|
| |
Fund Endowment |
|
Energy Project Special Account accumulates its revenues by applying a surcharge on petroleum imports, kerosene sales, GOK general account transfers, and loan repayments. The proceeds are used for subsidies and loans either directly to investors and consumers or through six loan agencies and banks. |
|
| |
|
|
|
|
| |
Terms |
|
|
|
|
-Funding Instruments |
Loans and subsidies |
|
-Interest Rates |
5.5 – 7.5% |
|
-Payback |
5.5% interest (3 year grace period and 5 years to pay, and 5% tax credit for large industrial energy consumers/housing 7.5% interest, 3 year grace period and repayment over 5 years |
|
-Size |
(As of 1999) Maximum size for industrial energy saving facilities and VA is 3 billion won per project; for ESCOs and regional energy development 5 billion won; for energy saving facilities in buildings and transportation 1 billion won; for home insulation retrofit for housing 10 million won per house. Funds are open for both public and private. |
|
-Collateral |
|
|
-Share of loan in project cost |
90-100% |
|
-Loan criteria |
|
| |
|
|
|
|
| |
Comments |
|
The Korean government has provided the long-term and low interest loans named the Fund for the Rational Use of Energy, along with tax incentives for energy efficiency and conservation investments. KEMCO is in charge of its management and monitoring. At the beginning of every year KEMCO receives the “Fund” from the government. |
|
| |
|
|
|
|
| |
Sources |
|
World Bank |
|
| |
|
| Contact Information |
|
| |
|
|
|
|
|
