South Korea announced a package of measures Monday to support the renewable energy industry, pledging to expand export financing for companies, boost investment in research and development and relax regulations.

The Presidential Committee on Green Growth unveiled the measures during a meeting presided over by President Lee Myung-bak, saying South Korea should increase government support for the sector to strengthen its position in the global renewable energy industry.

Under the plan, the government will increase the amount of export financing to 10.5 trillion won ($9.5 billion) from last year’s 6.6 trillion won and double research and development by 2015 from this year’s levels, the committee said in a release.

In particular, the government plans to make it mandatory for conglomerates to take smaller firms as partners when they conduct an R&D project valued at 3 billion won or more, a move in line with Lee’s calls for “shared growth,” the committee said.

In addition, the government plans to reflect in electricity charges the additional cost of generating power from renewable energy sources under the renewable portfolio standard. The RPS system requires large-scale electricity providers to produce a certain portion of power through renewable energy sources.

The measure is expected to lead to increases in electricity charges.

The government will also relax regulations for renewable energy firms, such as lowering the infrastructure requirements for wind-power companies, the committee said. 

(Yonhap News)