Korea Market Study
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Environment & Water Technologies Korea Market Study JUNE 2020 © Copyright EU Gateway | Business Avenues The information and views set out in this study are those of the author(s) and do not necessarily reflect the official opinion of the European Union. Neither the European Union institutions and bodies nor any person acting on their behalf may be held responsible for the use which may be made of the information contained therein. The contents of this publication are the sole responsibility of EU Gateway | Business Avenues and can in no way be taken to reflect the views of the European Union. The purpose of this report is to give European companies selected for participation in the EU Gateway | Business Avenues Programme an introductory understanding of the target markets countries and support them in defining their strategy towards those markets. For more information, visit www.eu-gateway.eu. EU GATEWAY to KOREA Central Management Unit Korea Market Study June 2020 Submitted to the European Commission on 23 June 2020 Environment & Water Technologies – Korea Market Study - Page 3 of 75 Table of contents LIST OF FIGURES ...................................................................................................................................................... 6 LIST OF TABLES ........................................................................................................................................................ 6 LIST OF ACRONYMS ................................................................................................................................................. 7 1 EXECUTIVE SUMMARY ........................................................................................................................................ 9 2 WHAT ARE THE CHARACTERISTICS OF KOREA? ........................................................................................ 12 2.1 GEOGRAPHIC KEY DATA ....................................................................................................................... 12 2.2 FINANCIAL AND ECONOMIC KEY DATA ................................................................................................... 12 2.3 KOREAN ENVIRONMENT & WATER TECHNOLOGIES MARKET .................................................................. 15 2.4 KOREAN MARKET ENTRY STRATEGY ..................................................................................................... 18 3 MARKET OVERVIEW AND EU ENTRY OPPORTUNITY ................................................................................... 20 3.1 WASTEWATER TREATMENT ................................................................................................................... 20 3.1.1 Market Overview .............................................................................................................................. 20 3.1.2 EU Entry Opportunities .................................................................................................................... 24 3.2 FRESH WATER SUPPLY, WATER SOLUTIONS AND SOIL PREVENTION ...................................................... 26 3.2.1 Fresh Water Supply, Water Solutions: Market Overview ................................................................ 26 3.2.2 Soil Prevention (remediation & purification) Market Overview ........................................................ 33 3.2.3 EU Entry Opportunities .................................................................................................................... 37 3.3 AIR POLLUTION CONTROL ..................................................................................................................... 39 3.3.1 Market Overview .............................................................................................................................. 39 3.3.2 EU Entry Opportunities .................................................................................................................... 45 3.4 WASTE MANAGEMENT .......................................................................................................................... 48 3.4.1 Market Overview .............................................................................................................................. 48 3.4.2 EU Entry Opportunities .................................................................................................................... 52 3.5 RECYCLING .......................................................................................................................................... 54 3.5.1 Market Overview .............................................................................................................................. 54 3.5.2 EU Entry Opportunities .................................................................................................................... 58 3.6 NOISE PREVENTION .............................................................................................................................. 60 3.6.1 Market Overview .............................................................................................................................. 60 3.6.2 EU Entry Opportunities .................................................................................................................... 63 4 REGULATIONS & SUPERVISION ...................................................................................................................... 64 4.1 WASTES CONTROL ACT ........................................................................................................................ 65 4.2 SOIL ENVIRONMENT CONSERVATION ACT .............................................................................................. 66 Environment & Water Technologies – Korea Market Study - Page 4 of 75 4.3 NOISE AND VIBRATION CONTROL ACT ................................................................................................... 66 4.4 FRAMEWORK ACT ON THE CONSTRUCTION INDUSTRY ............................................................................ 67 4.5 APPROVED EXPORTER STATUS UNDER THE EU-KOREA FTA ................................................................. 68 4.6 IMPORT REGULATIONS .......................................................................................................................... 70 5 ANNEXES ............................................................................................................................................................ 73 5.1 REFERENCES ........................................................................................................................................ 73 Environment & Water Technologies – Korea Market Study - Page 5 of 75 List of figures Figure 1. Map of Republic of Korea ............................................................................................................................ 12 Figure 2. KRW/EUR Exchange Rate ......................................................................................................................... 14 Figure 3. Busan Eco-Delta City water management technologies used for the restoration of natural water cycle in the city (rainfall→ stream→ treatment→ waste water→ reuse) and to develop a water waterfront city ......... 30 List of Tables Table 1. Economic & Demographic Data 2015 to 2020 ............................................................................................. 14 Table 2. Korean environmental market (2015-2018) .................................................................................................. 16 Table 3. Population connected to sewage treatment in 2015 & 2017. ....................................................................... 20 Table 4. Sewage and wastewater management market in 2017 and 2018 ............................................................... 21 Table 5. Fresh Water Supply, Water Solutions and Soil Prevention in 2017 and 2018 ............................................. 26 Table 6. Monitoring on soil quality by source of pollution in 2018 .............................................................................. 34 Table 7. Air pollution control market in 2017 and 2018 .............................................................................................. 41 Table 8. Waste management market in 2017 and 2018 ............................................................................................ 49 Table 9. Recycling market in 2017 and 2018 ............................................................................................................. 55 Table 10. Noise prevention market in 2017 and 2018 ................................................................................................ 61 Environment & Water Technologies – Korea Market Study - Page 6 of 75 List of Acronyms AD Anaerobic Digestion BOOT Build Own Operate Transfer CCS Carbon Capture and Storage CDM Consolidated baseline and monitoring methodology CNG Compressed Natural Gas DMS Dioxin Monitoring System DWTP Drinking Water Treatment Plant E&C Engineering and Construction EPC Environmental Power Concepts EPR Extended Producer Responsibility ETMS Energy Target Management System ETS Emissions Trading System FO Forward Osmosis GA Groundwater Act GHG Greenhouse Gas HAP Hazardous Air Pollutants KECO Korea Environment Corporation KFTC Korea Fair Trade Commission LFG Landfill Gas MBR Membrane Bio Reactor MBT Mechanical Biological Treatment MOE Ministry of Environment MOLIT Ministry of Land, Infrastructure