Partial Amendment to the New and Renewable Energy Development, Use, and Dissemination Promotion Act

This member's bill proposes replacing the current Renewable Portfolio Standard (RPS) system with a government-led renewable energy facility contracting market system. The new system would establish renewable energy supply targets for power generators and public institutions, require entities with generation facilities above a certain size to supply renewable energy, and allow compliance through fixed-price payments or exemptions. The bill aims to stabilize renewable energy procurement through long-term fixed-price contracts and includes provisions for small-scale facilities, aggregators, and comprehensive renewable energy service providers to participate in the contracting market, addressing supply-demand imbalances and price volatility issues in the current REC market while supporting carbon neutrality goals. The bill was discarded on 2026-08-20 after being reflected in a committee alternative.

The mandatory supply system for new and renewable energy under the current Act (RPS: Renewable Portfolio Standard; hereinafter referred to as "RPS") is a system intended to contribute to the wider distribution of new and renewable energy by imposing on large power generation companies an obligation to supply a certain percentage of the amount of electricity they generate using new and renewable energy.

However, along with changes in the environment for the distribution of new and renewable energy, the high price volatility of certificates (REC: Renewable Energy Certificate) has made the systematic management of the RPS difficult. In particular, due to power generation companies' reliance on external purchases of certificates rather than their own investments, competition with demand from RE100 companies (global companies seeking to meet 100% of their electricity needs with renewable energy), supply and demand imbalances, etc., the prices of certificates in the spot market have risen, weakening the competitiveness of businesses and increasing the burden on households.

The first paragraphs of the bill's own statement, in KWI's English translation. The full statement and bill text are in the English translation PDF.

1. Received
2. In review
3. Discarded