Act on the Promotion of the Development, Use and Diffusion of Renewable Energy

The foundational renewable-energy law. It establishes the Renewable Portfolio Standard (RPS, in force since 2012) obliging generators above 500 MW to supply a rising share from renewables; the Renewable Energy Certificate (REC) market and its offshore-wind distance and depth multipliers; and the fixed-price competitive auction (a 20-year REC offtake) through which offshore-wind projects are selected. Administered by the Ministry of Climate, Energy & Environment (some provisions by the Ministry of Trade, Industry and Resources) and the Korea Energy Agency (KEA).

• RPS (Renewable Portfolio Standard) (in force since 2012, it obliges generators above 500 MW to supply a rising share of their power from renewables) the demand engine behind offshore-wind offtake.
• REC market & offshore multipliers: Renewable Energy Certificates carry higher multipliers for offshore wind by distance from shore and water depth.
• 20-year fixed-price auctions: offshore-wind projects are selected through competitive fixed-price REC auctions with a 20-year offtake.
• Administration: the Ministry of Climate, Energy & Environment sets policy; the Korea Energy Agency (KEA) runs RPS, RECs and the auctions.