S. Korea to spend 18.9 tln won to turn tidal flats into 'low carbon' biz hub

By Lee Joon-seung

SEOUL, Oct. 21 (Yonhap) -- South Korea will spend 18.9 trillion won (US$14.2 billion) to transform reclaimed tidal flats on the country's southwest coast into a pilot "low carbon, green growth" business hub, the government said Tuesday.

The master plan, approved by the Cabinet, calls for a two-stage approach that
would permit building eco-friendly plants, energy production facilities and
conservation zones by 2020, followed by further development of land and basic
infrastructure from 2021 onward. About 18,410 hectares, or 65 percent, of the
28,300 hectares of land reclaimed from the sea will be ready by the first target
year.
Once development is complete, the government claims the region around Saemangeum
could become Northeast Asia's newest business center and a major South Korean
trading port facing the Yellow Sea and neighboring China.
"Low carbon, green growth" is the cornerstone of the Lee Myung-bak
administration's sustainable growth strategy that calls for making maximum use of
green technology and eco-friendly energy resources to fuel the national economy.
Of the total, 12.1 trillion won is to be used for both industrial and agriculture
land development, with 4.4 trillion won to go into building roads, railway and
port facilities. An additional 2.5 trillion won is to be set aside for improving
water conditions in a nearby freshwater lake and two rivers, as well as
strengthening overall environmental conditions in the area.
"Compared to the initial plan, the final version calls for about 400 billion won
more to be spent on such facilities as sewage processing and water purification,"
said Lee Bong-ho, head of the agriculture ministry's farmland development
division. He said emphasis will be placed on production of clean, reusable energy
and ecological farming techniques.
Lee also said that while 7.8 trillion won will come from the central government,
10.6 trillion won is to come from private sector investments and 500 billion won
from the local government.
"Compared to the original plan announced in April 2007, which called for 9
trillion won in funds, more money is needed for the current plan because there is
a greater proportion of space being diverted for the building of industrial
facilities," Lee said.
The final version reduces total farmland space from the original 72 percent to 30
percent, while increasing land set aside for industrial and other business
purposes to 43 percent from 28 percent.
Development plans for the 27 percent of the reclaimed land that is not designated
for industrial or agricultural use will be put on hold for the time being,
although Seoul will allow some agricultural production, pending future
requirements.
The plan mirrors a report released by the Korea Research Institute for Human
Settlements in early September, and is expected to be made into law in late
December. This is to be followed by detailed partitioning of the land and the
drawing up of development plans in the first half of 2009 involving experts from
various government agencies and the local government in North Jeolla Province.
Related to the final blueprint, local environmental groups said that transforming
the tidal flats into industrial land would exacerbate environmental fallout. They
claimed that the move to spend 2.5 trillion won to deal with ecological problems
is a telltale sign that the government is worried about water conditions in the
freshwater lake.
Delays in the reclamation work are due in part to protests and legal action by
environmental groups.
Work to reclaim the tidal flats began in 1991, with government expenditures to
date reaching 2.8 trillion won (US$2.1 billion). The initial estimate of the
entire project, including the creation of farmland, was 1.3 trillion won.
A 33-kilometer-long sea wall located 280 kilometers south of Seoul was completed
in April 2006. Water is gradually being drained from the area to make more usable
land available.