Energy Efficiency in Industry and Buildings in South Korea and Germany

Both Germany and Korea have committed to substantially reducing their CO2-emissions under the Paris Agreement. Energy efficiency, next to renewable energy is the second main pillar of deep decarbonisation in the energy sector and an important element of both countries’ energy transition policies. Energy efficiency also plays a crucial role for simultaneously procuring sustainable, affordable and secure energy. Both Germany and Korea rely more strongly on industry as pillars of their respective economies than the OECD average. They must keep the expenses for energy at affordable levels to maintain their international economic competitiveness. Both countries also rely on energy imports. Energy efficiency might also help reducing the import dependence and is crucial in order to facilitate a transition to an energy system based on renewables.

With a focus on the industry and buildings sector, this study gives an overview on the status and objectives of energy efficiency policy in Germany and Korea and compares already implemented and planned measures in both countries. Against this background, it derives opportunities for bilateral collaboration. The study does not make any claim to completeness, but rather seeks to provide an input for discussion between representatives from both countries within the framework of the Korean-German Energy Partnership.

Note: The study was originally compiled in 2020, with the Korean part being updated in 2021.