Climate changes affect almost every country in the world. South Korea is no exception, as multiple concerned climate campaigners went to court against its own country.
How does South Korea deal with climate change?
When it comes to renewable energy adoption, South Korea stays significantly behind other developed nations. While they generate approximately ⅓ of their energy from renewable sources, South Korea’s figure stands below 10%. This disparity raises concerns among environmental activists and international observers, who argue that the country must speed up its transition to cleaner energy.
One of the key points in South Korea’s energy policy is the government’s focus on nuclear power. While it offers a low-carbon alternative to fossil fuels, critics argue that it diverts attention and resources from other renewable options such as solar, wind, and hydrogen energy. This focus on nuclear power has sparked debate about the long-term sustainability and safety of South Korea’s energy strategy. It heavily impacts the most important Korean financial assets, including the USDKRW currency pair.
Is everybody satisfied?
The Constitutional Court informed the South Korean government that it had to act more determinedly. As a result, there is a broad consensus on strengthening the country’s 2030 carbon reduction targets. Additionally, the government has begun outlining plans to extend these efforts from 2031 to 2049. However, activists point out that these plans lack the urgency to address the immediate dangers of climate change.
Their main concern is that the current climate situation could become increasingly dangerous for society without swift interventions. These activists emphasize that the country’s current pace of change is insufficient to meet the challenges posed by the global climate crisis.
A shift towards a more ecologically sustainable approach could have significant economic implications, particularly in renewable energy investments. As South Korea intensifies its focus on renewables, there is potential for increased interest in equities such as Tesla or Lucid Group.
Impact on the region
South Korea’s climate policies have broader implications for the region. Neighboring China continues to rely heavily on cola, while Japan is also fighting with its carbon emissions. As a critical player in the regional economy with several vital assets, including USD to JPY, Japan has seen similar environmental activism. Citizens have been filing lawsuits against energy companies to compel them to cut emissions over the next decade. South Korea’s stance on climate change could influence broader regional dynamics, potentially pushing other nations to adopt more stringent environmental policies.
