Jeju implements new corporate incentives and faces wind power challenges

Jeju Special Self-Governing Province is implementing new measures to attract businesses and bolster its renewable energy sector. The province is revising its ‘Corporate Attraction and Investment Support Ordinance’ to lower the threshold for support and expand benefits. Key changes include reducing the permanent employment requirement from 20 to 10 employees, increasing location subsidies from 25% to 30%, and establishing new settlement subsidies for relocated workers. These reforms aim to reduce initial investment burdens and encourage regional investment, with a target implementation date in January 2027.

Simultaneously, Jeju is facing challenges in its offshore wind power projects. Major initiatives, such as the Chuja offshore wind farm and western wind power districts, have struggled to secure operators due to inflation, supply chain disruptions, and concerns over profitability and power grid stability. While the central government is introducing a new planned site system for offshore wind, Jeju remains excluded from this specific national framework due to its special legal status, which grants the provincial governor authority over wind power permits. To address these hurdles, Jeju officials are seeking to include major wind projects in the 12th Basic Plan for Electricity Supply and Demand to ensure better integration with the national power grid.