Jeju Province energy and economic policy initiatives

Jeju Province is pursuing a range of economic and energy management strategies to support local stability and carbon neutrality. To assist small businesses, the province has implemented an ‘alarm model’ to identify businesses at risk of management crises based on indicators such as income fluctuations and credit scores. This program provides customized support, including expert consulting and management improvement funds.

In the energy sector, the province is transitioning toward decentralized production and storage models. Following its designation as a specialized decentralized energy zone, Jeju is demonstrating technologies such as Virtual Power Plants (VPP), Vehicle-to-Grid (V2G) integration, and Power-to-X (P2X) systems that convert surplus electricity into hydrogen or heat. These initiatives aim to stabilize the power grid and allow energy providers to sell electricity directly to users.

Furthermore, the province is shifting building energy improvement projects from subsidy-based systems to private-investment-led models, such as Energy Service Company (ESCO) and Heat-as-a-Service (HaaS) subscriptions. These efforts, alongside requests for national support for offshore wind power projects, are intended to accelerate the region’s 2035 carbon neutrality goals.