Title of Dissertation: national renewable energy policy

 
Figure 33. 
Number of members of the Korea Photovoltaic Industry Association by 
business. 
Source: KOPIA, June 7
th
, 2015. 
5 (7%)
7 (9%)
10 (13%)
21 (28%)
3 (4%)
20 (26%)
5 (7%)
5 (7%)
Manufacturer - Polysilicon
Manufacturer - Ingot/Wafer
Manufacturer - Cell/Module
Manufacturer - Component/Equipment
Manufacturer - Inverter
Installer
Power Producer
Others
0
5
10
15
20
25

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160 
In this context, Korean solar PV industry has been led by large manufacturers of 
polysilicon, ingot/wafer, and cell/module. Table 18 shows that a large portion of sales in 
solar PV industry has generated from these manufacturers. The total sales of these 
products accounted for more than 80 percent of the total solar PV sales in 2010. The 
manufacturers of these products have exported a majority share of their products. Seventy 
six percent of polysilicon, cell, and modules, and sixty four percent of ingot and wafer 
were exported in 2010. In total, South Korea exported almost 70 percent of the solar PV 
products in 2010.
Table 18. 
Sales and exports by product in 2010. 
 
Sales 
(100 million KRW)
 
Exports 
(100 million KRW) 
Exports/Sales 
Polysilicon 
14,500 
11,050 
76% 
Ingot/Wafer 
8,700 
5,593 
64% 
Cell 
5,760 
4,349 
76% 
Module 
20,578 
15,620 
76% 
Inverter 
1,300 
664 
51% 
Component 
3,560 
742 
21% 
Equipment 
4,600 
2,700 
59% 
Total 
58,998 
40,718 
69% 
Source: Status and Future of Solar Photovoltaic Industry, KOPIA, June 24
th
2011. 
In sum, although solar PV has accounted for a small share of renewable energy 
sources, it has significantly contributed to the development of renewable energy industry 
in South Korea. Korean solar PV industry has developed based on manufacturing. In a 
small domestic market, a large share of the solar PV products has been exported. 

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161 
National solar policies
In 1997, Korean government established the First Basic Plan for Technology 
Development, Application, and Deployment of New and Renewable Energy. The Plan set 
the goal of 2 percent of renewable energy in total energy production by 2006.
192
To 
achieve the goal, the Plan focused on technology development in eleven new and 
renewable energy sources. Solar PV, solar thermal, fuel cell, and integrated gasification 
combination cycle (IGCC) were pursued as main investment fields since those were 
expected to be competitive globally and to significantly contribute to energy production. 
The government expected to commercialize these renewable energy technologies by 
2006. 
The First Plan focused on technology development, but it did not include plans to 
create market for developed technologies or to build infrastructure for industry. In this 
backdrop, the Second Basic Plan for Technology Development, Application, and 
Deployment of New and Renewable Energy, which was established in 2003, included the 
plans for deployment of new and renewable energy as well as the plans for technology 
development. It pursued to develop three main technologies—solar PV, wind, and fuel 
cell—and to apply developed technologies by implementing actual projects. To increase 
the deployment of renewable energy sources, a number of plans were included such as 
renewable energy mandatory use for public buildings, home subsidy program, and a feed-
in tariff (FIT). The goal was to provide 5 percent of energy with renewable energy 
sources by 2011.
193
192
Ministry of Knowledge Economy and Korea Energy Management Corporation. 
2005 
New and Renewable Energy White Paper
. 2006. p 202. 
193
Ibid., p 204-211. 

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162 
The FIT has significantly contributed to increasing solar PV installation since it 
was introduced in 2002. The capacity of solar PV installations has been increased to 
about 9-fold of the capacity of 2007 level in 2008 (Figure 34). There was a rush of solar 
PV installation in 2008 because the government announced that the FIT of solar PV will 
be decreased starting from October due to financial burden of the government in April, 
2008. In 2008, the government also announced that the FIT will be repealed in 2011 to 
minimize financial burden.
194