KOREA ECOLABELLING PROGRAM Dec 12, 2013 · •Global Ecolabelling Network (GEN) : Voluntary...

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Introduction of

KOREA ECOLABELLING PROGRAM

Dec 12, 2013

Environmental Certification DepartmentEnvironmental Standard Management Office

KEITI Organization Structure

KEITI

• 380 employees• 360 mil. USD

Type-1 Ecolabel

• To provide consumers reliable information on environment-friendly products

• To facilitate companies to develop and produce environment-friendly products

◈ Purpose

◈ Definition of the Type-1 Ecolabelling Program (ISO 14024)

• Voluntary, multiple-criteria-based program by the third party

• Authorization of the use of environmental labels on products indicating overall

environmental preferability of a product within a particular product category

based on life cycle considerations

◈ Ecolabel All Over the World

• Global Ecolabelling Network (GEN) : Voluntary participations

of 27 ecolabelling institutions in 47 countries

1994 1997 2005

1992

Korea ecolabellingprogram

1994

The enactment of “The act on Development and Support of Environmental Technology”

2005

The enactment of “The act on the Purchase of Eco-Friendly Products”

1992

1997

The Member of GEN (Global EcolabellingNetwork)

2011

2011

Acquisition Of GENICES certification

History of the Korea Ecolabelling Program

2013

150 categories,

10,127 certified products

(as of 31 Oct. 2013)

Logo & Legal Base

Article 17 (Authentication of Environmental Mark) ① The Minister of Environment may

grant authentication of environmental mark for the products which may cause less

environmental pollution or save resources compared with other products intended for the

same use (including apparatus, materials, and services affecting the environment;

hereinafter the same shall apply)

◈ The Act on the Development and Support of Environmental Technology

• Implication of Design : The shape symbolizes the clear and clean

environment

• Marking method

(Upper part) Product category

(Lower part) Reason for certification (as described at an ecolabel

certificate)

◈ Introduction of the Logo

Certification criteria ispublished through theKorean Gazette

1) Overall management including the enactment andrevision of related laws

Environmental Technology & Industry

Division

1) Development/revision of certification criteria

2) Certification & follow-up surveillance

3) Promotion and provision of information

Operating Agencies

4 Offices & 2 Centers

2) Public announcement of certificationcriteria

3) Other technical and administrativesupport

Environmental Technology &

Economy Division

Operating Offices of KEITI

• Establish and revise certification criteria

• Operate certification

• Follow-up surveillance

• Test & analysis

• Promote distribution of green products

• Provide information ongreen products

Ecolabel Certification Green Product Distribution

Environmental Standard

Management Office

Ecolabel Certification Office

Environmental Standard

Management Office

Green Product Promotion Office

Green LifestyleSpreadability Office

Korea National Environmental

Information Center

Environmental Analysis Center

Categories Of Ecolabeling Program

Office Equipment, Furniture & Supplies : 21

House·Building Materials & Machinery : 43

Housewares & Personal Care Products : 19

Home Appliances & Furniture : 13

Vehicles, Leisure & Culture : 12

Industrial Goods & Machinery :14

Mixed-Use Products & Others :25

Product Category (147) Service Category (3)

Hotel Services

Automobile Insurance

CondominiumServices

Development of Criteria

• Setting up criteria by considering environmental impacts in accordance with life cycle of products

Whole life stage

Environmental load

Manufacturing Distribution Use Discard

ⓐAcquisition of

materials

ⓑManufacturing

ⓒDistribution

ⓓUse∙

Consumption

ⓔDismantle∙

Re-trieval

ⓕRecycleReuse

ⓖDiscard

Resourcesⓐ Consumption of Resources △ △ⓑ Consumption of Energy △

Global scale

ⓒ Emission of global warming

substances △ⓓ Emission of Ozone unfriendly

Substances

Regional scale

ⓔ Emission of Air Pollutants △ △ⓕ Emission of water system

pollutants

ⓖ Emission of Solid Wastes ○

ⓗ Destruction of Ecosystem △ ○ △

Other

environmental

load

ⓘ Use·Emission of hazardous

substances○ ○

ⓙ Emission of indoor Pollutants

ⓚ Noise/Vibration

<Checklist of product environmental loads (example of stationery)>

Ex. Certified Products

Eco-friendly office supplies

Reasons for certification : resource saving, less pollutants

Eco-friendly office furniture

Reasons for certification : use of recycled materials, less indoor air pollutants,less harmful substances

Eco-friendly water supply equipments

Reasons for certification : less harmful substances,water saving

Eco-friendly construction materials

Reason for certification : less harmful substances, less air pollutants, less indoor air pollution

Printing Paper Wooden Furniture

Water-saving Faucets

Paints

Certified Products by Categories

Office Equipment, Furniture & Supplies : 2,678

House·Building Materials & Machinery : 4,006

Housewares & Personal Care Products : 698

Home Appliances & Furniture : 486

Vehicles, Leisure & Culture : 35

Mixed-Use Products & Others : 1,860

Industrial Goods & Machinery : 323

Total number of certified products : 10,127

Procedures of Certification

Applicant (company)

KEITI (30 days, excluding testing∙analysis period)User

(company)

Application for the

certification

Document review

Deliberation and

decision (Deliberation Committee)

⇒ Report and contract ⇒

Application of the Ecolabel

on the product (2 years)

Field inquiry

Testing∙Analysis

Procedures of Certification

Number of Certification

306 677

1,175 1,455 1,636

1,963

757

2,721

5,105

6,531

7,777

10,035

-

2,000

4,000

6,000

8,000

10,000

12,000

'93 '95 '97 '99 '01 '03 '05 '07 '09 '11 '13.8

Eco Products

Companies

• 1,963 companies and 10,127 products has been certified(as of sep. ‘13)

- The number of certified products has rapidly increased since 2005 as “The Act on the

Purchase of Environment-Friendly Products” was enacted.

10,127

’13.10

The time that mandatory system was introduced

Monitoring & Follow-up Surveillance

Monitoring Surveillance

Monitoring & Follow-up Surveillance

Check for indications ∙advertisements

(frequently)

Conforming or nonconforming to the certification criteria (regularly/frequently)

Check on misused ecolabelfor non-certified products

Inquiry into the goods

on the market orin the production

field

⇒ Testing∙Analysis ⇒Judgment on conforming or

non-conforming to the

certification Criteria

Check on expired certification of the ecolabel

Sample collection Data reviewCheck on appropriation of the

ecolabel indications and advertisement

Imprisoned (maximum 2 years), penalty

(US 8,700$), in case of violation

Cancellation ofnon-conforming

Products

Promotion : Exhibition of Eco-Products

Launch of the exhibition for Eco-Products (April in 2012)

Touring exhibition

Promotion : Education & Supporters

Organized supporters

to promote

eco-products

Introduction of the ecolabel and eco-friendly products to elementary school students

Advertisingecolabelledproducts at a campus festival

Consumer Awareness of the Korea Ecolabel

◈ Research on Consumer awareness of eco-friendly products

(Research period & object : Oct11~Nov3 2013/ for 1,000 people in all over Korea )

• 74.8 % of the people considered ecolabel when they purchased products.

roughly know

(44.8 %)

knowmuch

(5.5 %)

have been seen before

(29.9 %)

have no ideas(19.8%)

Future Plan for the Ecolabelling Program

1) Develop criteria for products in high demand of consumers.

2) Enhance awareness of the Korea Ecolabel by diversifying marketing promotion.

3) Improve credibility of the label by strengthening market observance and

monitoring of eco-friendly products.

4) Consolidation of comparative advantage of SMEs in the eco-friendly market by

supporting them to improve the environmental performance of their products.

Green Public Procurement in Korea

Dec 12, 2013

Contents

I. Korean Green Purchasing Policy

II. GPP Promotion Activities

III. Future Plans

I. Green Purchasing Policies

Green Economy and Green Procurement Policy

Green Production & Consumption are the key elements to drive Green Economy

Green Procurement stimulates the demands on greener products, thereby creating

a virtuous cycle of green production & consumption

Green Production (Supply side) Green Consumption (Demand side)

Partners Final Manufacturers

Green Production

Green Technology

Development

Green Market

Green Product &

Technology

Capital

Green Purchase

LOHAS

Public Sector

Industrial Sector

Private Sector

Green Production Policy Green Consumption

Policy

Government or public entities for green economy

- 1 -

Green Purchasing Policies

History of SCP Policies

1992 : Type I Eco-labeling program

1994 : "Support for Environmental Technology and Environmental Industry Act”

2001 : Type III eco-labeling program

2004 : “The Act on Encouragement of Purchase of Environmentally-Friendly Products”

2005 : First voluntary agreement among private sector businesses

2005 : First "Eco-Products Korea Fair" was held

2009 : Carbon-labeling certification

2009 : First green consumption week

2011 : Eco-labeling service criteria (eco-friendly hotel)

2011 : Green Credit Card

2011 : Green Store Designation program

Green Purchasing Policies

Act to Promote the Purchase of Eco-friendly Products (2005)

Green Purchasing Policies

Since 2005, public institutions have purchased eco-products

- Direct purchasing of eco-products

- Eco-services : printing, cleaning service, building maintenance

- Indirect purchasing : discretionary order on cleaning, building repairs

Target Organizations : 864 government and public institutions

(Total 28,700 institutions including affiliated organizations)

Scope of Eco-Products : Eco-Label Products, Good Recycled mark

products, Other eco-products satisfying criteria established by the MOE

Action Plans to Promote Purchase of Green Products (2011~2015)

Platform for

public green

procurement

65%→35%

Green product

manufacturing

/distribution

20%→30%

10%→30%

Nationwide

green

consumption

5%

Global cooperation

Incentives for

green consumption

Local green

consumption support centers

Networks for green consumption

promotion

Correct information on green purchasing

Global cooperation in ecolabeling

Free trade for green products

Environmental regulations

Green product development

and relevant system improvement

Nationwide green distribution network

Support for production/distribution/purchasing

of green products

System for mandatory procurement

implementation

A platform for green procurement

system

Green product info system

Green construction

materialsportion

(before→after)

Green Purchasing Policies

Action Plans to Promote Purchase of Green Products (2011~2015)

Green Purchasing Policies

Items

Number of Certified Products

Certification Authority

Website

GR ProductsEco-labeling

150 items including office equipment, construction

materials

1,963 companies, 10,127 products (As of Oct. 2013)

MOE / KEITI

http://www.ecoi.go.kr

241 items including waste paper, glass in 17 categories

202 companies (As of Oct. 2013)

MKE /Technology Standard Inst’

http://www.gr.or.kr

Green Product Ecolabeled products and products of equivalent value under Article 17

of 「Support for Environmental Technology and Industry Act」

GR products and products of equivalent value that are designated by the Minister of Knowledge Economy under Article 33 of 「Act on the Promotion of Saving and Recycling of Resources」 and Article 15 of「Act on the Promotion of Industrial Technology Innovation」

Green Purchasing Policies

MOE : Overall Management

PPS : Procurement Support

KEITI : Policy Support

Public Org. : Procurement

Policy direction and supervision

Policy suggestion

Records of each organization’s procurement

Green product information

Guideline

Green product information and procurement support

Records and plans

Procurement records

Procurement request

GPP System

Green Purchasing Policies

2. Indirect Purchase1. Direct Purchase

Order

The item is mandatory

There is an available green product

OrderBuy a non-green product

Yes

Yes

No

No

Contract/ Bidding Order

There are available green materials

Compel the contractor to use green materials

(Contract terms, specs. etc.)

Green Purchase Non-green purchase

No

Yes

Yes

Green Purchasing Policies

National Public Procurement Service operates the GePS

GePS provides detailed information on eco-products to the public organizations

GePS tracks the results of green procurement

Special Shop for Eco-products

Eco-Label product

Government e-Procurement System

Green Purchasing Policies

Item FeaturesGreen Product

(A)

Non-Green Product(B)

Price Gap(A-B)

Increase/Decrease rate(%)

(A/B)

PC

Laptop

Copy Machine

Toner Cartridge

Paper

Desk

Toilet Paper

CPU, Memory, HDD,Monitor Excluded

CPU, Memory,HDD,

Definition, printing speed, gray scale

Printer model, printing volume

A4, Weight (g/m2), 1 box (2500 sheets)

Identical wood texture,1600×1200×720mm

Jumbo roll, 300m, 16 rolls

B4, Weight (g/m2), 1 box (2500 sheets)

997,000

1,426,400

3,168,000

24,750

15,400

238,580

33,800

24,500

980,000

1,430,000

3,251,800

36,000

20,000

236,842

34,400

38,000

17,000

3,600

83,800

11,250

4,600

1,738

600

13,500

1.73

0.25

2.58

31.25

23.00

0.73

1.74

35.53

Price: Green Product vs. Non-Green Product

Green Purchasing Policies

Item Specs.Green Product

(A)

Non-Green Product

(B)

Price gap(A-B)

Increase/Decrease rate(%)

(A/B)

Elastic pavement material

Road pavement material

Road Block

Anti-slippery pavement material

Retaining wall block

Wood deck material

Urethane color mat12T

Anti-slippery pavement material 3.5mm

T 60mm water permeation

3.5mm

Vegetation retaining wall block A

420×500×250mm

EN-D101(Solid)t19×90×2400mm

Pedestrian deck material

I-type environment block [NTG001)

500×500×120mm

36,900/(㎡)

33,700/(㎡)

81,400/(㎡)

38,000/(㎡)

33,000/(㎡)

72,800/(㎡)

9,700

1,100

700

1,100

200

8,600

3,280

19.91

2.98

2.07

2.98

3.07

10.57

19.62

48,700/(㎡) 58,400/(㎡)

36,900/(㎡) 38,000/(㎡)

6,500/(㎡) 6,300/(㎡)

16,720/(㎡) 20,000/(㎡)

Green Purchasing Policies

< Pertinent Institution for system submittal>

- Federal Govt. Institution : Ministry

- Autonomy : village, county & city office

- Education Office: school

- Others : each branch

Top Level(HQ. Main Office)

pertinent

Institution

pertinent Institution

pertinent

Institution

pertinent

Institution

Departmentsubmit

In excel file

Approve/sum up/submit

System registration

system registration

system registration

system registration

Announce final result

Establish procurement plan by the end of each January in accordance with the Guideline

for Purchasing Eco-Friendly Products, and after its result is announced at the end of

next year February

The data are registered in the consolidated information network of the government

(www.greenproduct.go.kr)

Reports on Green Procurement

Green Purchasing Policies

II. GPP Promotion Activities

Procurement records reflected in performance evaluation

100%

Local state-run companies

Evaluator :Ministry of Public Administration and SecurityEvaluation indicator : Observance of government policy (score:10)Share out of total score : 2.0/100

Local Gov.

Evaluator :Ministry of Public Administration and Security

Evaluation indicator : General environmental management (score:20.6)

Share out of total score : 5.7/900

100%80%

20%

State-run companies

Evaluator : Ministry of Strategy and Finance

Evaluation indicator : Observance of government policy (score:5)

Share out of total score : 0.2~0.4/100

Share of Green Products Effectiveness

GPP Promotion Activities

Green Procurement Records via PPS

Organizations

Total amount GP amount GP ratio

GPP Promotion Activities

Regular and random training sessions are held for people in charge of procurement,

auditing and construction at public institutions.

- 62,269 people have attended the session during the period between 2005 and 2013.

- In conjunction with the Low Carbon Green Growth Expo, attendees get to see and use

green products after the training.

Green Procurement Training Session

GPP Promotion Activities

3,030

5,125 5,985

6,061 6,860

8,816 9,591

8,295 8,476

20

2832

4448

65 64 64

48

0

10

20

30

40

50

60

70

-

2,000

4,000

6,000

8,000

10,000

12,000

'05 '06 '07 '08 '09 '10 '11 '12 '13.6

Workshops are held for local governments and military personnel to

showcase best practices in green procurement

- USD 5,000, USD 3,000 & overseas training are given

Awards to individuals, businesses, organizations that contribute to

green procurement, development and dissemination of green products

GPP Workshops & awards

GPP Promotion Activities

Interviews of people in charge of green procurement at public

institutions are released every month (28,700 interviews so far)

Institutions share their cases via best practice collections that have

been issued since 2006

Newsletter & Best Practice Collection

GPP Promotion Activities

PPS Green Products Bidding Notice : construction materials

Eco-labeled construction materials

GPP Promotion Activities

Bidding Notice by Incheon city

Eco-labeled product

GPP Promotion Activities

ECO-EXPO KOREA 2014

GPP Promotion Activities

Date : 2014. 21 Oct ~ 24 Oct

Venue : COEX A&B Hall(14,733㎡), Seoul, Korea

Hosted by Korea Ministry of Environment

Organized by KEITI

Side events : Environmental Industry National

Award, Green Public Procurement Training

the public sector’s green procurement has increased significantly

Over 6.8-fold growth from KRW 255 bn before the law to KRW 1,727

bn in 2012

Records of Green Procurement at Public Institutions

255

2004

787

2005

861

2006

1,344

2007

1,584

2008

1,630

2009

1,641

2010

Unit: billion KRW

2011

1,645

Act to Promote the Purchase of

Eco-friendly Products

1,727

2012

GPP Promotion Activities

공공기관 녹색제품 구매실적Since the enactment of the act, the number of manufacturers and certified products have been on a rapid rise

Competition leads to better quality and price

Sales of ecolabeled products have reached USD 26.8 billion

Relevant industries such as parts and materials are going green as well

GPP Promotion Activities

For the last 8 years, public sector’s green procurement in 19 items

resulted in 3.71 million tons of CO2 reduction and 14,335 new jobs

- As a result of public sector’s green procurement in 2012

CO2 Reduction= 491,000t, Economic Benefits= KRW 7.4 billion

Environmental/Economic Benefits from Green Procurement

2005 2006 2007 2008 2009 2010

1.6

4.8

7.59.1

9.48.1

108

316

495

601620

538

CO2 equivalent

emission reduction

(thousand Tons)

Economic benefits (billion KRW)

Job creation(capita)

2011

544

8.2

114

6,532

619

4,001

1,995

37996

36

677

7.4

491

2012

GPP Promotion Activities23

III. Future Plan

After a few years of rapid growth, Korean public sector’s green

procurement has reached a stable stage

Approx. USD 1.63 bn (‘10) ⇒ USD 1.64 bn (‘11) ⇒ USD 1.72 bn (‘12)

Future Plans

Increase the number of products criteria to certification among the

items that are in high demand at public institutions

Ensure public institutions use green construction materials when building

new facilities or green building certification program

Strengthen green procurement policies in the private sector and

encourage green consumption among ordinary consumers

Expand partnerships with UNEP : green purchasing Training programs

Future Plans

Product categories

Plans to boost green purchase on the product groups raked high in terms of total public expenditure – e.g. ready mix concrete

1) by providing technical assistance to companies producing those products in getting eco-label certification

2) by developing criteria for the product groups with a big market share, currently not covered by Eco-label

GPP Status at PPS (2012)

Total expenditureTotal expenditure in green products

% of GPP over the total expenditure

(Unit. won)

Future Plans

Thank You!

Mr. Ko, Moon-jumjko@keiti.re.kr