The South Korean government, through the Ministry of Land, Infrastructure and Transport, has announced the reinstatement of the interest support program for green remodeling projects starting this year. This program, which initially began in 2014, aims to improve the energy performance of existing buildings by subsidizing a portion of the interest on loans taken by private builders for implementing energy-efficient renovations. The green remodeling process typically involves upgrades such as improving insulation, replacing windows, and modernizing outdated facilities.

The government has also significantly expanded the support criteria for the interest program. The interest rate has been increased from 4% to an additional 0.5%, with an extra 1% point for projects that demonstrate significant energy performance improvements or are undertaken by low-income households, multi-child families, senior citizens, or newlyweds, potentially raising total support to as much as 5.5%. Furthermore, for non-residential large buildings, the support limit for loans has been increased from 5 billion KRW to 20 billion KRW, alongside streamlining application procedures and reducing document requirements to encourage participation.

In addition to interest support, the government is introducing a new consulting support program for private building owners looking to embark on green remodeling projects. This service will provide tailored solutions delivered by experts who will diagnose the current energy performance of the building and offer a cost analysis along with recommendations for optimal improvements. Notably, if consulting beneficiaries apply for the interest support program afterward, the consultant will assist in preparing application documents and navigating administrative procedures. Applications for both the interest program and the consulting support are set to open on the 17th of this month, with a call for consulting firms to participate in the program until April 15.