## South Korea’s Carbon Challenge: How CCUS is Leading Industrial Emission Reductions ### **624** ⬆ Million tonnes of CO2 were emitted in South Korea in 2023, making it one of the top global carbon emitters. ### **37%** ⬆ Of total emissions of industrial sectors alone, with steel, petrochemicals, and semiconductors being major contributors. To tackle this challenge, the South Korean government has set **ambitious targets** to capture and store **4.8 million tonnes of CO₂ annually by 2030**, supporting the development of industrial CCUS hubs and incentivizing companies to adopt low-carbon technologies. As industries race to comply with regulatory frameworks and improve sustainability, **investments in CCUS are accelerating** across the country. ## South Korea’s CCUS Policies: Key Government Strategies and Industry Adoption Recognizing the urgency of climate action, South Korea has enacted a dedicated **CCUS Act (2024)**, streamlining regulatory procedures and establishing financial incentives to support the deployment of CCUS solutions. The government is fostering **strategic partnerships** and **R&D funding programs** to enhance the scalability of carbon capture technologies. Key elements of the policy framework include: - **The Korean Emissions Trading Scheme (K-ETS)**: Incentivizing industries to integrate CCUS into their decarbonization strategies. - **CCUS Innovation Grants**: Financial support for companies investing in capture and storage technologies. - **International Carbon Storage Agreements**: As domestic geological storage is limited, Korea is partnering with countries such as Malaysia and Australia to explore CO₂ storage solutions abroad. These initiatives are positioning South Korea as a leader in CCUS adoption, with industrial players increasingly investing in capture and utilization technologies to meet their [**ESG commitments**](/en/planet/achieving-your-esg-goals-south-korea "Achieving ESG Goals in South Korea").  ## Major CCUS Projects in South Korea: Industrial Carbon Capture in Action Several major CCUS projects are currently shaping South Korea’s industrial decarbonization efforts: - **The Donghae CCUS Hub**: This offshore storage project will repurpose depleted gas fields to store over 1.2 million tonnes of CO₂ per year by 2028. - **Carbon Capture in Petrochemicals:** Industrial facilities are integrating CCUS with advanced chemical processing to convert captured CO₂ into high-value products. - **Carbon-Neutral Microelectronics Manufacturing**: The semiconductor industry, a backbone of the Korean economy, is leveraging CCUS to minimize emissions from high-energy fabrication processes. These initiatives highlight the **growing momentum** behind CCUS as a scalable and effective solution for reducing industrial emissions. [Curious about CCUS in Korea? Let’s talk.](/en/ask-question)  ### Carbon Capture, Utilisation and Storage ## How Industry Leaders Are Driving CCUS Adoption in South Korea As companies navigate the transition to low-carbon operations, **leaders in resource management and environmental solutions**, such as Veolia, are playing a crucial role in implementing CCUS strategies. Veolia, a global pioneer in sustainable solutions, **supports industries in integrating CCUS within their operations**, ensuring efficient carbon capture, transportation, and storage. With decades of expertise across multiple industries, Veolia provides **tailored decarbonization solutions** to businesses in South Korea, including petrochemicals, steel, microelectronics, pharmaceuticals, and beyond. The company leverages its: [**GreenPath Platform**](/en/planet/how-can-south-koreas-industries-achieve-carbon-neutrality-tanso-junglib-veolia-greenpath "GreenPath Zero Carbon Veolia Korea Solution") [**Hubgrade Digital Solutions**](/en/solutions/hubgrade-digital-and-ai-solutions-accelerate-ecological-transformation-cities-and "AI & Digital Solutions by Veolia Korea") to optimize energy efficiency, monitor CO₂ emissions, and implement CCUS technologies that align with regulatory requirements and sustainability goals. By combining CCUS with **circular economy initiatives**, Veolia helps industries **reduce emissions while optimizing resource efficiency**—turning captured CO₂ into valuable byproducts and contributing to the broader goal of carbon neutrality. ## Scaling CCUS for a Low-Carbon Future in South Korea With CCUS gaining traction, South Korea is well-positioned to become a **regional hub for carbon capture and storage solutions**. However, challenges remain, including cost optimization, infrastructure expansion, and cross-border collaboration for CO₂ storage. Continued investment, regulatory support, and **technological innovation** will be essential in **scaling CCUS and driving industrial decarbonization**. As industries seek **trusted partners** to navigate this transformation, Veolia’s expertise in end-to-end CCUS integration will be critical in achieving long-term sustainability goals. By combining expertise in **carbon management, digital monitoring solutions, and industrial process optimization**, Veolia is paving the way for a low-carbon future in South Korea.  [SK Hynix](https://www.veolia.kr/en/our-solutions/sk-hynix-om-veolia " Veolia provides SKhHynix with ultra-pure water of consistent quality") ## The Role of CCUS in South Korea’s Decarbonization Strategy CCUS is emerging as a cornerstone of South Korea’s **decarbonization strategy**, offering a pathway for industries to reduce emissions while maintaining competitiveness. As policies evolve and technologies advance, companies must **proactively invest in CCUS** to stay ahead of regulatory changes and sustainability expectations. **Want to** **learn more?** [  ](/en/carbon-leaflet-steel-industry)[Carbon Leaflet for the Steel Industry (KR)](/en/carbon-leaflet-steel-industry) ### [Carbon Leaflet for the Steel Industry (KR)](/en/carbon-leaflet-steel-industry) [  ](/en/carbon-leaflet-pulp-paper-industry)[Carbon Leaflet for the Pulp & Paper Industry (KR)](/en/carbon-leaflet-pulp-paper-industry) ### [Carbon Leaflet for the Pulp & Paper Industry (KR)](/en/carbon-leaflet-pulp-paper-industry) [  ](/en/carbon-leaflet-pharmaceutical-industry)[Carbon Leaflet for the Pharmaceutical Industry (KR)](/en/carbon-leaflet-pharmaceutical-industry) ### [Carbon Leaflet for the Pharmaceutical Industry (KR)](/en/carbon-leaflet-pharmaceutical-industry) [  ](/en/carbon-leaflet-food-beverage-industry)[Carbon Leaflet for the Food & Beverage Industry (KR)](/en/carbon-leaflet-food-beverage-industry) ### [Carbon Leaflet for the Food & Beverage Industry (KR)](/en/carbon-leaflet-food-beverage-industry) [  ](/en/carbon-leaflet-petrochemical-industry)[Carbon Leaflet for the Petrochemical Industry (KR)](/en/carbon-leaflet-petrochemical-industry) ### [Carbon Leaflet for the Petrochemical Industry (KR)](/en/carbon-leaflet-petrochemical-industry) [  ](/en/carbon-leaflet-microelectronics-industry)[Carbon Leaflet for Microelectronics industry (KR)](/en/carbon-leaflet-microelectronics-industry) ### [Carbon Leaflet for Microelectronics industry (KR)](/en/carbon-leaflet-microelectronics-industry) Previous Next [CONTACT US TO FIND OUT HOW WE CAN HELP YOU](/en/ask-question) ### **Learn more about Veolia's solutions:** - [**Water Management**](https://www.veolia.kr/en/solutions/water-management "Water Management") - [**Waste Management**](https://www.veolia.kr/en/recycling-and-waste-management "Waste Management") - [**Energy Management**](https://www.veolia.kr/en/energy-management "Energy Management")