|
3.1 Raising Awareness and Participation of Manufacturers and Consumers: Energy Winner Award Programme of the Citizens’ Alliance for Consumer Protection of Korea
by Ms. Jai-Ok Kim, President (Domestic Affairs), Citizens’ Alliance for Consumer Protection of Korea, Seoul, Republic of Korea
3.1.1
Background
In many parts of the world, limitations on the
availability of energy services create barriers
to socio-economic development. Worldwide, approximately
two billion people use traditional solid fuels
for cooking and heating, and almost as many lack
electricity. Without access to modern forms of
energy for lighting, cooking, heating and cooling,
refrigeration, pumping, transport, communications
and productive purposes, people must spend much
of their time and physical energy on basic subsistence
activities. Lack of energy services is correlated
with many elements of poverty, such as low education
levels, inadequate health care, and limited employment
possibility. At the United Nations Millennium
Summit, which was convened in New York in September
2000 with nearly 150 Heads of State or Government
attending, governments committed themselves to
halving the number of people living in poverty
by 2015 requires all stakeholders to work towards
reducing by half the number of people who lack
access to modern energy services.
In 1999, the total world commercial primary energy
consumption amounted to more than 8.5 trillion
metric tons of oil equivalent (mtoe). Petroleum
(crude oil and natural gas products) continued
to be the world's dominant primary energy source,
accounting for almost 40.6 per cent of the total.
Coal ranked second as a primary energy source,
accounting for 25 per cent of world primary energy
consumption. Dry natural gas ranked third as a
primary energy source, accounting for about 24
per cent. Electric power generation from nuclear
and from hydro and other renewable sources (including
solar, wind, biomass, and geothermal) accounted
for 7.6 per cent and 2.8 per cent, respectively
Total world commercial primary energy consumption
during the 25-year period from 1975 to 1999 registered
an average annual growth rate of about 1.6 per
cent. During this period, nuclear power exhibited
the highest annual growth rate, about 8.4 per
cent, followed by natural gas, about 2.6 per cent;
hydro, about 2.5 per cent; crude oil, about 0.96
per cent; and coal, about 0.89 per cent.

return
to top
The fact that improving energy conversion and
end-use efficiency can lead to reduction of the
energy consumption per unit product or activity
provides a compelling basis for policy initiatives
and actions. Making the energy system more efficient
contributes to improving local air quality and
health, as well as to reducing regional acidification,
and offers considerable potential for greenhouse
gas reduction. Energy efficiency improvements
also reduce the investment requirements of the
energy sector for any given level of gross domestic
product (GDP).
Energy efficiency can be a win-win solution both
for developed and developing countries. Currently,
however, energy efficiency has not reached its
potential and current functioning of markets does
not lead economic actors to choose energy efficient
products and services -- institutional barriers
discourage energy institutions from promoting
energy efficiency. Barriers to optimizing the
energy efficiency potential involve market-related
and institutional issues as well as lack of access
to technology, capacity-building and financial
resources.
Energy efficiency is one of the main technological
drivers for sustainable development. However,
the benefits of end-use efficiency for society,
environment and economic growth are often underestimated.
Barriers to utilizing significant energy efficiency
potential are related to both institutional and
market mechanisms. While some of the market-related
challenges are a weak enabling environment for
private sector investments and a lack of information
on energy use and options. Institutional challenges
include lack of explicit national policies for
end-user energy efficiency.
Governments are encouraged to strengthen public
awareness programmes to mobilize all stakeholders
to:
- develop, as appropriate, at the country and
regional level, energy
efficiency programmes and policy
options;
- strengthen capacity-building, including education
and training to
improve the performance of energy
and materials use; and
- increase the efficiency of technologies used
in the production and
consumption of energy.
3.1.2
Situation in the Republic of Korea
With the rapid economic growth of the past 20
years, energy consumption in the Republic of Korea
has increased more than four-fold, from 43.9 million
tonnes of oil equivalent (TOE) in 1980 to 181.2
million TOE in 1999. This makes the country the
tenth largest energy-consuming country in the
world.
But, poor in indigenous energy resources, Republic
of Korea has to rely almost entirely on imports
to meet its energy needs. In 1999, 97.2 per cent
of energy needs are imported. Government policymakers
are focused on ways of reducing consumer energy
use. In the electricity sector, household electricity
accounts for nearly one-fifth (18.8 per cent)
of total electricity use. Oil consumption by the
Republic of Korea has grown every year except
during the period of economic crises in 1997 to
1999.

return
to top
Despite nationwide efforts driven by the Government
to encourage energy conservation and higher energy
efficiency, the high rate of increase in energy
demand is expected to persist in the future because
further economic growth is also expected. This
situation has led consumer organizations to launch
the Sustainable Energy Campaign in Korea. Moreover,
the financial crisis and the decision at the Kyoto
Conference on Climate Change to decrease carbon
dioxide levels has made energy conservation an
urgent task in Republic of Korea.
Table 3.1.1 Major economic energy indicators in the
Republic of Korea
Table 3.1.2 Electricity consumption by sector in the
Republic of Korea
3.1.3
Implementation of the Energy Winner Award
 |
The
Sustainable Energy Campaign of Citizen’s Alliance
for Consumer Protection of Korea (CACPK) began
in 1994. CACPK initiated research on “Consumer
attitudes and practice of energy conservation”
in 1994, which revealed that young consumers
are unaware of energy conservation. In 1995,
CACPK organized nationwide education programmes
with considerable outreach to 3,900 young
consumers. |
In 1996,
CACPK initiated the Republic of Korea’s first
signing of an agreement with four major household
electrical appliance manufacturers to increase
the energy efficiency of their products. That
year CACPK carried out a consumers’ campaign to
“promote energy efficiency product consumption
and production” by testing and publicizing the
energy efficiency of washing machines, refrigerators,
rice cookers, irons, and other appliances.
CACPK has urged the Government to expand its energy
efficient grade program. It has also sought ways
to practice “Factor 4” 1
by forming the “Korea Factor 4 Committee”.
In 1997, CACPK organized an effective nationwide
campaign initiative through the National Energy
Efficiency Award programme (locally known in Republic
of Korea under the name “Energy Winner”) as a
culmination of these activities. The “Energy Winner
Award” is an annual prize to encourage manufacturers
to continually produce better energy-efficient
products and develop new technology to conserve
energy.

return
to top
The purpose of the Energy Winner Award programme
is to:
- alleviate a nationwide energy inefficiency crisis;
- ease the economic and environmental burdens
caused by energy waste;
- increase the production and consumption of energy-efficient
products;
- increase the distribution of energy-conserving
products and systems; and
- promote an energy efficiency movement in the
market, thereby ensuring
the promise of sustainable energy.
Under the sponsorship of Ministry of Commerce,
Industry and Energy (MOCIE), Ministry of Environment,
and Korea Energy Management Corporation (KEMCO),
CACPK carries out the Energy Winner Award campaign
with the cooperation of a major daily newspaper
(Hankuk-Ilbo). ESCAP has also supported the Energy
Winner Award programme for the past four years.
The Energy Winner Award is now considered an exemplary
model among consumer organizations in the Asia
and Pacific region.
3.1.3.1
Purpose of energy winner awards
The Energy Winner Award is granted to producers
who conserve energy by minimizing its use and
maximizing its efficiency. Awardees are allowed
to use the award logo on their products or in
their advertisements. This attracts consumers
and creates energy efficiency awareness in the
market.
Each year, private and public sector entities
are invited to submit products and projects for
an independent, professional assessment and competitive
review by the CACPK Energy Advisory Committee.
Selected products and distinguished projects are
awarded non-monetary rewards, including permission
to mark their products with designated energy-efficiency
labels that can attract consumers while also creating
awareness of energy efficiency in the market place.
Each year, CACPK culminates its Annual Energy
Award winner programme with a highly publicized
official awards ceremony. Each year the campaign
attracts more attention and recognition from the
private sector.

return
to top
3.1.3.2
CACPK Energy Advisory Committee
The CACPK Energy Winner Award campaign is guided
by an independent Energy Advisory Committee which
comprises 25 distinguished experts and energy
professionals.
This honorary Advisory Committee evaluates applications
for the Award and provides guidance to the energy
efficiency campaign as a whole. There is also
a strong participation of media representatives
in the Committee.
3.1.3.3
Categories of the energy winner award
There are three categories for the Energy Winner
Award: “Grand Prize of the Year”; “Energy Award
of the Year”; and “Carbon Dioxide Reduction Award”.
The “Energy Award of the Year” has three subcategories:
“Energy Efficiency Award”; “Energy Innovation
Award”; and “Energy Conservation Award”. The “Carbon
Dioxide Reduction Award” was launched in 2001.
Candidate products are considered in five different
product and activity categories. These are the
following:
- Green Appliances Division;
- Green Lighting Division;
- Energy Efficient Cars Division;
- Sustainable (Green) Buildings Division; and
- General Energy Efficiency Activities Division
(organized in 2000).
Table 3.1.3 Energy Winner Award product categories
3.1.3.4
Major evaluation indices
The major evaluation indices for winning an Energy
Winner Award are:
- comparative energy efficiency (rating weight:
30 per cent);
- comparative environmental impacts (rating weight:
30 per cent);
- new technology applications (rating weight:
20 per cent); and
- other aspects (rating weight: 20 per cent )

return
to top
3.1.3.5
Review process
The review process consists of two rounds. The
first round involves documentation reviews, product
presentation by the applicants, and site evaluation
by the committees responsible for each division.
Each division recommends candidates for the Energy
Winner Award.
The second round involves a comprehensive evaluation.
In this round, committee members select the final
winners based on marks they received in the first
round.
In the experience of the organizers the selection
of winners has always been difficult because given
the generally high overall quality of the applications.
3.1.3.6
Process for the Energy Winner Award 2002
To prepare for the Grand Prize of the Year and
Energy Winner Award 2002, CACPK convened a screening
committee in May and June 2001, to adjust award
classification, award winner, and award division.
The committee also discussed the evaluation basis.
The public announcement and acceptance of applications
for the grand prize of the year and the other
Energy Winner Awards for 2002 started in June
2001. Applications were accepted until August
2001. CACPK encouraged enterprises and organizations
to participate in the award programme by distributing
application requirements and promotional posters
to 1,200 different places including 500 enterprises,
200 schools, 160 apartments, and 150 public organizations
as well as to the press.
A total of 39 enterprises and organizations applied.
The numbers of products nominated for each division
were as follows: 18 products in the Green Appliances
Division; nine products in the Green Lighting
Division, six buildings and products in the Green
Building Division; one product in the Energy Efficient
Cars Division; and five enterprises and organizations
in the Energy Efficiency Activities Division.
Applications were evaluated from 13 September
to 17 October. The first step was carried out
by evaluation of documents coupled with field
investigation.

return
to top
CACPK evaluated the products for the Green Appliances
Division based on prescribed application letters
that all the participants submitted. Then CACPK
had briefing sessions to investigate the energy
efficiency of each product. For the Energy Efficiency
Cars Division, CACPK executed an 8-day driving
test to measure fuel expenses. For the Green Building
Division, CACPK visited each building and confirmed
its energy saving system. For the Energy Efficiency
Activities Division, CACPK also had a briefing
session with each participant about their activities
and effects. Based on these evaluation processes,
25 products and activities were selected as winners
of Energy Winner Awards.
On 17 October 2001, the entire screening committee
selected the Grand Prize of the Year from the
25 winners of the Energy Winner Award 2002. The
Grand Prize of the Year was selected through voting
from a short list of candidates from each division.
The list included Seoul Singa Elementary School,
the amorphous transformer of Cheryong Industry,
and Samsung Life Insurance Office Building of
Sam-Woo Consultants. The Grand Prize of the Year
went to Singa Elementary School. The Carbon Dioxide
Reduction Award, newly added in 2002, was given
to Hyundai Motor Company.
Table 3.1.4 Energy Winner Award recipients for 2002
Grand Prize of the Year The Improvement of Energy
Saving Attitudes Activity Seoul Singa Elementary
School
Energy Efficiency Award Amorphous Cast Resin Transformer
Cheryong Industrial Company Limited
Energy Innovation Award Samsung Life Insurance
Building Innovation Samoo Mechanical Consultants,
Incorporated
Energy Conservation Award Energy Service Company
(ESCO) Activities Doosan Heavy industries and
Construction Company Limited
Carbon Dioxide Reduction Award "Santa Fe 2.0 Diesel
(HTI)" Four-Wheel Drive Sport Utility Vehicle
Hyundai Motor Company

return
to top
3.1.3.7 Grand Prize: Seoul Singa Elementary School
Seoul Singa Elementary School received the Grand Prize for developing its own teaching aids and teaching methods to encourage energy saving, with about 1,800 students and their parents participating in these activities. Despite a small budget, the school installed “energy-saving simulation equipment” and with the help of this equipment it has been providing effective and enthusiastic energy-saving education.
Winning this award has enabled Singa Elementary School to promote the importance of energy-saving to about 6,000 schools and 130,000 students nationwide. It will also contribute to the education and awareness of future energy-consumers, a goal pursued by consumer organizations.
The energy saving educational activities of the school include:
Activity 1 - Prepare the educational situation for energy saving
- abstract elements from the units of curriculum, devising a yearly
teaching plan
- prepare the educational situation through school broadcasts every
Saturday
- establish and open educational facility for energy saving
- reinforce teacher training activities on the second Tuesday of each
month
- support the audiovisual aides of TP,VCR, etc. and manufacturing
materials
Activity 2 - Develop quest activities centered on instances of energy consumed
- publish and use workbooks about quest activity of energy consumption
and saving
- hold open discussions about energy saving at extra curriculum times
- develop various experience learning activities related to energy saving
Activity 3 - Practice energy saving through the guidance relating to community
- guide the community through the monthly newspaper published by Singa
elementary school
- organize and manage leading service groups for energy saving activities
- manage the parents association regarding instruction and information on
energy saving
- hold various events and open classes
Table 3.1.5 Results of educational activities at Singa
Elementary School
Section Questions First (2000.3) Second (2001.7) Improvement
Students Students use water gotten beforehand in buckets 31.3% 61.5% 20.2%
Parents Parents turn off the top water tightly after using it 28.3% 61.7% 33.4%
Teachers Teachers give the energy saving education systematically 35.5% 79.1% 43.6%

return to
top
3.1.3.8 Energy Innovation Award: Samsung Life Insurance Building
The increased energy efficiency of this building was achieved by innovations in the building components and the heating, ventilation and air-conditioning system (HVAC) system. The architects used extra insulation to dramatically reduce infiltration loads and solar heat gain.
Heating and cooling loads are diminished from the building components. This allows for a reduction in the size of the air-conditioning equipment and in operating costs. The other approach is an improved variable air volume
(VAV) system adapted to the air-conditioning requirements for each room. This avoids unnecessary energy consumption while improving energy efficiency with proper control strategies for the VAV system. These energy-saving innovations have reduced the building's energy consumption by 45 per cent.
3.1.4 Results of the energy winner campaign
The “Energy Winner” energy efficiency award programme has continually proven successful for many years. Companies develop and produce energy efficient technologies and products with the Energy Winner Awards in mind. The energy winner logos on products coupled with media coverage inform consumers about energy-efficient products. Thus, an NGO, the government, the media, and consumers together successfully spread the use of energy-efficient products. The award campaign has stimulated the national energy efficiency movement.
The energy award has emerged from initial voluntary agreements arranged by CACPK between the major household electronic appliance manufacturers
(LG Electronics, Samsung Electronics, Daewoo Electronics, and Hyundai Electronics) and the Government. From the viewpoint of the consumer movement, voluntary agreements to produce energy-efficient products and the award campaign show a cooperative effort between consumers and producers. This campaign suggests that the solution to the issue of energy is for corporations and consumers to work together to increase the manufacture and use of energy-efficient products. The corporations are obliged to try their best to produce energy efficient products while the Government supports such efforts with appropriate policies. Consumers ought to support energy-efficient products through adjustments to their consumption habits and lifestyles.

return to top
Traditional energy conservation campaigns are often limited in focus attempting to address consumers only. However, giving the right incentives to manufacturers is also important. The efficiency of products can be stimulated by the creation of greater demand for energy efficient products. CACPK believes simultaneous efforts by the Government, corporations, and consumers alike are required and can have a considerable impact on reducing energy intensity of economic activity in the intermediate and long term.
References
CACPK, “Sustainable energy and Factor 4 movement in Korea”, 1999
CACPK, “5th Energy Winner of the Year and Energy Winner Awards”, 2001
Eugenie Bietry & John Donaldson, “Decentralized energy alternatives” Columbia School of Business, 2000
International Energy Agency, “World Energy Outlook 2000”, 2000
Republic of Korea, Ministry of Commerce, Industry and Energy, “Annual Report”, 2001
United Nations, “Energy and sustainable development: options and strategies for action on key issues”, United Nations Economic and Social Council, December 2000
United Nations Commission on Sustainable Development “Report on the ninth session”, United Nations Economic and Social Council, 2001
United Nations Development Programme, “Generating opportunities”, 2001
-------------------
1 In 1997,
E.U. von Weizsacker and A. and H. Lovins in their report to the Club of Rome propagated the “Factor 4” paradigm, explaining the global sustainable development goals of economic growth and environmental protection can be reconciled, provided that resource and energy efficiency is dramatically increased. In their report, the authors illustrate with 50 selected examples that significant progress is achievable in many areas of consumption and economic activity.

return to
top |