Korea's policy instruments for waste minimization

This paper considers the current status of waste generation and waste treatment trends, and introduces a wide variety of policy instruments for waste minimization at every stage of economic activity in Korea, i.e., production, distribution, and consumption. At each stage, the Korean government has imposed a policy mix of direct regulations and economic incentives. These policy instruments have made definite contributions to a reduction of waste generation and an increase in the recycling rate. Despite these fruitful outcomes, there are still some shortcomings with respect to efficiency and equity. Among other aspects, this paper examines three representative economic incentives – the charge system, the volume-based-collection fee system, and the deposit–refund system – and identifies shortcomings in each. Some suggestions are made for the creation of better systems of economic incentives. However, many experts insist that this kind of piecemeal change in each policy instrument is not enough to achieve the ultimate goal of resource circulation and an environmentally friendly society, especially in Korea, which is a country with little land, a high population density, and a high economic growth rate. Among experts, special emphasis is placed on the activation of recycling industries to achieve these goals. Received: April 2, 2001 / Accepted: September 10, 2001