CHAPTER I GENERAL PROVISIONS
The purpose of this Act is to contribute to developing the national economy and ensuring public safety by establishing the foundation for facilitating the implementation of the hydrogen economy, promoting the systematic development of the hydrogen industry, and prescribing matters related to the safety management of hydrogen.
The terms used in this Act are defined as follows:
| 1. | The term "hydrogen economy" means the economic and industrial structure using hydrogen as a major energy source where the production and utilization of hydrogen leads to fundamental changes in a nation, society and people's lives, driving new economic growth; |
| 2. | The term "hydrogen industry" means an industry related to hydrogen, such as the production, storage, transportation, refueling, and sale of hydrogen, and the manufacture of fuel cells and products, parts, materials and equipment used therefor; |
| 3. | The term "hydrogen-specialized enterprise" means an enterprise engaged in a business related to the hydrogen industry (hereinafter referred to as "hydrogen business"), which falls under any of the following: |
| (a) | An enterprise whose share of sales related to hydrogen business relative to its total sales falls within the standards prescribed by Presidential Decree; |
| (b) | An enterprise whose share of investments in research and development, etc. related to hydrogen business relative to its total sales falls within the standards prescribed by Presidential Decree; |
| 4. | The term "hydrogen-specialized investment company" means a company established for the purpose of managing assets pursuant to Article 15 and distributing profits therefrom to shareholders; |
| 5. | The term "hydrogen-specialized complex" means an area designated pursuant to Article 22 to promote the implementation of the hydrogen economy; |
| 7. | The term "hydrogen fuel supply facility" means a facility prescribed by Ordinance of the Ministry of Trade, Industry and Energy as a facility that supplies hydrogen to fuel cells used for transportation, buildings, power generation, etc.; |
| 8. | The term “hydrogen equipment" means fuel cells and hydrogen-related equipment prescribed by Ordinance of the Ministry of Trade, Industry and Energy; |
| 9. | The term "hydrogen fuel-using facility” means a facility prescribed by Ordinance of the Ministry of Trade, Industry and Energy as a facility for using electricity or heat by installing fuel cells. |
| Article 3 (Responsibilities of the State, Local Governments and Business Entities) |
| (1) | The State and local governments shall establish and promote policies necessary for fostering the hydrogen industry and hydrogen safety management. |
| (2) | Any person engaged in a hydrogen business (hereinafter referred to as "hydrogen business entity") shall endeavor to facilitate the development and commercialization of technology necessary for developing the hydrogen industry and to produce, store, transport, and use hydrogen in an environmentally friendly manner. |
| Article 4 (Relationship to Other Statutes) |
CHAPTER II SYSTEM FOR FACILITATING IMPLEMENTATION OF HYDROGEN ECONOMY
| Article 5 (Formulation of Master Plans for Hydrogen Economy Implementation) |
| (1) | The Minister of Trade, Industry and Energy shall formulate a master plan for implementing the hydrogen economy (hereinafter referred to as “master plan”) to effectively promote the implementation of the hydrogen economy, and may amend a master plan when it is deemed necessary in consideration of changes in social and economic conditions. |
| (2) | A master plan shall contain each of the following matters: |
| 1. | Basic direction-setting for policies for implementing the hydrogen economy; |
| 2. | Establishing and improving a system for implementing the hydrogen economy; |
| 3. | Establishing the foundation for facilitating the implementation of the hydrogen economy; |
| 4. | Plans for financing necessary to implement the hydrogen economy; |
| 5. | Plans for installing hydrogen production facilities and hydrogen fuel supply facilities; |
| 6. | Plans for hydrogen supply and demand; |
| 7. | Matters concerning the safe utilization of hydrogen; |
| 8. | Other matters necessary to implement the hydrogen economy prescribed by Ordinance of the Ministry of Trade, Industry and Energy. |
| (3) | Where the Minister of Trade, Industry and Energy intends to formulate or amend a master plan, he or she shall undergo the deliberation by the Hydrogen Economy Committee established under Article 6 after consulting with the heads of relevant central administrative agencies: Provided, That the foregoing shall not apply when amending minor matters prescribed by Presidential Decree. |
| (4) | The Minister of Trade, Industry and Energy may request submission of data from the heads of relevant central administrative agencies, the heads of local governments, and the heads of relevant organizations or institutions. In such cases, upon receiving such request for submission of data, the heads of relevant central administrative agencies, the heads of local governments, and the heads of relevant organizations or institutions shall comply therewith, unless there is a compelling reason not to do so. |
| (5) | Except as provided in paragraphs (1) through (4), necessary matters concerning formulating and executing master plans shall be prescribed by Presidential Decree. |
| Article 6 (Hydrogen Economy Committee) |
| (1) | A Hydrogen Economy Committee (hereinafter referred to as the "Committee") shall be established under the control of the Prime Minister to deliberate on each of the following matters concerning major policies and plans for implementing the hydrogen economy: |
| 1. | Matters concerning formulating and executing master plans, and reviewing and evaluating the implementation results thereof; |
| 2. | Matters concerning recommendations for improving statutes and regulations pertaining to implementing the hydrogen economy; |
| 3. | Matters concerning policy coordination, cooperation, and support related to the hydrogen economy by relevant central administrative agencies and local governments; |
| 4. | Matters concerning cooperation between countries, establishment of a hydrogen industry ecosystem, and handling of grievances of enterprises, etc. in relation to the hydrogen economy; |
| 5. | Matters required to undergo deliberation of the Committee under other statutes; |
| 6. | Other matters deemed necessary by the Chairperson of the Committee in relation to the hydrogen economy. |
| (2) | The Committee shall consist of up to 20 members including one Chairperson; the Prime Minister shall serve as the Chairperson, and the following persons shall be its members: |
| 1. | The heads of relevant central administrative agencies prescribed by Presidential Decree; |
| 2. | Persons commissioned by the Prime Minister from among those working at industrial, academic, research institutes, etc. with sufficient expertise and experience in fostering the hydrogen industry. |
| (3) | The Committee shall have one secretary; the Minister of Trade, Industry and Energy shall serve as the secretary. |
| (4) | There shall be established in the Committee a working committee to review the agenda to be deliberated on and coordinated by the Committee in advance as well as to perform the affairs delegated by Presidential Decree. |
| (5) | The working committee referred to in paragraph (4) shall consist of up to 20 members including one chairperson; the Vice Minister of Trade, Industry and Energy shall serve as the chairperson. |
| (6) | In order to assist the Committee for the efficient performance of its business affairs, a working-level hydrogen economy promotion group may be organized under the jurisdiction of the Ministry of Trade, Industry and Energy. |
| (7) | The Minister of Trade, Industry and Energy may, if necessary in operating the working-level hydrogen economy promotion group, request that an executive officer or employee of central administrative agencies, local governments, or related private institutions, organizations, research institutes, or corporations be dispatched to, or take a concurrent position at the promotion group. |
| (8) | Except as provided in paragraphs (1) through (7), necessary matters concerning the composition, operation, etc. of the Committee, working committee, and working-level hydrogen economy promotion group shall be prescribed by Presidential Decree. |
| Article 7 (Expansion of Financial Resources to Facilitate Hydrogen Economy Implementation) |
| (1) | The Government shall prepare a plan for sustainably and stably securing necessary financial resources to effectively implement a master plan. |
| (2) | The Minister of Trade, Industry and Energy may, if necessary to facilitate the implementation of the hydrogen economy, recommend that any of the following organizations, which are related to energy, prescribed by Presidential Decree, provide necessary support for projects, etc. related to implementing the hydrogen economy: |
| 2. | Other institutions to which the Government has invested part of its capital. |
| (3) | The Government shall prepare necessary measures for the private sector, such as enterprises, to actively invest in projects related to the implementation of the hydrogen economy. |
| (4) | The Government shall endeavor to efficiently execute investment resources by comprehensively considering the implementation stages, etc. of the hydrogen economy. |
| Article 8 (Recommendations for Improvement of Statutes and Regulations Related to Hydrogen Economy Implementation) |
| (1) | In order to facilitate rational improvement of statutes and regulations pertaining to the implementation of hydrogen economy, the Minister of Trade, Industry and Energy may present opinions or make recommendations to the heads of relevant central administrative agencies in charge of relevant statutes or regulations. |
| (2) | Upon receiving opinions or recommendations for improving statutes or regulations pursuant to paragraph (1), the heads of relevant central administrative agencies shall amend the relevant statutes or regulations in consideration of such opinions or recommendations of the Minister of Trade, Industry and Energy, unless there is a compelling reason not to do so. |
CHAPTER III FOSTERING OF HYDROGEN-SPECIALIZED ENTERPRISES
| Article 9 (Support for Hydrogen-Specialized Enterprises) |
| (1) | Where it is necessary to facilitate the implementation of the hydrogen economy, the Government may provide the following administrative and financial support to hydrogen-specialized enterprises: |
| 1. | Supporting the development of technology related to the hydrogen industry, and sharing research and development outcomes; |
| 2. | Sharing expensive equipment; |
| 3. | Supporting the identification and commercialization of excellent technologies related to the hydrogen industry; |
| 4. | Providing a priority opportunity to be located in a hydrogen-specialized complex; |
| 5. | Other matters prescribed by Presidential Decree as necessary to support hydrogen-specialized enterprises. |
| (2) | Necessary matters concerning the procedures and methods of support pursuant to paragraph (1) shall be prescribed by Presidential Decree. |
| Article 10 (Subsidies and Loans) |
| (1) | Where it is necessary to facilitate the implementation of the hydrogen economy, the Government may support hydrogen-specialized enterprises by subsidizing or lending any of the following expenses, as prescribed by Presidential Decree: |
| 1. | Expenses incurred in technology development and training of experts necessary to innovate the safety, economical efficiency, and eco-friendliness of the hydrogen business; |
| 2. | Expenses for international cooperation and technology exchange with foreign countries; |
| 3. | Other expenses prescribed by Presidential Decree as necessary to facilitate the implementation of the hydrogen economy. |
| (2) | Necessary matters concerning the procedures and methods for providing subsidies or loans pursuant to paragraph (1) shall be prescribed by Presidential Decree. |
| Article 11 (Verification as Hydrogen-Specialized Enterprises) |
| (1) | Any enterprise intending to receive support pursuant to this Act may apply to the Minister of Trade, Industry and Energy for verification as to whether it is qualified as a hydrogen-specialized enterprise. |
| (2) | The Minister of Trade, Industry and Energy shall issue a hydrogen-specialized enterprise verification certificate by determining the period of validity, as prescribed by Presidential Decree, if the applicant enterprise referred to in paragraph (1) is qualified as a hydrogen-specialized enterprise. |
| (3) | Necessary matters pursuant to paragraphs (1) and (2), including the procedures for verifying hydrogen-specialized enterprises, inspection for verification, and follow-up management, shall be prescribed by Presidential Decree. |
| Article 12 (Revocation of Verification as Hydrogen-Specialized Enterprises) |
| (1) | The Minister of Trade, Industry and Energy may revoke the verification as a hydrogen-specialized enterprise referred to in Article 11 (2), if a hydrogen-specialized enterprise falls under any of the following subparagraph: Provided, That where a hydrogen-specialized enterprise falls under subparagraph 1, its verification shall be revoked: |
| 1. | Where it has acquired verification by fraud or other improper means; |
| 2. | Where it fails to meet the requirements for a hydrogen-specialized enterprise prescribed in subparagraph 3 of Article 2; |
| 3. | Where it is deemed impractical for it to continue business activities due to bankruptcy, closure, suspension of business, etc. |
| (2) | Necessary matters concerning the revocation of verification as a hydrogen-specialized enterprise, and other relevant details pursuant to paragraph (1) shall be prescribed by Presidential Decree. |
| Article 13 (Hydrogen-Specialized Investment Companies) |
| (3) | No one, who is not a hydrogen-specialized investment company pursuant to this Act, shall use the name “hydrogen-specialized investment company” or similar. |
| Article 14 (Consultation on Registration of Hydrogen-Specialized Investment Companies) |
| Article 15 (Methods for Asset Management) |
| (1) | A hydrogen-specialized investment company shall invest in hydrogen-specialized companies in an amount exceeding 50/100 of its capital, at least at a rate prescribed by Presidential Decree. |
| (2) | In any of the following cases, a hydrogen-specialized investment company may borrow money, provide collateral, or guarantee debt: Provided, That in cases falling under subparagraph 1, it shall obtain approval of its general shareholders' meeting: |
| 1. | When it has insufficient funds to cover operating expenses; |
| 2. | When it has insufficient funds to invest in a hydrogen business. |
| (3) | The sum of the amount of capital borrowing, the amount of collateral provided, and the amount of debt guarantee prescribed in paragraph (2) shall not exceed the amount according to the rate prescribed by Presidential Decree within 30/100 of the capital of a hydrogen-specialized investment company. |
| (4) | Except as provided in paragraphs (1) through (3), necessary matters concerning the asset management of hydrogen-specialized investment companies shall be prescribed by Presidential Decree. |
| Article 16 (Investment of Funds in Hydrogen-Specialized Enterprises) |
A person who manages any of the following funds may invest in a hydrogen-specialized enterprise or a hydrogen-specialized investment company in accordance with the relevant fund management plan:
| 1. | Funds prescribed by Presidential Decree, being established pursuant to the statutes prescribed in attached Table 2 of the National Finance Act; |
| 2. | Other funds prescribed by Presidential Decree, the establishment purpose of which is equivalent to that of the funds prescribed in subparagraph 1. |
| Article 17 (Reduction of or Exemption from Taxes and Charges) |
| (2) | For facilities for research and development, etc. related to the hydrogen industry, any of the following charges may be exempted: |
| Article 18 (Lending or Using State-Owned Property and Co-Owned Property) |
| (1) | Notwithstanding the State Property Act or the Public Property and Commodity Management Act, where the State or a local government deems it necessary for the implementation of the hydrogen economy, it may permit a hydrogen-specialized enterprise to borrow, use, or profit from state-owned property or co-owned property or sell the same to a hydrogen-specialized enterprise through a private contract. |
CHAPTER IV INSTALLATION OF HYDROGEN FUEL SUPPLY FACILITIES
| Article 19 (Installation of Hydrogen Fuel Supply Facilities) |
| (1) | The Minister of Trade, Industry and Energy may request that the operator of any of the following facilities (hereinafter referred to as "facility operator") submit a plan to install a hydrogen fuel supply facility, as prescribed by Presidential Decree: Provided, That the foregoing shall not apply where no hydrogen fuel supply facility shall be installed in the relevant facility or area pursuant to statutes or regulations: |
| 4. | Other places determined by Ordinance of the Ministry of Trade, Industry and Energy for the necessity to install hydrogen fuel supply facilities in order to facilitate the implementation of the hydrogen economy. |
| (2) | A facility operator in receipt of a request referred to in paragraph (1) shall submit an installation plan pursuant to paragraph (1) to the Minister of Trade, Industry and Energy, as prescribed by Presidential Decree. In such cases, the Minister of Trade, Industry and Energy may request a modification to the installation plan for hydrogen fuel supply facilities in consideration of the characteristics of such facilities, etc. and the implementation status of the hydrogen economy. |
| (3) | Where the facility operator fails to execute the installation plan submitted pursuant to paragraph (2), the Minister of Trade, Industry and Energy may request its execution by prescribing a period. In such cases, the facility operator in receipt of such request shall comply therewith, unless there is a compelling reason not to do so. |
| Article 20 (Submission of Hydrogen Supply and Demand Plans) |
Any person intending to operate a hydrogen production facility or hydrogen fuel supply facility shall submit a plan for hydrogen production or hydrogen supply and demand to the Minister of Trade, Industry and Energy, as prescribed by Ordinance of the Ministry of Trade, Industry and Energy, before installing the relevant facility in order to promote stable supply of and demand for hydrogen and its price stabilization. In such cases, where the submitted plan for hydrogen production or hydrogen supply and demand is deemed unsuitable for price stabilization, the Minister of Trade, Industry and Energy may request supplementation thereof.
[This Article shall be effective until December 31, 2029 pursuant to Article 2 of the Addenda of Act No. 16942 (Feb. 4, 2020)]
| Article 21 (Installation of Fuel Cells) |
| (1) | The Minister of Trade, Industry and Energy may request that any of the following institutions submit a fuel cells installation plan, as prescribed by Presidential Decree: |
| 1. | The State or local governments; |
| 4. | Other institutions prescribed by Ordinance of the Ministry of Trade, Industry and Energy, which require the installation of fuel cells in order to facilitate the implementation of the hydrogen economy. |
| (2) | Any institution in receipt of a request referred to in paragraph (1) shall submit a fuel cells installation plan to the Minister of Trade, Industry and Energy, as prescribed by Presidential Decree. In such cases, the Minister of Trade, Industry and Energy may request a modification to the fuel cells installation plan if it is deemed appropriate to increase the fuel cells power generation ratio in consideration of the fuel cells installation environment of an institution that has submitted the fuel cells installation plan; upon receipt of such request for modification, the relevant institution shall comply therewith, unless there is a compelling reason not to do so. |
| Article 22 (Designation of Hydrogen-Specialized Complex) |
| (1) | The Minister of Trade, Industry and Energy may designate a hydrogen-specialized complex and provide necessary support, such as providing funds and facilities, in order to promote integration by attracting hydrogen business entities and their supporting facilities and to support the development and distribution of hydrogen electric vehicles, fuel cells, etc. |
| (2) | Any person intending to be designated as a hydrogen-specialized complex shall apply for designation to the Minister of Trade, Industry and Energy, as prescribed by Presidential Decree. |
| (3) | Where the Minister of Trade, Industry and Energy designates a hydrogen-specialized complex pursuant to paragraph (1), he or she may attach necessary conditions to facilitate the implementation of the hydrogen economy. In such cases, such conditions shall be limited to the minimum necessary to promote public interest, and no undue obligations shall be imposed. |
| (4) | Necessary matters concerning the qualifications for applying for designation of a hydrogen-specialized complex, the requirements and procedures for designation of a hydrogen-specialized complex, and other relevant details shall be determined by Presidential Decree. |
| Article 23 (Revocation of Designation of Hydrogen-Specialized Complex) |
The Minister of Trade, Industry and Energy may revoke the designation of a hydrogen-specialized complex, as prescribed by Presidential Decree, in any of the following cases:
| 1. | When it uses funds, facilities, etc. supported pursuant to Article 22 (1) for any purpose other than their intended purposes; |
| 2. | When it fails to implement the conditions for designation prescribed in Article 22 (3); |
| 3. | When it fails to meet the requirements for designation prescribed in Article 22 (4). |
| Article 24 (Execution of Pilot Projects) |
| (1) | The Minister of Trade, Industry and Energy and the heads of relevant central administrative agencies may conduct pilot projects in limited areas for a certain period of time, if deemed necessary for any of the following purposes: |
| 1. | Fostering and developing the hydrogen industry; |
| 2. | Promoting the distribution of hydrogen business-related services; |
| 3. | Other projects prescribed by Presidential Decree as necessary for the implementation of hydrogen economy. |
| (2) | The Minister of Trade, Industry and Energy and the heads of relevant central administrative agencies may provide necessary support to those who participate in a pilot project referred to in paragraph (1). |
| (3) | Necessary matters concerning the implementation of and support for pilot projects pursuant to paragraphs (1) and (2) shall be prescribed by Presidential Decree. |
| Article 25 (Establishment of Natural Gas Rate System for Fuel Cells) |
| (1) | The Minister of Trade, Industry and Energy shall endeavor to ensure the price stability of natural gas used for fuel cells in order to implement the hydrogen economy by promoting the development and distribution of fuel cells. |
| (2) | In order to promote the development and distribution of fuel cells, the Minister of Trade, Industry and Energy may require gas wholesale dealers referred to in the Urban Gas Business Act to separately set charges for natural gas supplied to fuel cells power generation business entities in the supply regulations referred to in Article 20 of the same Act. |
CHAPTER V LAYING FOUNDATION FOR HYDROGEN ECONOMY IMPLEMENTATION
| Article 26 (Nurturing Professional Personnel) |
| (1) | The Government may establish and implement each of the following policies in order to nurture professional technical personnel related to the hydrogen industry: |
| 1. | Establishing a system for nurturing technical personnel required in establishing the foundation for the hydrogen economy; |
| 2. | Nurturing excellent personnel by promoting industry-university cooperation; |
| 3. | Nurturing technical personnel in promising fields for establishing the foundation for the hydrogen economy; |
| 4. | Re-educating on-site technical personnel on establishing the foundation for the hydrogen economy foundation; |
| 5. | Other matters prescribed by Ordinance of the Ministry of Trade, Industry and Energy to nurture personnel necessary for establishing the foundation for the hydrogen economy. |
| (2) | The Government may support any person performing any project prescribed in the subparagraphs of paragraph (1) by fully or partially subsidizing the expenses necessary to implement the relevant project within the budgetary limit. |
| Article 27 (Standardization of Hydrogen-Related Products) |
| (1) | The Minister of Trade, Industry and Energy may promote any of the following standardization projects to improve the quality of technologies, products and services related to the hydrogen industry and ensure the compatibility thereof: |
| 1. | Developing and distributing the standards for hydrogen-related products, technologies and services; |
| 2. | Investigating, researching and developing the domestic and foreign standards for hydrogen-related products, technologies and services; |
| 3. | Developing, distributing and disseminating conformity assessment technology related to the standardization of hydrogen-related products, technologies and services; |
| 4. | International cooperation on the standardization of hydrogen-related products, technologies and services; |
| 5. | Other projects necessary for the standardization of hydrogen-related products, technologies and services. |
| (2) | The Minister of Trade, Industry and Energy may support any person performing any project prescribed in the subparagraphs of paragraph (1) by fully or partially subsidizing the expenses necessary to implement the relevant project within the budgetary limit. |
| Article 28 (Compilation of Statistics on Hydrogen Industry) |
| (1) | The Minister of Trade, Industry and Energy may compile and manage statistics on the hydrogen industry to foster the hydrogen industry. |
| (2) | The Minister of Trade, Industry and Energy may have a related specialized institution perform the task of compiling and managing statistics referred to in paragraph (1), as prescribed by Ordinance of the Ministry of Trade, Industry and Energy. In such cases, the expenses incurred in performing the relevant task may be fully or partially subsidized within the budgetary limit. |
| (3) | Necessary matters concerning the compilation and management of statistics pursuant to paragraph (1) shall be determined by Ordinance of the Ministry of Trade, Industry and Energy. |
| Article 29 (International Cooperation and Support for Overseas Market Development) |
| (1) | The Minister of Trade, Industry and Energy may perform any of the following projects to promote international cooperation related to the hydrogen industry and facilitate the development of new overseas markets: |
| 1. | International exchange of technology and personnel related to the hydrogen industry, international standardization, and international joint research and development; |
| 2. | Holding international hydrogen industry exhibitions in Korea; |
| 3. | Overseas marketing, public relations activities, and foreign investment attraction; |
| 4. | Provision of information, consultation, and cooperation on overseas expansion; |
| 5. | Other projects prescribed by Ordinance of the Ministry of Trade, Industry and Energy to support overseas expansion and international exchange. |
| (2) | The Minister of Trade, Industry and Energy may support any person performing any project prescribed in the subparagraphs of paragraph (1) by fully or partially subsidizing the expenses necessary to implement the relevant project within the budgetary limit. |
| Article 30 (Promotion of Hydrogen Industry-Related Technology Development) |
| (1) | The Minister of Trade, Industry and Energy may promote each of the following matters to facilitate the development of technology related to the hydrogen industry: |
| 1. | Research on the trend of and demand for technology related to the hydrogen industry; |
| 2. | Research and development of technology related to the hydrogen industry; |
| 3. | Securing the rights to technology that has been developed, and commercializing such technology; |
| 4. | Cooperation and information exchange on technology related to the hydrogen industry; |
| 5. | Other matters prescribed by Ordinance of the Ministry of Trade, Industry and Energy as necessary for the research and development of technology related to the hydrogen industry. |
| (2) | In order to promote the development of technology related to the hydrogen industry pursuant to paragraph (1), the Minister of Trade, Industry and Energy may support any person researching, developing or commercializing technology related to the hydrogen industry by fully or partially subsidizing necessary expenses within the budgetary limit. |
| Article 31 (Development of Social Consensus) |
The Minister of Trade, Industry and Energy may establish and implement each of the following policies to develop a social consensus on the hydrogen economy by promoting the public’s proper awareness and understanding of the hydrogen industry:
| 1. | Enhancing social awareness, understanding and consensus on the safe use of hydrogen; |
| 2. | Education and publicity campaigns for establishing and developing a hydrogen-friendly culture; |
| 3. | Developing and distributing educational contents related to hydrogen; |
| 4. | Fostering and supporting institutions or organizations that perform projects or activities for establishing and developing a hydrogen-friendly culture; |
| 5. | Creating a system and foundation for enjoying a hydrogen-friendly culture and promoting exchanges; |
| 6. | Other matters prescribed by Presidential Decree to develop a social consensus on the hydrogen industry. |
| Article 32 (Establishment and Operation of Comprehensive Information Management System) |
| (1) | The Minister of Trade, Industry and Energy may establish and operate a comprehensive information management system on the hydrogen industry and businesses in order to provide hydrogen business entities with necessary information, including technology, personnel and industrial trends, and to systematically manage information on the current status of the hydrogen industry. |
| (2) | The Minister of Trade, Industry and Energy may have a related specialized institution perform duties for establishing and operating the comprehensive information management system referred to in paragraph (1), as prescribed by Ordinance of the Ministry of Trade, Industry and Energy. In such cases, the expenses incurred in performing the relevant duties may be fully or partially subsidized within the budgetary limit. |
| (3) | Other necessary matters concerning the scope of establishment and operation of the comprehensive information management system shall be prescribed by Ordinance of the Ministry of Trade, Industry and Energy. |
| Article 33 (Designation of Institution in Exclusively for Hydrogen Industry Promotion) |
| (1) | The Minister of Trade, Industry and Energy may designate an institution, organization, or corporation related to the hydrogen industry as an institution in exclusive charge of hydrogen industry promotion (hereinafter referred to as "institution exclusively for promotion"), as prescribed by Presidential Decree, in order to efficiently and systematically perform projects necessary to implement the hydrogen economy and support projects for strengthening the competitiveness of the hydrogen industry. |
| (2) | An institution exclusively for promotion shall perform each of the following projects: |
| 1. | Policy support, including performance analysis, investigation, etc. related to the implementation of the hydrogen economy; |
| 2. | Research and development, standardization, nurturing of professional personnel, and establishment of the foundation for the hydrogen industry; |
| 3. | Market development for hydrogen-specialized enterprises, provision of information, advising on management, technology, etc.; |
| 4. | Industry-university-research cooperation on technology, publicity campaigns, and international cooperation projects related to any project prescribed in subparagraphs 1 through 3; |
| 5. | Other projects prescribed by Ordinance of the Ministry of Trade, Industry and Energy to achieve the purpose of the institution exclusively for promotion. |
| (3) | An institution exclusively for promotion may conduct a profit-making business, as prescribed by Presidential Decree, in order to finance the expenses necessary to achieve its purpose prescribed in paragraph (1). |
| (4) | The Minister of Trade, Industry and Energy may contribute or subsidize expenses necessary for the operation of an institution exclusively for promotion and its implementation of any project referred to in the subparagraphs of paragraph (2) within the budgetary limit. |
| (5) | Where an institution exclusively for promotion designated under paragraph (1) falls under any of the following subparagraphs, the Minister of Trade, Industry and Energy may revoke its designation: Provided, That in cases falling under subparagraph 1, its designation shall be revoked: |
| 1. | Where it is designated by fraud or other improper means; |
| 2. | Where it fails to meet the requirements for designation prescribed in paragraph (6). |
| (6) | Other necessary matters concerning the standards and procedures for designating, or revoking the designation of, an institution exclusively for promotion, and the operation thereof shall be prescribed by Presidential Decree. |
| Article 34 (Designation of Institution in Exclusively for Hydrogen Distribution) |
| (1) | The Minister of Trade, Industry and Energy may designate an institution, organization or corporation related to hydrogen business as an institution in exclusive charge of hydrogen distribution (hereinafter referred to as “institution exclusively for distribution”), as prescribed by Presidential Decree, in order to perform each of the following projects: |
| 1. | Projects related to hydrogen distribution and transaction; |
| 2. | Projects related to maintaining an appropriate hydrogen price; |
| 3. | Projects related to supply and demand management of hydrogen; |
| 4. | Monitoring, inspection, guidance, and publicity campaigns for establishing fair distribution order of hydrogen; |
| 5. | Collection and provision of information on the operation of facilities, such as hydrogen production facilities and refueling stations; |
| 6. | Other projects prescribed by Ordinance of the Ministry of Trade, Industry and Energy in relation to managing the supply of, demand for and distribution of hydrogen. |
| (2) | The Minister of Trade, Industry and Energy may contribute or subsidize expenses necessary for the operation of an institution exclusively for distribution and its implementation of any project referred to in the subparagraphs of paragraph (1) within the budgetary limit. |
| (3) | Where an institution exclusively for distribution designated under paragraph (1) falls under any of the following subparagraphs, the Minister of Trade, Industry and Energy may revoke its designation: Provided, That in cases falling under subparagraph 1, its designation shall be revoked: |
| 1. | Where it is designated by fraud or other improper means; |
| 2. | Where it fails to meet the requirements for designation prescribed in paragraph (4). |
| (4) | Other necessary matters concerning the standards and procedures for designating, or revoking the designation of, an institution exclusively for distribution, and the operation thereof shall be prescribed by Presidential Decree. |
| Article 35 (Designation of Institution in Exclusively for Hydrogen Safety) |
| (1) | The Minister of Trade, Industry and Energy may designate an institution, organization or corporation related to safety as an institution in exclusive charge of hydrogen safety (hereinafter referred to as “institution exclusively for safety”), as prescribed by Presidential Decree, in order to perform each of the following projects: |
| 1. | Investigation of standards, research, and technology development on the safety of hydrogen equipment and hydrogen fuel-using facilities; |
| 2. | Education and publicity campaigns on the safety of hydrogen equipment and hydrogen fuel-using facilities; |
| 3. | International cooperation on the safety of hydrogen equipment and hydrogen fuel-using facilities; |
| 4. | Technology development and technical support for preventing accidents involving hydrogen equipment or hydrogen fuel-using facilities; |
| 5. | Other projects prescribed by Ordinance of the Ministry of Trade, Industry and Energy to achieve the purpose of an institution exclusively for safety. |
| (2) | An institution exclusively for safety may conduct a profit-making business, as prescribed by Presidential Decree, in order to finance the expenses necessary to achieve its purpose prescribed in paragraph (1). |
| (3) | The Minister of Trade, Industry and Energy may contribute or subsidize expenses necessary for the operation of an institution exclusively for safety and its implementation of any project referred to in the subparagraphs of paragraph (1) within the budgetary limit. |
| (4) | Where an institution exclusively for safety designated under paragraph (1) falls under any of the following subparagraphs, the Minister of Trade, Industry and Energy may revoke its designation: Provided, That in cases falling under subparagraph 1, its designation shall be revoked: |
| 1. | Where it is designated by fraud or other improper means; |
| 2. | Where it fails to meet the requirements for designation prescribed in paragraph (5). |
| (5) | Other necessary matters concerning the standards and procedures for designating, or revoking the designation of, an institution exclusively for safety, and the operation thereof shall be prescribed by Presidential Decree. |
CHAPTER VI SAFETY MANAGEMENT
| Article 36 (Permission for Hydrogen Equipment Manufacturing Business) |
| (1) | Any person who intends to manufacture hydrogen equipment shall obtain permission for each place of business from a Special Self-Governing City Mayor, a Special Self-Governing Province Governor, or the head of a Si/Gun/Gu (the head of a Gu refers to the head of an autonomous Gu; hereinafter referred to as “head of a Si/Gun/ Gu”), as prescribed by Ordinance of the Ministry of Trade, Industry and Energy, and the same shall apply when intending to modify important matters prescribed by Ordinance of the Ministry of Trade, Industry and Energy: Provided, That when intending to modify minor matters prescribed by Ordinance of the Ministry of Trade, Industry and Energy, a report thereon shall be made to the head of a Si/Gun/Gu. |
| (2) | Upon receipt of a request for permission or permission for modifications pursuant to paragraph (1), the head of a Si/Gun/Gu shall grant permission, except in cases falling under any of the following subparagraphs. In such cases, detailed matters concerning the requirements prescribed in subparagraphs 1 and 2 shall be determined by the ordinance of the relevant local government: |
| 1. | Where commencing or modifying a business is deemed to cause obstacles in protecting the people’s lives, preventing damage to property, or preventing accidents; |
| 2. | Where financial resources and technical skills necessary to properly conduct a business are lacking; |
| 4. | In other cases of violating restrictions imposed under other statutes or regulations. |
| (3) | A person granted permission for a hydrogen equipment manufacturing business pursuant to paragraph (1) (hereinafter referred to as "hydrogen equipment manufacturer") shall comply with the facility standards and technical standards prescribed by Ordinance of the Ministry of Trade, Industry and Energy. |
| (4) | Except as provided in paragraphs (1) through (3), necessary matters concerning permission shall be prescribed by Presidential Decree. |
[Enforcement Date: Feb. 5, 2022] Article 36
| Article 37 (Grounds for Disqualification) |
No person falling under any of the following shall be granted permission prescribed in Article 36: | 1. | A person under adult guardianship; |
| 2. | A person declared bankrupt and not yet reinstated; |
| 3. | A person for whom two years have not elapsed since his or her imprisonment without labor or greater punishment declared by a court for violating Article 172, 172-2, 173, 173-2, 174 (excluding attempted crimes under Articles 164 (1), 165, and 166 (1)), or 175 (excluding persons who prepare for or plot any crime prescribed in Article 164 (1), 165, or 166 (1) with the intention of the consummation thereof) of the Criminal Act, the High-Pressure Gas Safety Control Act, the Urban Gas Business Act, the Safety Control and Business of Liquefied Petroleum Gas Act, or this Act was completely executed (including cases where execution is deemed to have been completed) or exempted; |
| 4. | A person who is under suspension of the execution of his or her imprisonment without labor or greater punishment declared by a court for committing a crime prescribed in subparagraph 3; |
| 5. | A person for whom two years have not elapsed since permission was revoked pursuant to Article 49 (excluding cases where permission was revoked for falling under any ground for disqualification prescribed in subparagraph 1 or 2); |
| 6. | A corporation of which representative falls under any of subparagraphs 1 through 5. |
[Enforcement Date: Feb. 5, 2022] Article 37
| Article 38 (Manufacturing Registration of Foreign Hydrogen Equipment) |
| (1) | Any person who intends to manufacture hydrogen equipment in a foreign country for export to Korea shall be registered with the Minister of Trade, Industry and Energy, as prescribed by Ordinance of the Ministry of Trade, Industry and Energy, and the same shall also apply when intending to modify any important matter prescribed by Ordinance of the Ministry of Trade, Industry and Energy: Provided, That where such person intends to modify other matters prescribed by Ordinance of the Ministry of Trade, Industry and Energy, he or she shall report them to the Minister of Trade, Industry and Energy. |
| (2) | A person registered pursuant to paragraph (1) (hereinafter referred to as "foreign hydrogen equipment manufacturer") shall file for re-registration regularly each period prescribed by Ordinance of the Ministry of Trade, Industry and Energy. |
| (3) | The standards for and scope of registration, such as technical capabilities of a person intending to be registered under paragraph (1) or re-registered under paragraph (2) shall be prescribed by Presidential Decree. |
| (4) | Except as provided in paragraphs (1) through (3), the facility standards and technical standards for the manufacture of hydrogen equipment, and other matters necessary for registration shall be determined by Ordinance of the Ministry of Trade, Industry and Energy. |
[Enforcement Date: Feb. 5, 2022] Article 38
| Article 39 (Report on Commencement of Business) |
In any of the following cases, a hydrogen equipment manufacturer shall report thereon to the head of a Si/Gun/Gu, as prescribed by Ordinance of the Ministry of Trade, Industry and Energy:
| 1. | Where he or she intends to start or close a hydrogen equipment manufacturing business; |
| 2. | Where he or she intends to suspend his or her hydrogen equipment manufacturing business for a certain period of time or resume the business after suspension. |
[Enforcement Date: Feb. 5, 2022] Article 39
| Article 40 (Succession to Status of Business Entity) |
| (1) | Where a hydrogen equipment manufacturer transfers his or her business or dies, or a hydrogen equipment manufacturer that is a corporation is merged, the relevant transferee, successor, or corporation which continues to exist following merger, or a corporation which is established by merger shall succeed to the status of such hydrogen equipment manufacturer. |
| (3) | A person who succeeds to the status of a hydrogen equipment manufacturer pursuant to paragraph (1) or (2) shall report such fact to the head of a Si/Gun/Gu, as prescribed by Ordinance of the Ministry of Trade, Industry and Energy. |
| (4) | Article 37 shall apply mutatis mutandis to the grounds for disqualification of a person who succeeds to status pursuant to paragraph (1) or (2). |
| (5) | Where any person succeeds to the status of a hydrogen equipment manufacturer pursuant to paragraph (1) or (2), the effect of a disposition of suspension of business or restriction imposed on the former hydrogen equipment manufacturer under Article 49 shall be succeed by the person succeeding to its status, and if disposition procedures are underway, such procedures may continue with the person succeeding to the status: Provided, That the foregoing shall not apply where the successor to the status (excluding a person who succeeds such status by inheritance) verifies that he or she was unaware of such disposition or violation at the time of the succession. |
[Enforcement Date: Feb. 5, 2022] Article 40
| Article 41 (Safety Management Regulations) |
| (1) | A hydrogen equipment manufacturer shall establish safety control regulations prescribing matters determined by Ordinance of the Ministry of Trade, Industry and Energy regarding maintaining the safety of hydrogen equipment, including manufacturing processes and self-inspection methods, and submit such safety control regulations to the head of a Si/Gun/Gu before starting a business. In such cases, opinions of the Korea Gas Safety Corporation shall be attached thereto. |
| (2) | The head of a Si/Gun/Gu may order modifications to the safety management regulations referred to in paragraph (1), if deemed necessary to ensure safety. |
| (3) | The person who has submitted the safety management regulations pursuant to paragraph (1) and his or her employees shall comply with the safety management regulations, and prepare and keep records on safety management performance. |
| (4) | The head of a Si/Gun/Gu may inspect as to whether hydrogen equipment manufacturers and their employees comply with the safety management regulations referred to in paragraph (1) and evaluate their compliance. |
| (5) | The guidelines on preparing safety management regulations referred to in paragraph (1) and the methods of expressing opinions of the Korea Gas Safety Corporation shall be determined by Ordinance of the Ministry of Trade, Industry and Energy. |
[Enforcement Date: Feb. 5, 2022] Article 41
| Article 42 (Safety Personnel) |
| (1) | A hydrogen equipment manufacturer shall appoint safety personnel before starting a business, as prescribed by Ordinance of the Ministry of Trade, Industry and Energy, in order to perform duties related to ensuring the safety of hydrogen equipment, etc. and preventing harm; the appointment of safety personnel shall be reported to the head of a Si/Gun/Gu. |
| (2) | Where any safety personnel appointed pursuant to paragraph (1) are dismissed or retire, such fact shall be reported to the head of a Si/Gun/Gu without delay, and new safety personnel shall be appointed within 30 days from the date of dismissal or retirement: Provided, That where the appointment cannot be made within 30 days, the period may be extended with an approval of the head of the Si/Gun/Gu. |
| (3) | A person who has appointed safety personnel under paragraph (1) shall designate a proxy to temporarily act on behalf of the safety personnel, as prescribed by Presidential Decree, in any of the following cases: |
| 1. | Where the safety personnel are temporarily unable to perform their duties due to travel, illness or other reasons; |
| 2. | Where no other safety personnel are appointed at the same time as the safety personnel's dismissal or retirement. |
| (4) | Safety personnel shall faithfully perform their duties, and the relevant hydrogen equipment manufacturer and his or her employees shall respect the safety personnel's opinions on safety and follow their recommendations. |
| (5) | Where safety personnel prescribed by Presidential Decree fail to perform their duties faithfully, the head of a Si/Gun/Gu may request the hydrogen equipment manufacturer who has appointed such safety personnel to dismiss them. |
| (6) | The types, number, and scope of duties of, and qualifications for, safety personnel; the period of a proxy acting for safety personnel; and other necessary matters shall be prescribed by Presidential Decree. |
[Enforcement Date: Feb. 5, 2022] Article 42
| Article 43 (Completion Inspection of Hydrogen Equipment Manufacturing Facilities) |
| (1) | Where a hydrogen equipment manufacturer has completed works to install or remodel a hydrogen equipment manufacturing facility, he or she shall undergo and pass the completion inspection conducted by the head of a Si/Gun/Gu before using the facility. |
| (2) | The standards for completion inspections referred to in paragraph (1) and other necessary matters shall be determined by Ordinance of the Ministry of Trade, Industry and Energy. |
[Enforcement Date: Feb. 5, 2022] Article 43
| Article 44 (Importation and Inspection of Hydrogen Equipment) |
| (1) | Any person who manufactures or imports hydrogen equipment (including foreign hydrogen equipment manufacturers) shall undergo an inspection conducted the Minister of Trade, Industry and Energy (limited to foreign hydrogen equipment manufacturers) or the head of a Si/Gun/Gu before selling or using the hydrogen equipment: Provided, That in cases of hydrogen equipment prescribed by Presidential Decree, such inspections may be fully or partially omitted. |
| (2) | The Minister of Trade, Industry and Energy or the head of a Si/Gun/Gu shall stamp or mark necessary matters on hydrogen equipment that have passed the inspection referred to in paragraph (1), as prescribed by Ordinance of the Ministry of Trade, Industry and Energy. |
| (3) | No hydrogen equipment subject to an inspection pursuant to paragraph (1) that have not been inspected shall not be transferred, lent, used, or displayed for sale. |
| (4) | The standards for and period of inspections referred to in paragraph (1) and other matters necessary for inspections shall be determined by Ordinance of the Ministry of Trade, Industry and Energy. |
[Enforcement Date: Feb. 5, 2022] Article 44
| Article 45 (Ensuring Safety of Hydrogen Equipment) |
| (1) | Where it is deemed necessary to ensure the safety of hydrogen equipment, the Minister of Trade, Industry and Energy or the head of a Si/Gun/Gu may collect and inspect hydrogen equipment in distribution; if any significant defect is found as a result of the inspection, he or she may order a person who manufactures or imports the relevant hydrogen equipment (including foreign hydrogen equipment manufacturers) to call back, exchange, or refund them, and publicize such fact. |
| (2) | The methods for collecting hydrogen equipment, the procedures for call-back, exchange, and refund of hydrogen equipment, and the methods for publication pursuant to paragraph (1) shall be determined by Ordinance of the Ministry of Trade, Industry and Energy. |
| (3) | A person who manufactures or imports hydrogen equipment (including foreign hydrogen equipment manufacturers) shall indicate on the hydrogen equipment the manufacturer, date of manufacture, purpose, method of use, warranty period, etc. thereof, as prescribed by Ordinance of the Ministry of Trade, Industry and Energy. |
| (4) | No one shall alter hydrogen equipment (referring to changes in structure or performance), and users of hydrogen equipment shall use hydrogen equipment according to the indication prescribed in paragraph (3). |
[Enforcement Date: Feb. 5, 2022] Article 45
| Article 46 (Safety Education) |
| (1) | Any person engaged in duties related to the safety management of a hydrogen equipment manufacturing business shall receive education conducted by the head of a Si/Gun/Gu. |
| (2) | A hydrogen equipment manufacturer shall have persons required to receive the safety education referred to in paragraph (1), among his or her employees, undergo the education. |
| (3) | The scope of persons subject to the safety education referred to in paragraphs (1) and (2), the period of education, curriculums, and other matters necessary for the education shall be determined by Ordinance of the Ministry of Trade, Industry and Energy. |
[Enforcement Date: Feb. 5, 2022] Article 46
| Article 47 (Inspection of Hydrogen Fuel-Using Facilities) |
| (1) | A person who intends to install and use hydrogen fuel-using facilities (hereinafter referred to as "facility user") shall have hydrogen fuel-using facilities that meet the facility standards and technical standards prescribed by Ordinance of the Ministry of Trade, Industry and Energy. |
| (2) | Where a facility user completes the installation work of a hydrogen fuel-using facility or any work for remodeling prescribed by Ordinance of the Ministry of Trade, Industry and Energy, the facility user shall undergo and pass a completion inspection conducted by the head of a Si/Gun/Gu before using the facility. |
| (3) | A facility user shall undergo periodic inspections for hydrogen fuel-using facilities at regular intervals prescribed by Presidential Decree. |
| (4) | Necessary matters concerning the standards, targets, procedures and methods of completion inspections and periodic inspections pursuant to paragraphs (2) and (3) shall be determined by Ordinance of the Ministry of Trade, Industry and Energy. |
[Enforcement Date: Feb. 5, 2022] Article 47
| Article 48 (Detailed Standards) |
| (1) | The Gas Technical Standards Committee established under Article 33-2 of the High-Pressure Gas Safety Control Act may establish standards prescribing in detail the specifications, specific dimensions, specific test methods, etc. within the range of any of the following standards (hereinafter referred to as "detailed standards") that meet the relevant standard: |
| 1. | The facility standards and technical standards for manufacturing hydrogen equipment referred to in Article 36 (3); |
| 2. | The facility standards and technical standards for manufacturing hydrogen equipment referred to in Article 38 (4); |
| 3. | The standards for completion inspections referred to in Article 43 (2); |
| 4. | The standards for hydrogen equipment inspections referred to in Article 44 (4); |
| 5. | The facility standards and technical standards for hydrogen fuel-using facilities referred to in Article 47 (1); |
| 6. | The standards for completion inspections and periodic inspections referred to in Article 47 (4). |
| (2) | Detailed standards shall be approved by the Minister of Trade, Industry and Energy, as prescribed by Presidential Decree, after deliberation and resolution by the Gas Technical Standards Committee referred to in paragraph (1). |
| (3) | Where approval is granted under paragraph (2), the Gas Technical Standards Committee referred to in paragraph (1) shall make public the contents of the detailed standards without delay by posting them on its website, etc.; the Minister of Trade, Industry and Energy shall publicly announce the fact of granting approval in the Official Gazette. |
| (4) | Where detailed standards are met, the standards prescribed in any subparagraph of paragraph (1) corresponding to such detailed standards shall be deemed met. |
| (5) | Except as provided in paragraphs (1) through (4), the procedures for establishing and amending detailed standards shall be determined by Ordinance of the Ministry of Trade, Industry and Energy. |
[Enforcement Date: Feb. 5, 2022] Article 48
| Article 49 (Revocation of Permission or Registration) |
| (1) | Where a hydrogen equipment manufacturer falls under any of the following subparagraphs, the head of a Si/Gun/Gu may revoke his or her permission, or order the relevant business suspended or restricted for a fixed period of up to six months: Provided, That in cases of falling under subparagraph 1, 2 or 7, the permission shall be revoked: |
| 1. | Where it has obtained permission referred to in Article 36 by fraud or other improper means; |
| 2. | Where it fails to commence its business within one year from the date of obtaining the permission, or to conduct its business for at least one year without good cause; |
| 3. | Where it inflicts significant harm to the public or users by intention or negligence; |
| 4. | Where it fails to obtain permission for modifications, in violation of the main clause of Article 36 (1); |
| 5. | Where it fails to meet the standards for permission referred to in Article 36 (2); |
| 6. | Where it fails to comply with the facility standards or technical standards, in violation of Article 36 (3); |
| 7. | Where it falls under any subparagraph of Article 37; |
| 8. | Where it fails to appoint safety personnel or to report on the appointment of safety personnel, in violation of Article 42 (1); |
| 9. | Where it fails to report on the dismissal or retirement of safety personnel, in violation of Article 42 (2); |
| 10. | Where it uses a hydrogen equipment manufacturing facility without passing a completion inspection, in violation of Article 43 (1); |
| 11. | Where it fails to undergo an inspection, in violation of Article 44 (1); |
| 12. | Where it fails to comply with an order for call-back or publication, in violation of Article 45 (1); |
| 13. | Where it fails to indicate matters to be marked on hydrogen equipment manufactured, in violation of Article 45 (3). |
| (2) | Where a hydrogen equipment manufacturer falls under any of the following subparagraphs, the head of a Si/Gun/Gu shall not apply paragraph (1) for six months from the date the successor’s succession to the status commences or the date his or her corporation falls under subparagraph 6 of Article 37: |
| 1. | Where a successor to the status of a hydrogen equipment manufacturer falls under any of subparagraphs 1 through 5 of Article 37; |
| 2. | Where a corporation falls under subparagraph 6 of Article 37. |
| (3) | Where a foreign hydrogen equipment manufacturer or a person re-registered pursuant to Article 38 (2) falls under any of the following subparagraphs, the Minister of Trade, Industry and Energy may revoke his or her registration, or restrict the importation of hydrogen equipment for a fixed period of up to six months: Provided, That in cases of falling under subparagraph 1, the registration shall be revoked: |
| 1. | Where he or she has been registered pursuant to Article 38 (1) by fraud or other improper means; |
| 2. | Where he or she fails to meet the standards for registration referred to in Article 38 (3); |
| 3. | Where he or she sells or uses hydrogen equipment without undergoing inspection, in violation of Article 44 (1); |
| 4. | Where he or she fails to comply with an order for call-back, exchange, refund, or publication referred to in Article 45 (1); |
| 5. | Where it fails to indicate matters to be marked on hydrogen equipment manufactured, in violation of Article 45 (3). |
| (4) | The standards for dispositions for each type of violations pursuant to paragraph (1) shall be determined by Ordinance of the Ministry of Trade, Industry and Energy, in consideration of the reasons for and severity of violations. |
[Enforcement Date: Feb. 5, 2022] Article 49
CHAPTER VII SUPPLEMENTARY PROVISIONS
| Article 50 (Report, Disclosure, and Indication of Hydrogen Selling Price) |
| (1) | A hydrogen business entity selling hydrogen using a facility that supplies hydrogen to vehicles equipped with fuel cells (hereinafter referred to as "hydrogen seller”), among the hydrogen fuel supply facilities, shall report the selling price to the Minister of Trade, Industry and Energy, as prescribed by Presidential Decree. |
| (3) | A hydrogen seller shall indicate the selling price of hydrogen by installing a price display. |
| (4) | The procedures and methods for reporting, disclosing and indicating hydrogen selling prices pursuant to paragraphs (1) through (3) shall be prescribed by Presidential Decree. |
| Article 51 (Subscription to Insurance) |
| (1) | Hydrogen equipment manufacturers and hydrogen equipment importers shall subscribe to insurance in order to compensate for damage to the life, body, or property of others due to accidents. |
| (2) | The types of insurance, those subject to subscription, procedures for subscription, and other necessary matters under paragraph (1) shall be prescribed by Presidential Decree. |
| (3) | The Minister of Trade, Industry and Energy may, in consultation with the Financial Services Commission, have insurers transfer part of the proceeds from the insurance referred to in paragraph (1) to persons conducting hydrogen business-related accident prevention projects every three years within three months from the end of the third business year; matters necessary therefor shall be prescribed by Presidential Decree. |
[Enforcement Date: Feb. 5, 2022] Article 51
| Article 52 (Prohibited Acts) |
No hydrogen business entity shall engage in any of the following acts. In such cases, specific details regarding the types of business facilities referred to in subparagraph 3 and the installation or remodeling thereof shall be prescribed by Presidential Decree:
| 1. | The act of selling hydrogen in less than the prescribed quantity, beyond users’ tolerance prescribed by Presidential Decree; |
| 2. | The act of selling hydrogen by unjustly increasing its volume by artificially applying heat, etc.; |
| 3. | The act of installing or remodeling business facilities for the purpose of selling hydrogen in less than the prescribed quantity under subparagraph 1 or in unjustly increased volume under subparagraph 2, or using such installed or remodeled business facilities by acquiring or hiring them; |
| 4. | The act of suspending or reducing the production of hydrogen, or limiting the shipment or sale of hydrogen without good cause; |
| 5. | Other acts prescribed by Presidential Decree that undermine sound distribution order of hydrogen. |
| Article 53 (Data Submission and Inspection) |
| (1) | Where it is necessary for supervision, the Minister of Trade, Industry and Energy or the head of a Si/Gun/Gu may require hydrogen-specialized enterprises, hydrogen-specialized investment companies, hydrogen equipment manufacturers, foreign hydrogen equipment manufacturers, or hydrogen-related institutions, corporations, or organizations (hereafter in this Article referred to as "hydrogen-specialized enterprises, etc.") to report on their businesses or submit data. |
| (2) | The Minister of Trade, Industry and Energy or the head of a Si/Gun/Gu may require a public official under his or her control to visit offices, places of business, hydrogen equipment manufacturing facilities, or other places of hydrogen-specialized enterprises, etc. to inspect relevant documents or ask questions to interested persons, or take other necessary actions. |
| (3) | A public official making a visit for inspection under paragraph (2) shall carry an identification indicating his or her authority and present it to interested persons. |
| (1) | The Minister of Trade, Industry and Energy shall hold a hearing when intending to make any of the following dispositions: |
| 1. | Revocation of verification as a hydrogen-specialized enterprise pursuant to Article 12; |
| 2. | Revocation of the designation of a hydrogen-specialized complex pursuant to Article 23; |
| 3. | Revocation of the designation of an institution exclusively for promotion pursuant to Article 33 (5); |
| 4. | Revocation of the designation of an institution exclusively for distribution pursuant to Article 34 (3); |
| 5. | Revocation of the designation of an institution exclusively for safety pursuant to Article 35 (4); |
| 6. | Revocation of registration pursuant to Article 49 (3). |
| (2) | The head of a Si/Gun/Gu shall hold a hearing when he or she intends to revoke permission pursuant to Article 49 (1). |
| (1) | Any of the following persons shall pay fees, as prescribed by Ordinance of the Ministry of Trade, Industry and Energy: |
| 1. | A person who intends to obtain permission or permission for modifications under Article 36 (1); |
| 2. | A person who intends to be registered for the manufacture of foreign hydrogen equipment or for any modification thereto, or to be re-registered pursuant to Article 38 (1) and (2). |
| (2) | Any of the following persons shall pay fees or education expenses, as prescribed by the Minister of Trade, Industry and Energy: |
| 1. | A person who intends to receive opinions of the Korea Gas Safety Corporation on safety control regulations under the latter part of Article 41 (1); |
| 2. | A person who intends to undergo a completion inspection of the work of installing or remodeling a hydrogen equipment manufacturing facility under Article 43 (1); |
| 3. | A person who intends to undergo an inspection of hydrogen equipment under Article 44 (1); |
| 4. | A person who intends to receive safety education under Article 46 (1); |
| 5. | A person who intends to undergo a completion inspection of a hydrogen fuel-using facility under Article 47 (2); |
| 6. | A person who intends to undergo periodic inspections of a hydrogen fuel-using facility under Article 47 (3). |
| Article 56 (Delegation or Entrustment of Authority) |
| (1) | The Minister of Trade, Industry and Energy may delegate part of his or her authority under this Act to the Special Metropolitan City Mayor, a Metropolitan City Mayor, a Do Governor (hereinafter referred to as “Mayor/Do Governor”) or the head of a Si/Gun/Gu, as prescribed by Presidential Decree. |
| (2) | The Minister of Trade, Industry and Energy, a Mayor/Do Governor, or the head of a Si/Gun/Gu may entrust part of his or her duties under this Act to an institution exclusively for promotion, institution exclusively for distribution, institution exclusively for safety, the Korea Gas Safety Corporation, or any other related specialized agency, as prescribed by Presidential Decree. |
| Article 57 (Legal Fiction as Public Officials in Application of Penalty Provisions) |
| 1. | Any member of the Committee or working committee who is not a public official; |
| 2. | Any executive officer or employee of an institution exclusively for promotion; |
| 3. | Any executive officer or employee of an institution exclusively for distribution; |
| 4. | Any executive officer or employee of an institution exclusively for safety; |
| 5. | Any executive officer or employee of a corporation or organization engaged in the duties entrusted pursuant to Article 56. |
CHAPTER VIII PENALTY PROVISIONS
| Article 58 (Penalty Provisions) |
| (1) | Any of the following persons shall be punished by imprisonment with labor for not more than five years or by a fine not exceeding 50 million won: |
| 1. | A person who alters and sells hydrogen equipment, or alters them for the purpose of sale, in violation of Article 45 (4); |
| 2. | A person who sells hydrogen in less than the prescribed quantity, in violation of subparagraph 1 of Article 52; |
| 3. | A person who sells hydrogen in unjustly increased volume, in violation of subparagraph 2 of Article 52; |
| 4. | A person who installs or remodels business facilities for the purpose of selling hydrogen in less than the prescribed quantity or in unjustly increased volume, or who uses such installed or remodeled business facilities by acquiring or hiring them, in violation of subparagraph 3 of Article 52. |
| (2) | Any of the following persons shall be punished by imprisonment with labor for not more than three years or by a fine not exceeding 30 million won: |
| 1. | A person who suspends or reduces the production of hydrogen or limits the shipment or sale of hydrogen, in violation of subparagraph 4 of Article 52; |
| 2. | A person undermines distribution order, in violation of subparagraph 5 of Article 52. |
| Article 59 (Penalty Provisions) |
| (1) | Any person who conducts a hydrogen equipment manufacturing business without obtaining permission referred to in Article 36 (1) shall be punished by imprisonment with labor for not more than two years or by a fine not exceeding 20 million won. |
| (2) | Any of the following persons shall be punished by imprisonment with labor for not more than one year or by a fine not exceeding 10 million won: |
| 1. | A person who modifies any matter granted permission without obtaining permission for modification, in violation of the main clause of Article 36 (1); |
| 2. | A person who fails to comply with the facility standards or technical standards, in violation of Article 36 (3); |
| 3. | A hydrogen equipment manufacturer who fails to undergo completion inspection referred to in Article 43 (1); |
| 4. | A hydrogen equipment manufacturer or importer who fails to undergo inspection referred to in the main clause of Article 44 (1); |
| 5. | A person who transfers, lends, or uses hydrogen equipment that has not been inspected, or displays them for the purpose of sale, in violation of Article 44 (3); |
| (3) | Any person who fails to make an indication referred to in Article 45 (3) shall be punished by imprisonment with labor for not more than six months or by a fine not exceeding five million won. |
| Article 60 (Penalty Provisions) |
| (1) | Any of the following persons shall be punished by a fine not exceeding five million won: |
| 1. | A hydrogen equipment manufacturer who fails to appoint safety personnel, in violation of Article 42 (1); |
| 2. | A hydrogen equipment manufacturer who fails to report on the dismissal or retirement of safety personnel, in violation of Article 42 (2). |
| (2) | Any hydrogen equipment manufacturer or importer who fails to comply with an order for call-back or publication referred to in Article 45 (1) shall be punished by a fine not exceeding three million won. |
| Article 61 (Joint Penalty Provisions) |
Where the representative of a corporation or an agent or employee of, or any other person employed by, the corporation or an individual commits any violation prescribed Articles 58 through 60 of this Act in conducting the business affairs of the corporation or individual, the corporation or individual shall, in addition to punishing the violator accordingly, be punished by a fine prescribed in the relevant Article: Provided, That the foregoing shall not apply where the corporation or the individual has not been negligent in paying due attention and supervision concerning the relevant business in order to prevent such violation.
| Article 62 (Administrative Fines) |
| (1) | Any of the following persons shall be subject to an administrative fine not exceeding 10 million won: |
| 1. | A person who uses the name “hydrogen-specialized investment company” or similar, in violation of Article 13 (3); |
| 2. | A person who fails to submit safety control regulations, in violation of Article 41 (1); |
| 3. | A person who uses a hydrogen fuel-using facility without passing completion inspection referred to in Article 47 (2); |
| 4. | A facility user who fails to undergo periodic inspections referred to in Article 47 (3); |
| 5. | A person who fails to report the selling price of hydrogen or makes a false report, in violation of Article 50 (1); |
| 6. | A person who fails to indicate the selling price of hydrogen prescribed in Article 50 (3) and (4), falsely indicates the selling price, or violates the indication method. |
| (2) | Any of the following persons shall be subject to an administrative fine not exceeding three million won: |
| 1. | A hydrogen equipment manufacturer who fails to make a report referred to in the proviso to Article 36 (1); |
| 2. | A hydrogen equipment manufacturer who fails to make a report referred to in Article 39; |
| 3. | A hydrogen equipment manufacturer who fails to make a report referred to in Article 40 (3); |
| 4. | A person who fails to comply with an order to amend safety control regulations prescribed in Article 41 (2); |
| 5. | A person who fails to comply with safety control regulations or fails to prepare and keep records on safety management performance, in violation of Article 41 (3); |
| 6. | A hydrogen equipment manufacturer who violates Article 42 (3); |
| 7. | A person who fails to receive safety education, in violation of Article 46 (1); |
| 8. | A person who fails to have persons required to receive safety education under Article 46 (2) undergo the education; |
| 9. | A person who installs and uses hydrogen fuel-using facilities that do not meet the facility standards or technical standards, in violation of Article 47 (1); |
| 10. | A person who fails to subscribe to insurance, in violation of Article 51 (1); |
| 11. | A person who fails to comply with an order to report or submit data referred to in Article 53 (1), or makes a false report. |
| (3) | Administrative fines prescribed in paragraph (1) or (2) shall be imposed and collected by the Minister of Trade, Industry and Energy or the head of a Si/Gun/Gu, as prescribed by Presidential Decree. |
ADDENDA <Act No. 16942, Feb. 4, 2020>
Article 1 (Enforcement Date)
This Act shall enter into force one year after the date of its promulgation: Provided, That the provisions of Articles 36 through 49 and 51 shall enter into force two years after the date of its promulgation. Article 2 (Validity Period)
Article 20 shall remain effective until December 31, 2029. Article 3 (Transitional Measures concerning Hydrogen Equipment Manufacturers)
Where any person, who has been granted permission to manufacture gas appliances or has been registered for manufacturing foreign gas appliances pursuant to the Safety Control and Business of Liquefied Petroleum Gas Act as at the time this Act enters into force, respectively becomes subject to permission for a hydrogen equipment manufacturing business referred to in Article 36 of this Act or registration for manufacturing foreign hydrogen equipment referred to in Article 38, such person shall be deemed to have obtained permission or registration under this Act.