Article 1(Purpose) #
The purpose of this Decree is to provide for matters mandated by the Special Act on Revitalization and Competitiveness Enhancement of Hub Decrepit Industrial Complexes and those necessary for the enforcement thereof.
Article 2(Infrastructure) #
"Infrastructure prescribed by Presidential Decree, including ports, roads, water facilities, railways, telecommunication, electric facilities, etc." referred to in subparagraph 3b of Article 2 of the Special Act on Revitalization and Competitiveness Enhancement of Hub Decrepit Industrial Complexes (hereinafter referred to as the "Act") means the facilities provided for in the subparagraphs of Article 27(1) of the Enforcement Decree of the Industrial Sites and Development Act.
Article 3(Projects for enhancing competitiveness of hub decrepit industrial complexes) #
"Projects prescribed by Presidential Decree" in subparagraph 4e of Article 2 of the Act means the following: <Amended on Dec. 24, 2019; Dec. 16, 2021>
1. Energy technology development activities prescribed in Article 12(1) of the Energy Act, and projects for nurturing experts in the areas of energy and energy resource technology prescribed in Article 16(1) of the same Act;
2. Environmental technology development projects prescribed in Article 5(1) of the Environmental Technology and Industry Support Act; projects for promoting the commercialization of environmental technologies prescribed in Article 6(2) of the same Act; projects for supporting environmental technologies provided for in Article 12(1) and (2) of the same Act; projects for technology inspection provided for in Article 13(1) of the same Act; projects for creating green convergence clusters under Article 5 of the Act on the Creation and Fostering of Green Convergence Clusters;
3. Projects for supporting development and commercialization of new technologies related to marine development, etc. prescribed in Article 29(1) of the Framework Act on Marine Fishery Development; and projects for research and development of marine science and technology, and cultivation of professional workforce prescribed in Article 33(1) of the same Act;
4. Projects for enhancing exchanges and cooperation among the industries prescribed in Article 20(2) of the Industrial Convergence Promotion Act; projects for assisting joint organizations for industrial convergence prescribed in Article 21(2) of the same Act; projects for supporting mutual exchanges of human resources between different types of industry provided for in Article 22(2) and (3) of the same Act; and projects for assisting small and medium enterprises in industrial convergence projects provided for in Article 24(1) and (3) of the same Act;
5. Projects for designating or developing a specialized complex for ppuri industries prescribed in Article 20(1) of the Act on Promotion and Sophistication of Ppuri Industry; and projects for supporting specialized complexes prescribed in Article 21(1) of the same Act;
6. Public housing projects referred to in subparagraph 3 of Article 2 of the Special Act on the Construction of Public Housing, Etc.;
7. Projects for promoting collaboration in and automation of logistics referred to in Article 23(1) and (4) of the Framework Act on Logistics Policies;
8. Establishment and promotion of measures for creating local jobs referred to in Article 9-2(1) and (2) of the Framework Act on Employment Policy;
9. Projects for supporting the establishment and operation of workplace child care centers prescribed in Article 21(3) of the Equal Employment Opportunity and Work-Family Balance Assistance Act; and projects for supporting the establishment and operation of child care centers prescribed in Article 26 of the Employment Insurance Act;
10. Projects for installing and operating industrial accident prevention facilities referred to in Article 11 of the Occupational Safety and Health Act;
11. Projects for designating parking environment improvement districts provided for in Article 4(1) of the Parking Lot Act;
12. Projecting for training human resources in industrial technology provided for in Article 20(1) of the Industrial Technology Innovation Promotion Act;
13. Other projects prescribed by the authority in charge of formulating a strategic plan for the purpose of enhancing the competitiveness of hub decrepit industrial complexes.
Article 4(Composition of Competitiveness Enhancement Promotion Committee for hub decrepit industrial complexes) #
(1) "Public officials in general service of the Senior Executive Service of relevant central administrative agencies prescribed by Presidential Decree or public officials equivalent thereto" in Article 5(3)1 of the Act means public officials in general service who belong to the Senior Executive Service of the following central administrative agencies or public officials equivalent thereto nominated by the head of the relevant agency: <Amended on Feb. 18, 2020; Oct. 1, 2025; Dec. 30, 2025>
1. The Ministry of Economy and Finance;
2. The Ministry of Culture, Sports and Tourism;
3. The Ministry of Trade, Industry and Resources;
4. The Ministry of Climate, Energy and Environment;
5. The Ministry of Employment and Labor;
6. The Ministry of Land, Infrastructure and Transport;
7. The Ministry of SMEs and Startups;
8. The Office for Government Policy Coordination;
9. Central administrative agencies designated by the chairpersons under the part other than the subparagraphs of Article 5(3) of the Act (hereinafter referred to as "co-chairpersons") in relation to issues brought to a meeting of the Competitiveness Enhancement Promotion Committee for Hub Decrepit Industrial Complexes (hereinafter referred to as the "Committee") provided for in Article 5(1) of the Act.
(2) The term of office of civilian members referred to in Article 5(3)2 of the Act shall be two years.
(3) The Committee shall have two secretaries to efficiently operate and assist the Committee, who shall be appointed by the head of the relevant agency from among division head-level public officials of the Ministry of Trade, Industry and Resources and the Ministry of Land, Infrastructure and Transport, respectively, to be in charge of duties related to industrial complexes. <Amended on Feb. 18, 2020; Oct. 1, 2025>
Article 5(Duties of co-chairpersons) #
(1) Co-chairpersons shall jointly represent the Committee and exercise overall control of its affairs. <Amended on Feb. 18, 2020>
(2) Where the co-chairpersons are unable to perform their duties due to inevitable circumstances, a member appointed beforehand by the Committee shall act on their behalf. <Amended on Feb. 18, 2020>
[Title Amended on Feb. 18, 2020]
Article 6(Operation of Committee) #
(1) Meetings of the Committee shall be convened when deemed necessary by the co-chairpersons, who shall take turns to preside over the meetings. <Amended on Feb. 18, 2020>
(2) A majority of the members of the Committee shall constitute a quorum, and any decision thereof shall require a concurring vote of at least a majority of those present.
(3) Where the co-chairpersons intend to convene a meeting, they shall notify in writing each member of the date and time, venue, and agenda items of the meeting by at least seven days prior to the scheduled date of the meeting; provided, such notification may be made by the day immediately preceding the scheduled date of the meeting in emergency or where any unavoidable circumstances exist. <Amended on Feb. 18, 2020>
(4) Where it is deemed necessary in relation to any agenda issue of the Committee, the co-chairpersons may require relevant public officials, civil experts, etc. to attend meetings of the Committee, or require that the heads of relevant institutions submit materials. <Amended on Feb. 18, 2020>
(5) Matters necessary for the composition, operation, etc. of the Committee, other than those provided for in paragraphs (1) through (4), shall be prescribed by the co-chairpersons through a resolution of the Committee. <Amended on Feb. 18, 2020>
Article 7(Composition and operation of local council for promoting competitiveness enhancement) #
(1) A council for promoting enhancement of the competitiveness of hub decrepit industrial complexes referred to in Article 6(1) of the Act (hereafter in this Article referred to as the "council") shall be comprised of up to 30 members, including one chairperson.
(2) The Special Metropolitan City Mayor, a Metropolitan City Mayor, a Special Self-Governing City Mayor, a Do Governor, or the Governor of a Special Self-Governing Province (hereinafter referred to as "Mayor/Do Governor") shall serve as the chairperson of the council, and its members shall be commissioned or appointed by a Mayor/Do Governor from among any of the following persons: <Amended on Jun. 8, 2021>
1. Public officials [including public officials of a Si/Gun/Gu (in cases of a Gu, referring to an autonomous Gu; hereinafter the same shall apply)] in charge of duties relating to local economy, industrial complexes, local employment promotion, etc.;
2. Executives and employees of the Korea Industrial Complex Corporation established under Article 45-17 of the Industrial Cluster Development and Factory Establishment Act;
3. Persons in charge of duties relating to industrial complexes among the executives and employees of the Korea Land and Housing Corporation established under the Korea Land and Housing Corporation Act;
4. Persons in charge of duties relating to industrial complexes among the executives and employees of local public enterprises established under the Local Public Enterprises Act;
5. Executives and employees of management agencies prescribed in Article 30(2)3 through 5 of the Industrial Cluster Development and Factory Establishment Act;
6. Persons who have sufficient knowledge about and experience in strengthening the competitiveness of industrial complexes;
7. Persons who have sufficient knowledge about and experience in jobs, education, culture, welfare, housing, safety, environment, etc. necessary to improve the quality of life of local residents.
(3) The term of office of any member commissioned pursuant to paragraph (2) shall be for two years.
(4) A majority of the members of the council shall constitute a quorum, and any decision thereof shall require a concurring vote of at least a majority of those present.
(5) Matters necessary for the composition, operation, etc. of the council, other than those provided for in paragraphs (1) through (4), shall be prescribed by the chairperson through a resolution of the Committee.
Article 8(Designation and duties of organization for supporting competitiveness enhancement) #
(1) "Public institutions prescribed by Presidential Decree" in Article 7(1) of the Act means the following: <Amended on Jun. 8, 2021>
1. Korea Industrial Complex Corporation established under Article 45-17 of the Industrial Cluster Development and Factory Establishment Act.
2. The Korea Land and Housing Corporation established under the Korea Land and Housing Corporation Act.
(2) "Other duties prescribed by Presidential Decree" referred to in Article 7(1)6 of the Act means any of the following duties:
1. Duties relating to surveying basic information on the current status of each hub decrepit industrial complex and diagnosing its level of deterioration in order to select and change hub decrepit industrial complexes;
2. Support duties relating to direction-setting for mid- and long-term development of hub decrepit industrial complexes;
3. Investigation and research on the strategies and methods for promoting projects for competitiveness enhancement by hub decrepit industrial complex;
4. Other duties for enhancing the competitiveness of hub decrepit industrial complexes determined by resolution of the Committee.
(3) The authority in charge of formulating a strategic plan may subsidize expenses incurred in conducting any matter prescribed in the subparagraphs of Article 7(1) of the Act by an organization for supporting enhancement of the competitiveness of hub decrepit industrial complexes designated under Article 7(1) of the Act (hereinafter referred to as "support organization").
Article 9(Operation of support organizations) #
(1) The head of a support organization shall report the outcomes of performing the matters specified in the subparagraphs of Article 7(1) of the Act in the preceding year and a business plan for the relevant year to the authority in charge of formulating a strategic plan by the last day of February each year.
(2) Where it is deemed necessary to conduct the duties of a support organization, the head of the support organization may request that the head of a relevant central administrative agency or the head of a relevant public institution dispatch public officials, executive officers, or employees under his or her jurisdiction by resolution of the Committee.
(3) The authority in charge of formulating a strategic plan may require a support organization to report necessary matters concerning its duties, accounting and property.
(4) Where it is deemed necessary after reviewing the report made pursuant to paragraph (3), the authority in charge of formulating a strategic plan may order the support organization to make corrections or take necessary measures.
(5) Matters necessary for the composition, operation, etc. of the support organization, other than those provided for in paragraphs (1) through (4), shall be prescribed by the authority for formulating a strategic plan.
Article 10(Requirements for establishment of councils of persons concerned with competitiveness enhancement) #
(1) A council of persons concerned with enhancement of the competitiveness of hub decrepit industrial complexes referred to in Article 8(1) of the Act (hereinafter referred to as the "council of persons concerned with competitiveness enhancement") shall include the following persons:
1. Occupant enterprises;
2. Landowners;
3. Local residents;
4. Persons with sufficient knowledge about and experience in enhancing competitiveness of industrial complexes, who are recommended by the head of the local government having jurisdiction over the relevant hub decrepit industrial complex.
(2) Any person intending to establish a council of persons concerned with enhancement of competitiveness pursuant to Article 8(1) of the Act shall prepare basic rules containing the following matters, and obtain an approval thereof from the authority in charge of formulating a strategic plan:
1. The purpose of the council of persons concerned with competitiveness enhancement;
2. The methods of organizing the council of persons concerned with competitiveness enhancement;
3. The procedures for deliberation of the council of persons concerned with competitiveness enhancement;
4. The methods for preparing and disclosing a statement of the outcomes of deliberation of the council of persons concerned with competitiveness enhancement;
5. Matters relating to the sharing of expenses incurred in operating the council of persons concerned with competitiveness enhancement;
6. Other matters necessary for operating the council of persons concerned with competitiveness enhancement.
Article 11(Composition and operation of councils of persons concerned with competitiveness enhancement) #
(1) A council of persons concerned with competitiveness enhancement shall consist of up to 30 members, including one chairperson.
(2) The chairperson of the council of persons concerned with competitiveness enhancement shall be elected from among the council members.
(3) The council of persons concerned with competitiveness enhancement shall discuss the following matters:
1. Suggestions and advice regarding a project for enhancing the competitiveness of hub decrepit industrial complexes;
2. Research, analysis and development measures regarding a project for enhancing the competitiveness of hub decrepit industrial complexes;
3. Support for promoting a project for enhancing the competitiveness of hub decrepit industrial complexes;
4. A cooperative project with related persons necessary for a project for enhancing the competitiveness of hub decrepit industrial complexes;
5. Other matters determined by the council of persons concerned with competitiveness enhancement for the purpose of enhancing the competitiveness of hub decrepit industrial complexes.
(4) A majority of the members of the council of persons concerned with competitiveness enhancement shall constitute a quorum, and any decision thereof shall require a concurring vote of at least a majority of those present.
(5) Matters necessary for the composition, operation, etc. of the council of persons concerned with competitiveness enhancement, other than those provided for in paragraphs (1) through (4), shall be prescribed by ordinance of a local government.
Article 12(Formulation of strategic plans for enhancement of competitiveness) #
Where a strategic plan for enhancing the competitiveness of hub decrepit industrial complexes referred to in Article 9(1) of the Act (hereinafter referred to as "strategic plan") is determined pursuant to Article 9(4) of the Act, the authority in charge of formulating a strategic plan shall make public notification thereon in an official Gazette.
Article 13(Fact-finding surveys) #
(1) The scope of a fact-finding survey referred to in Article 10(1) of the Act (hereafter in this Article referred to as "fact-finding survey") shall be as follows:
1. Current status of utilizing and developing land by usage in the hub decrepit industrial complex;
2. Information on the industries currently in a hub decrepit industrial complex, and matters concerning the production and employment of the occupant enterprises;
3. Matters concerning the actual conditions of facilities, such as industrial complex infrastructure and buildings, in the hub decrepit industrial complex;
4. Other matters necessary to formulate a strategic plan.
(2) Where it is deemed necessary for a fact-finding survey referred to in paragraph (1), the authority in charge of formulating a strategic plan may conduct a fact-finding survey by dividing the scope or area of the industrial complex subject to the survey.
(3) In accordance with Article 10(2) of the Act, with respect to the matters specified in the subparagraphs in paragraph (1), the authority in charge of formulating a strategic plan may request a submission of materials or provision of opinions from the heads of the relevant central administrative agencies, the heads of local governments, and the heads of the relevant institutions and organizations.
(4) Where the authority in charge of formulating a strategic plan intends to conduct a fact-finding survey, he or she shall notify persons subject to the fact-finding survey of the survey plan describing the date, purpose, contents, etc. of the survey by seven days prior to the date of commencing the survey.
(5) Where it is deemed necessary to determine important matters for enhancing the competitiveness of a hub decrepit industrial complex or to conduct a fact-finding survey, the authority in charge of formulating a strategic plan may seek advice from or entrust a survey or research to research institutions or organizations equipped with expertise and professional workforce in industrial complexes or relevant specialists.
Article 14(Public contests for designation of competitiveness enhancement project zones) #
(1) Where the authority in charge of formulating a strategic plan intends to conduct a public contest for designating a competitiveness enhancement project zone under Article 11(1) of the Act, he or she shall give notice to local governments having jurisdiction over hub decrepit industrial complexes, covering the following matters:
1. The purpose of designating a project zone;
2. The criteria for designating a project zone;
3. Details regarding the support for a project zone;
4. The schedule for designating a project zone;
5. The timing planned for implementing a project;
6. Other matters necessary for the public contest for designating a competitiveness enhancement project zone.
(2) The head of the local government that intends to have a hub decrepit industrial complex under his or her jurisdiction be designated as a competitiveness enhancement project zone pursuant to Article 11(2) of the Act shall submit an application (including an electronic document) for designation as a competitiveness enhancement project zone to the authority in charge of formulating a strategic plan.
(3) Where it is necessary to efficiently conduct duties related to the public contest, evaluation, etc. for designating a competitiveness enhancement project zone, the authority in charge of formulating a strategic plan may seek advice from or entrust survey and research to relevant specialized institutions.
Article 15(Public announcement of designation of competitiveness enhancement project zones) #
(1) Where the authority in charge of formulating a strategic plan designates a competitiveness enhancement project zone under Article 12(1) of the Act, he or she shall notify the following in an official Gazette; provided, where the matter specified in subparagraph 3 has not been determined as at the time of designating the competitiveness enhancement project zone, the public announcement on it shall be made after the relevant matter is determined:
1. The name, location and size of the competitiveness enhancement project zone;
2. The purpose of designating the competitiveness enhancement project zone;
3. The project operator for implementing the project for enhancing the competitiveness of the relevant hub decrepit industrial complex;
4. The project period and implementation method of the competitiveness enhancement project zone;
5. Other matters deemed necessary by the Committee.
(2) The head of the local government having jurisdiction over the hub decrepit industrial complex granted designation pursuant to Article 12(1) of the Act shall post details of such designation on the website of the local government for at least 14 days.
(3) The authority in charge of formulating a strategic plan may request that the head of the local government having jurisdiction over the hub decrepit industrial complex designated as a competitiveness enhancement project zone take measures necessary to efficiently promote the project for enhancing the competitiveness of the hub decrepit industrial complex.
Article 16(Amendment of minor matters) #
(1) "Where minor matters prescribed by Presidential Decree are to be amended" in the proviso to Article 13(1) of the Act means any of the following cases:
1. Where the address of a project operator is changed;
2. Where the representative of a project operator, which is a corporation, is changed;
3. Where the project implementation area is corrected by rectifying errors, etc.;
4. Where the project is divided within the range of the total project implementation area, and implemented accordingly;
5. Where an annual investment plan is revised within the range of the total project cost;
6. Where any change is made to the specifications of the existing factories or buildings that are intended to be maintained to the extent not causing any amendment to the land use plan.
(2) Where the project operator changes any matter specified in the subparagraphs of paragraph (1), he or she shall notify details of such change to the authority in charge of formulating a strategic plan and the head of the competent local government.
Article 17(Public announcement of approval of project plans) #
(1) Where the authority in charge of formulating a strategic plan approves a project plan for enhancing the competitiveness of a hub decrepit industrial complex under Article 13(1) of the Act, he or she shall publicly notify the following matters in an official Gazette or official report, and send copies of the relevant documents to the Special Metropolitan City Mayor, the Governor of the Special Self-Governing Province, or the head of the Si/Gun/Gu:
1. The name of the project;
2. The name of the project operator, and the name of its representative;
3. The purpose and outline of the project;
4. The location and size of the project implementation area;
5. The implementation period of the project (including the dates scheduled for the commencement and completion of the project);
6. The implementation method of the project, and the plan for financing;
7. Change of the land use plan or the plan for main infrastructure resulting from the implementation of the project (limited to where there is any change).
(2) The Special Metropolitan City Mayor, the Governor of the Special Self-Governing Province, or the head of the Si/Gun/Gu in receipt of copies of the relevant documents referred to in paragraph (1) shall ensure public access to details of such documents for at least 14 days.
Article 18(Project operator) #
(1) "Public institutions prescribed by Presidential Decree" referred to in Article 14(1)2 of the Act means any of the following institutions:
1. Public institutions prescribed in Article 4(1)1 through 4 of the Act on the Management of Public Institutions;
2. Local public enterprises prescribed in the Local Public Enterprises Act.
(2) "Others prescribed by Presidential Decree" referred to in Article 14(1)3 of the Act means any of the following persons other than the public institutions falling under paragraph (1): <Amended on Feb. 11, 2016>
1. A corporation established pursuant to the Civil Act for the purpose of a project for enhancing the competitiveness of a hub decrepit industrial complex where the total investment rate of those specified in the following amounts to at least 20 percent:
a. The State and local governments;
b. Public institutions and local public enterprises prescribed in the subparagraphs of paragraph (1);
2. A person falling under Article 19(3)1 or 2 of the Enforcement Decree of the Industrial Sites and Development Act;
3. An association of small and medium enterprises or a chamber of commerce and industry that intends to conduct a project for enhancing the competitiveness of a hub decrepit industrial complex and provide at least 30 percent of the industrial facility site to its members (including the site for installing industrial facilities within a complex site; hereafter in this Article the same shall apply), from among the associations of small and medium enterprises prescribed in the Small and Medium Enterprise Cooperatives Act, or the chambers of commerce and industry prescribed in the Chambers of Commerce and Industry Act;
4. An association established by owners of land in a competitiveness enhancement project zone or landowners for the purpose of a competitiveness enhancement project;
5. Any of the following institutions entrusted with the management of industrial complexes by the authorized administrator prescribed in subparagraph 16 of Article 2 of the Industrial Cluster Development and Factory Establishment Act:
a. An industrial complex administrative corporation or a consultative council comprised of occupant enterprises prescribed in Article 31(2) of the Industrial Cluster Development and Factory Establishment Act;
b. A person prescribed in subparagraphs 2 through 6 of Article 36-7 of the Enforcement Decree of the Industrial Cluster Development and Factory Establishment Act;
Article 19(Requirements for implementation agents of projects for enhancing competitiveness of hub decrepit industrial complexes) #
"Private company satisfying the requirements prescribed by Presidential Decree" in Article 14(2)2 of the Act means a juristic person established under the Civil Act or a corporation established under the Commercial Act which does not fall under any of the following: <Amended on Apr. 29, 2016>
1. Companies subject to restructuring prescribed in Article 21 of the Industrial Development Act;
2. Enterprise with a sign of insolvency defined in subparagraph 7 of Article 2 of the Corporate Restructuring Promotion Act.
Article 20(Vicarious implementation of projects for enhancing competitiveness of hub decrepit industrial complexes) #
(1) A person who intends to vicariously and partially implement a project for enhancing the competitiveness of a hub decrepit industrial complex pursuant to Article 14(2) of the Act shall submit an application for vicarious implementation of a project for enhancing the competitiveness of a hub decrepit industrial complex, attached with the following documents, to the relevant project operator:
1. A map indicating the location of the project zone;
2. A project plan;
3. A financing plan;
4. A plan for reinvesting development gains;
5. An outline of the vicarious implementation of a project for enhancing the competitiveness of a hub decrepit industrial complex, covering the following matters:
a. The purpose and need of the project;
b. The type and summary of the project;
c. The implementation period of the project.
(2) The project operator in receipt of the application for vicarious implementation referred to in paragraph (1) shall determine whether to permit vicarious implementation by the applicant by comprehensively taking into consideration the publicness, feasibility and appropriateness, etc. of implementing the project.
(3) Where the project operator intends to allow vicarious implementation of a project for enhancing the competitiveness of a hub decrepit industrial complex under Article 14(2) of the Act, he or she shall conclude a contract with the implementation agent determined pursuant to paragraph (2).
(4) The project operator shall instruct and supervise the implementation agent so that the implementation agent can conduct the project in good faith.
Article 21(Re-investment of development gains) #
With respect to the re-investment of development gains prescribed in Article 17(1) of the Act, the provisions according to the following classification shall apply: <Amended on Feb. 11, 2016>
1. Where a renovation plan provided for in Article 39-2 of the Industrial Sites and Development Act is included in the project plan: Article 44-13 of the Enforcement Decree of the same Act;
2. Where a structure improvement plan provided for in Article 45-2 of the Industrial Cluster Development and Factory Establishment Act is included in the project plan: Article 58-5 of the Enforcement Decree of the same Act.
Article 22(Contribution of increased value of land prices after changing zoning of districts by usage) #
(1) An increased value of the land price that the project operator can receive as a contribution pursuant to Article 17(2) of the Act, which shall be at least 50 percent of the difference in the land prices resulting from any change to a land use plan, the zoning of districts by usage, etc., shall be determined and publicly announced by the authority in charge of formulating a strategic plan.
(2) The calculation of the price of land before and after the change to a land use plan or the zoning of districts by usage shall be the arithmetic average of the amounts appraised and assessed by at least two appraisal corporations, etc. (referring to appraisal corporations, etc. under the Act on Appraisal and Certified Appraisers), covering up to three months prior to the public announcement of amendment of a master plan for the management of the industrial complex referred to in Article 33(6) of the Industrial Cluster Development and Factory Establishment Act; provided, where a renovation plan provided for in Article 39-2(5) of the Industrial Sites and Development Act is included in the project plan, it shall be the arithmetic average of the amounts appraised and assessed using the method prescribed in the main sentence, covering up to three months prior to the public announcement of amendment to the renovation implementation plan provided for in Article 39-7(5) of the same Act. <Amended on Feb. 11, 2016; Aug. 31, 2016; May 12, 2020; Jan. 21, 2022>
(3) The project operator shall invest the increased value of the land price received as a contribution from the landowner pursuant to paragraph (1) in a competitiveness enhancement project after having consultation with the authority in charge of formulating a strategic plan.
Article 23(Financial resources of project account) #
"Other income prescribed by Presidential Decree" referred to in Article 18(2)5 of the Act means any of the following:
1. The share of expenses borne by local governments or income transferred from the general account;
2. Revenues earned in the process of promoting a competitiveness enhancement project, including the proceeds from selling a site, etc.;
3. Rent of public facilities in a competitiveness enhancement project zone, and other fees, commissions, earning, etc.
Article 24(Operation of surplus funds) #
"Methods prescribed by Presidential Decree" referred to in Article 19(3) of the Act means any of the following methods:
1. Purchase of government bonds and public bonds;
2. Deposit to a public capital management fund prescribed in Article 6 of the Public Capital Management Fund Act;
3. Short-term deposit to financial institutions;
4. Purchase of securities pursuant to Article 4 of the Financial Investment Services and Capital Markets Act.
Article 25(Duties of general project manager) #
(1) A general project manager designated under Article 20(1) of the Act (hereafter in this Article referred to as "general project manager") shall perform the following duties:
1. Management of contributions to and subsidies for the cost of infrastructure;
2. Provision of advice regarding a plan for installing infrastructure, etc. when formulating a strategic plan;
3. Formulation and execution of a plan for securing and operating financial resources;
4. Preparation, analysis and management of data on the current status of implementing a competitiveness enhancement project;
5. Formulation of measures for efficiently implementing a competitiveness enhancement project, and collection of opinions;
6. Matters requested by the heads of the competent local governments in relation to the implementation of a competitiveness enhancement project;
7. Other matters determined by the authority in charge of formulating a strategic plan.
(2) Where it is necessary to conduct the duties prescribed in Article 20(2) of the Act, a general project manager may request a submission of the data concerning a competitiveness enhancement project from the project operator. In such cases, the project operator in receipt of the request for submission of data shall submit the relevant data except in extenuating circumstances.
(3) For the purpose of reporting matters relating to the operation of a competitiveness enhancement project account, the general project manager shall submit the following documents to the authority in charge of formulating a strategic plan by the end of February each year:
1. The project plan and budget bill for the relevant year;
2. The project performance of the previous year;
3. The statements of revenue and expenditure by business year which have been audited by a certified public accountant or accounting firm designated by the authority in charge of formulating a strategic plan.
(4) Where a general project manager intends to amend a project plan referred to in paragraph (3)1, he or she shall submit the details of and reasons for the amendment, and the amended project plan and budget bill to the authority in charge of formulating a strategic plan.
(5) The authority in charge of formulating a strategic plan may subsidize expenses necessary for the general project manager to conduct the duties prescribed in the subparagraphs of paragraph (1).
Article 26(Revocation of designation of competitiveness enhancement project zones) #
(1) Where the authority in charge of formulating a strategic plan revokes designation of a competitiveness enhancement project zone under Article 21(1) of the Act, he or she shall notify such fact to the head of the competent local government having jurisdiction over the relevant hub decrepit industrial complex and the relevant project operator, and publicly announce the following matters in an official Gazette:
1. The name, location and area of the project for enhancing the competitiveness of the hub decrepit industrial complex;
2. The reasons for revoking the designation of the competitiveness enhancement project zone;
3. The date of designating the competitiveness enhancement project zone, and the date the revocation of designation takes effect.
(2) Where the head of the competent local government and the project operator are notified of revocation of the designation of the competitiveness enhancement project zone under paragraph (1), he or she shall post details of such revocation on the website of the relevant institution for at least 14 days.
Article 27(Application for subsidies) #
(1) A project operator that wishes to receive subsidies from the State or a local government pursuant to Article 22(2) of the Act shall submit an application for subsidies, describing the following matters, to the authority in charge of formulating a strategic plan or the head of the competent local government: <Amended on Jan. 5, 2021>
1. The purpose and necessity of the project applying for subsidies;
2. The period and scale of the project applying for subsidies;
3. Total project cost and funds required for the relevant year, estimated income statement, and estimated statement of financial position;
4. Other documents required for applying for subsidies.
(2) Where the application referred to in paragraph (1) is deemed reasonable, the authority in charge of formulating a strategic plan or the head of the competent local government shall take measures necessary for granting subsidies.
Article 28(Conditions for loans) #
(1) The conditions for and term of a State-funded loan, among loans prescribed in Article 22(2) of the Act, shall be determined in consultation with the Minister of Planning and Budget, and the conditions for and term of a local government-funded loan shall be prescribed by ordinance of the relevant local government. <Amended on Mar. 25, 2025; Dec. 30, 2025>
(2) Matters necessary for the procedures for applying for a loan, the repayment of the principal and interest accrued therefrom, and other operational procedures shall be determined and publicly announced by the authority in charge of formulating a strategic plan or shall be prescribed by ordinance of the relevant local government. <Amended on Mar. 25, 2025>
Article 29(Infrastructure eligible for support) #
"Infrastructure prescribed by Presidential Decree" referred to in Article 22(3) of the Act means the facilities specified in the subparagraphs of Article 27(1) of the Enforcement Decree of the Industrial Sites and Development Act.
Article 30(Organizations eligible for support for relocation) #
"Organizations prescribed by Presidential Decree, including corporations, educational and research institutes, business organizations, medical institutions, etc." referred to in Article 22(4) of the Act means the following organizations and institutions: <Amended on Mar. 25, 2025>
1. Corporations, educational and research institutes, business organizations, and medical institutions;
2. Organizations recognized by the authority in charge of formulating a strategic plan as significantly contributing to strengthening the competitiveness of hub decrepit industrial complexes by expanding and upgrading industrial complex infrastructure, adding high value to occupant businesses, improving the living conditions of workers, etc. or organizations prescribed by ordinance of the relevant local government.