The government plans to distribute three-point-five million environmentally friendly HVAC systems in the country by 2035.
The Ministry of Climate, Energy and Environment announced on Tuesday that the systems, also known as heat pumps, will be distributed as part of efforts to cut greenhouse gas emissions by five-point-18 million tons.
The systems move heat using electricity, rather than burning gas or oil.
The global heat pump market is expected to expand from 180 million installed units in 2020 to one-point-eight billion installed units by 2050, according to the ministry, while the domestic market stood at just 360-thousand as of 2022.
Although Samsung and LG have been steadily exporting heat pumps to Europe, supplies in South Korea remain limited due to high installation costs and tiered electricity pricing.
To promote the use of heat pumps, the ministry said it will establish a new price structure for residential heat pumps and subsidize the installation costs, which could reach up to 10 million won, or about six-thousand-800 U.S. dollars.
The government has also earmarked more than 58-point-three billion won, or roughly 39-point-five million dollars, to support projects and lower entry barriers to the heat pump market.