South Korea, as one of the energy-importing countries, has developed a 10-year plan to reduce its dependence on Middle Eastern crude oil. According to the Ministry of Industry, the main goal of this plan is to reduce reliance on Middle Eastern crude oil to 50% by 2035. Currently, South Korea sources about 70% of its crude oil from Middle Eastern producers.
Natural Resource Security Program
The Ministry of Industry of South Korea has approved a natural resource security program that anticipates fundamental changes in the way oil imports are supplied. This program also includes increasing the country's oil reserves by 20 million barrels by 2030. This reserve increase will help South Korea be more resilient against global market fluctuations and potential energy crises.
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Reducing Dependence on Middle Eastern Gas
In addition to crude oil, South Korea is also working to reduce its dependence on natural gas imported from the Middle East. Currently, the country's reliance on Middle Eastern natural gas constitutes only about 20% of total gas imports. South Korea aims to limit its dependence on Middle Eastern producers for gas imports to 30% by 2035.
South Korea is one of the countries that is significantly affected by global energy market fluctuations, and regional crises can have substantial impacts on its economy. For example, in March of this year, with the onset of war in the Gulf, Seoul had to set fuel prices for the first time in three decades to support the market and protect its economy.
Diversity in Supplier Network
Since the beginning of the Hormuz crisis, South Korea has paid special attention to diversifying its supplier network. The country is seeking to establish a stable and diverse supply network to be prepared for future crises. Given that major energy producers are striving to secure sustainable resources, South Korea has also joined this trend and developed long-term plans to ensure the sustainable supply of essential goods.
These changes in South Korea's energy policies reflect an urgent need to reduce dependence on unsustainable energy sources and create a more sustainable strategy for the future. Given the global conditions and oil price fluctuations, these measures could contribute to the economic stability and energy security of the country.
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