
▷ Village communities share the revenue generated from solar power among their members
▷ Full-scale, whole-of-government support to establish more than 2,500 “Sunlight Income Villages” over five years
The Ministry of the Interior and Safety (MOIS, Minister Yun Hojung) announced that on Tuesday, December 16, it reported to the State Council the “Plan for Nationwide Expansion of Sunlight Income Villages,” jointly prepared with the Ministry of Agriculture, Food and Rural Affairs (MAFRA, Minister Song Miryung) and the Ministry of Climate, Energy and Environment (MCEE, Minister Kim Sungwhan), and that it will move forward with full-scale implementation of the plan.
“Sunlight Income Village” is a project model in which a village community takes the lead in installing and operating solar power plants on idle land, farmland, and reservoirs within the village to achieve energy self-sufficiency, and then shares the resulting revenue among community members.
For example, the “Sunlight Dure Power Cooperative,” involving residents of Guyang-ri, Sejongdaewang-myeon, Yeoju-si, Gyeonggi-do, has installed solar power plants on village warehouses and parking lots and uses the revenue from electricity sales to provide free lunches at the village community center and operate a free village bus, revitalizing the local community while also contributing to carbon reduction.
The government plans to focus its efforts on promoting comprehensive and systematic, whole-of-government support in order to overcome the limitations of village solar support projects that have so far been implemented at the individual ministry level, and to expand exemplary cases like Guyang-ri nationwide.
First, a pan-government task force tentatively named the “Sunlight Income Village Promotion Task Force” will be newly established under the authority of the MOIS.
The task force will be composed of relevant ministries such as the MAFRA and the MCEE, as well as local governments and related organizations including Korea Rural Community Corporation (KRC), Korea Water Resources Corporation (K-water), Korea Electric Power Corporation, and Korea Energy Agency, and will perform overall support functions such as project planning and coordination, designation of Sunlight Income Villages, and evaluation.
In addition, local governments will establish dedicated departments and personnel to actively identify residents’ project needs and resolve difficulties, while also operating on-site support teams together with regional environment offices and other relevant local organizations.
Centered on the newly established task force, the government plans to provide integrated and innovative support for grid connection, site acquisition, financing, and other needs required to develop Sunlight Income Villages.
First, to address power grid constraints, which is the biggest obstacle to the project, the government will pursue the enactment and revision of relevant laws and regulations so that “Sunlight Income Villages” can be granted priority access to the power grid.
- In addition, in areas where grid capacity is insufficient, the government plans to support the installation of energy storage systems (ESS) to eliminate connection waiting times and facilitate smooth grid interconnection.
Idle sites such as public land including village halls and parking lots, reserve farmland of the KRC, reservoirs, river sites managed by the K-water, and dam water surfaces will be actively identified, and support will also be provided for permits and leases for the use of state- and publicly owned property, construction of permanent facilities, and reductions or exemptions of usage and lease fees.
Above all, financial and tax support will be significantly expanded to dramatically reduce residents’ initial investment burden.
- As of 2026, approximately KRW 450 billion in renewable energy financial support will be provided to offer long-term, low-interest loans covering up to 85% of solar facility investment costs, and local financial institutions such as regional agricultural cooperatives and credit unions will also participate as policy financing institutions to enhance village communities’ access to finance.
- In particular, in areas experiencing population decline, local governments will be allowed to use the “Local Extinction Response Fund” to support residents’ own cost burdens, and exemptions from acquisition tax and reductions in property tax will be provided for the establishment of new renewable energy startups and facilities.
In addition, the government plans to promote expedited permits and approvals by local governments and simplify procedures for small-scale environmental impact assessments, and to require the use of domestically produced solar modules and inverters for Sunlight Income Villages.
Through these measures, the government plans to develop more than 500 Sunlight Income Villages each year starting in 2026, reaching over 2,500 villages by 2030 across approximately 38,000 ri (villages) nationwide, and intends to invest about KRW 550 billion in national funds next year.
Minister Yun Hojung stated, “Sunlight Income Villages are an innovative model that can simultaneously promote village communities and the social and solidarity economy while reducing carbon emissions.”
He added, “The MOIS will work closely with relevant ministries such as the MAFRA and the MCEE, as well as local governments and public institutions, and will devote its full efforts to supporting the nationwide expansion of Sunlight Income Villages.”
For further information, please contact the Public Relations Division.
Contact person: Gina Lee, foreign media spokesperson
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