The Democratic United Party is pushing bills aimed at resuming inter-Korean cooperation and repairing the damage caused by frozen ties over the past four years.

Most of the inter-Korean projects initiated by the former leaders of the party have been put on hold amid cross-border tension under the Lee Myung-bak administration.

Tours to Mount Geumgang just north of the border on the east coast were halted in July 2008 after a South Korean woman was shot dead by a North Korean guard.

The Seoul government suspended all inter-Korean exchanges on May 24, 2010, in response to North Korea’s attack on the warship Cheonan in March.

Rep. Won Hye-young and 58 other lawmakers have submitted a bill calling for full compensation for losses sustained by businesses that have suffered by the developments.

“Although the government has offered emergency funds, a more fundamental solution is required as concerned companies have accumulated large losses,” an aide to said.

In September, after the bill was proposed, the Ministry of Unification directed 7.5 billion won ($6.8 million) from the Inter-Korean Cooperation Fund to offer up to 20 million won in operating funds to the concerned companies.

However, with the May 2010 suspension estimated to have caused an average 1.94 billion won in losses to each company, the Unification Ministry’s aid falls far short.

The losses arising from the suspension of the Geumgang tours are estimated to stand at 920 billion won.

“The earliest date the bill can be discussed is likely to be the extraordinary session of the National Assembly in November. Although there are only two Saenuri Party lawmakers who co-proposed the bill, Saenuri Party lawmakers have recently made positive comments, so there is unlikely to be much friction.”

DUP lawmakers have also proposed resolutions and revision bills to alleviate the troubles of concerned businesses.

Rep. Shim Jae-kwon and his party colleagues have suggested two resolutions ― one calling for the establishment of a body for receiving reports from companies that have sustained damages from the cessation of inter-Korean economic dealings, and the other calling for the resumption of Mount Geumgang tours.

A proposal headed by Rep. Woo Sang-ho approaches the issue from a different angle. On Aug. 6, Woo and 25 other lawmakers including Rep. Chung Ui-hwa of the Saenuri Party proposed a revision to the Inter-Korean Exchange and Cooperation Act to allow owners of businesses and residents of areas concerned with inter-Korean cooperation to receive compensation from the government.

DUP lawmakers’ proposals are not limited to those aimed at addressing existing issues.

On July 5, Rep. Yoon Hu-duk put forward the proposal for establishing a “special peace economy zone.” The bill calls for the establishment of a new inter-Korean economic area in Paju, Gyeonggi Province, near the border with North Korea.

By Choi He-suk (cheesuk@heraldcorp.com)