Published : 2013-09-24 21:13
Updated : 2013-09-24 21:13
The government and ruling party decided Tuesday to loosen a new regulation that requires companies to register chemical substances, in the face of strong backlash from businesses.
During a policy consultation, the Ministry of Environment and the ruling Saenuri Party agreed to exempt chemicals used in small amounts or used for research and development purposes from the requirement, which will come into force in late 2014.
The National Assembly passed the new law in April to tighten rules on industrial use of chemicals following a series of accidents caused by toxic leaks at factories and deadly humidifier sterilizers earlier this year.
Businesses have strongly criticized that the new regulation would hinder investment sentiments and industry developments. The registration cost is estimated at 70 million to 1.6 billion won for each chemical.
Meanwhile, the government and the party decided to maintain a related law under which the companies could face a fine equivalent to 5 percent of their sales revenue when serious chemical accidents occur.