In response to the escalating climate crisis and the pursuit of carbon neutrality by 2050, both national and local governments in Korea have intensified their efforts to establish comprehensive greenhouse gas (GHG) reduction strategies.
Within this context, Seoul presents a particularly pressing case, as the building sector accounts for more than two-thirds of the city’s total GHG emissions, thereby rendering it a critical domain for achieving the city’s carbon neutrality objectives.
To address this challenge, the Seoul Metropolitan Government has actively implemented the Building Retrofit Project (BRP) to enhance the energy efficiency of aging buildings.
Nevertheless, empirical evidence indicates that actual project outcomes have been heterogeneous: while some retrofits have resulted in reduced energy consumption, others have paradoxically led to increased usage. The literature attributes this inconsistency, commonly referred to as the performance gap, not solely to technological limitations but also to a complex interplay of factors including occupant behavior and inadequacies in operational management systems.
Accordingly, strengthening the effectiveness of the BRP necessitates more than improvements in physical building performance; it requires institutional mechanisms capable of objectively measuring reduction outcomes during the operational phase and promoting sustainable energy-saving behaviors. With this in mind, the present study analyzed the status and performance of the BRP in Seoul and explored the potential for linking its reduction outcomes to the national Emissions Trading Scheme (ETS) through the external project mechanism.
The key findings are as follows;
First, the analysis of BRP implementation confirmed the need for institutional refinement.
Second, approval and verification procedures applicable to the BRP were formulated.
Third, the roles and functions of external project institutions were defined and proposed, thereby establishing a foundational framework for institutional operation.
Fourth, a simplified methodology suitable for single-technology retrofits was presented. Finally, a standardized baseline applicable to multiple-technology retrofits was developed, thereby broadening the potential applicability of the system.
The anticipated contributions of this research are threefold.
First, linking BRP-based GHG reductions to the ETS external project mechanism may facilitate the institutional mainstreaming of the BRP.
Second, sustained motivation for energy conservation can be provided to building owners and occupants even after project completion, thereby generating additional economic benefits.
Third, the establishment of an external project framework at the municipal level may accelerate the early formation of a local carbon market in Seoul and support its future expansion.
Future research should proceed along several directions.
First, further elaboration of organizational structures, administrative procedures, and detailed operational methods for external project implementation is required.
Second, policy and institutional analyses are needed to determine the timing and phased expansion of a Seoul-based carbon market.
Third, the development of an external project model grounded in a building-level GHG cap-and-trade system is essential to facilitate the use of carbon credits as an offset mechanism.
Finally, advancing standardized baselines and methodologies for multiple- technology retrofits will be crucial to ensure that the BRP evolves into a versatile and broadly applicable instrument for urban decarbonization.