The Republic of Korea (or ROK for
short) is located in the southern half of the Korean Peninsula, northeast of
Asian continent. Surrounded by sea to the east, south and west, it has a
temperate monsoon climate with an average annual temperature of 13°C~14°C and an
average annual rainfall of about 1,300 mm~1,500 mm. The eastern part of the
country is dominated by mountains and hills, while plains are mainly
distributed in the west and coastal areas. With a territory of around 103,290
km2 and a population of about 51 million, the country has 1 special
city (Seoul), 2 special self-governing cities (do), 8 dos and 6 metropolitan
cities. Seoul, its capital, records 9.41 million and 605 km2 in
population and area respectively. Busan, the second largest city, is located in
the southeast of the peninsula and is the largest port city in the country. The
Seoul-Busan Corridor – passing by Daejeon and Daegu - is the most-populous and the
most-developed in the country.
In the 1960s, ROK’s economy began to
take off. As it maintains the great momentum of fast growth in the 1970s, the
per capita GNP increased from USD 87 in 1962 to USD 10,548 in 1996, creating "the
miracle of the Han River". The country joined the Organization for
Economic Co-operation and Development (OECD) in 1996 and became a founding member
of the World Trade Organization (WTO) in the same year. After the Asian financial
crisis in 1997, the country ushered in the period of moderate growth where manufacturing
and service are the two dominant industries, while shipbuilding, automobile, electronics,
steel, textiles and other industries alike are among the global top ten by
industrial output. Large enterprises - Samsung, Hyundai Motor, SK and LG for
instance- have a huge part to play in ROK’s economy. In 2008, the grip of the
international financial crisis translated into a significant decline in the country’s
economy. In response, the government acted swiftly in issuing a big stimulus
package as well as other measures alike, turning the corner for both the
financial market and the real economy. As business and consumer confidence
continue to grow, ROK was the first country among OECD members to emerge from
the downturn. The main economic data for 2022 are as follows:
l GDP: USD 1.66
trillion;
l Per capita national
income: USD 33,000;
l Economic growth
rate: 2.6%.
The currency is
KRW, and the exchange rate is USD 1≈KRW 1,332 (floating exchange rate).
ROK enjoys fairly developed land, sea
and air transports with its railway and expressway networks crisscrossing throughout
the country. ROK registers 114,300 km in highway length (about 4,500 km of
expressways) and more than 25 million in car ownership. In 2004, the first high
speed railway (Seoul-Dongdaegu Railway) was put into operation with a maximum
speed of 305 km/h. Maritime shipping is the dominating means of water transport
with key ports located in Busan, Pohang, Incheon, Kunsan, Mokpo, Jeju, Yeosu,
etc. In terms of air transport, there are currently eight international
airports at Incheon, Gimpo, Jeju, Gimhae, Cheongju, Daegu, Yangyang and Muan.
Since the establishment of diplomatic
relations between China and the ROK on August 24, 1992, the friendly
cooperation between the two sides have been growing fast at multiple fronts.
Politically, leaders of the two countries have exchanged frequent visits or met
on the sidelines of international or multilateral activities, consolidating
mutual understanding and trust while strengthening bilateral relations.
Economically, the mutually beneficial cooperation has been deepened. As each
other’s important trading partners, both sides have been witnessing
increasingly active exchanges and cooperation in the fields of culture,
education, science and technology. And the two countries have maintained close
coordination and cooperation as they work on regional and international
affairs.
Founded in September 1948, ROK built
its first railway on September 8, 1899. With a total length of 33.2km, the Gyeongin
Railway connected Seoul and Incheon. When the Korean Peninsula was split in
1945, ROK had a total of 2,642 km of railways.
The Korean War (June 25, 1950 to July 27, 1953)
extensively damaged the railway facilities in ROK, which were restored
gradually after. In September 1963, the government decided to invest half of
its transport budget to Korea National Railway (KNR) in order to accelerate
railway construction, upgrade its facilities and improve transport capacity. The
six five-year plan periods followed brought about the sustained construction
and upgrade of the country’s railway industry.
The continuous growth of national
income in the late 1980s fueled traffic congestion and built up social costs. In
this context, the building of an effective transport system became the most
pressing issue of the time. In the 1990s, the building of high speed railways
was put on the agenda. In 1992, the Korea High Speed Rail Construction
Authority (KHRC) was established under the Ministry of Transport of the
Republic of Korea, overseeing the planning and construction of high speed
railways.
The 21st century witnesses great
changes in the railway management system of ROK with the “independent
management of infrastructure and passenger/freight transport” being the most distinctive
feature. The "Railway Industry Reform Act" issued in 2001 offered railway
more space for operation and the opportunity for industrial reform. Such reform
entails the following:
l KNR - to be
solely managed by the state – was to see its infrastructure business separated from
its passenger & freight business with only the latter subject to market
competition, so as to make investment and operation more efficient;
l A non-profit
public welfare legal entity was to be set, overseeing the construction and
maintenance of railway infrastructure;
l The passenger &
freight business was to be separated as a wholly government-owned enterprise.
Given the independence of railway operators, it was planned to have passenger
& freight transports carried out separately in the mid to long term, at
which time the private sector was to have access to the equities of railway
operations, and thus to engage in railway operation service.
The railway reform in turn altered the responsibilities of the state
authority for railway management, which then oversaw only the development of
railway policies & regulations, the planning of construction investment, the
building of safety and technical standards, and the supervision of policy
implementation, etc.
According to the
relevant laws, KNR was divided into Korea National Railway (KR) and Korea
Railroad Corporation (Korail) in July 2003. The former was
to manage railway infrastructure, build new lines and upgrade existing lines,
while the latter, provide operation services on both existing and new HSR
lines.
2.2 Railway Stakeholders
With the building of ROK government in
1948, the Ministry of Transportation was established for the administrative
management of highway, railway, air transport and maritime transport
departments. In 1963, the Ministry set up the Railroad Administration Bureau (RAB)
for the management of KNR's business. In 1992, KHRC was built up - under the
Ministry but independent from RAB - for the HSR planning and construction. In
1994, the Ministry of Construction and the Ministry of Transportation were
merged into the Ministry of Construction and Transportation (MOCT). RAB, now
managed by the new Ministry, was assigned to oversee the railway-related
business.
After the railway reform, the authority
was responsible only for policy formulation, inspection and supervision, rather
than railway transport and line management. And the adjustment of government
department also brought changes to the railway authority. When KR and Korail
were established in 2003, the railway business was managed by RAB under the MOCT.
In 2008, MOCT and the Ministry of Oceans and Fisheries were integrated into the
Ministry of Land, Transport and Maritime Affairs (MLTM). Under the framework of
MLTM, a railway policy officer was appointed at the Aviation and Railway Bureau
to replace the former KRA. Amid the government restructuring in 2013, MLTM was
divided into the Ministry of Oceans and Fisheries and the Ministry of Land,
Infrastructure and Transport (MOLIT).
At present, MOLIT works as the
administrative player of the ROK railway, the functions of which include the following:
l adopt well-balanced
and environment-friendly approaches for territorial development and management;
l issue extensive
housing benefits to low-income households for housing stability
l provide safe
and convenient transport services; and
l ensure efficient
logistics system and world-leading aviation status.
For that to happen, MOLIT has established five main tasks:
l engage in multi-dimensional
innovation for better economic vitality;
l perform effective
management of the national territory and always prioritize safety and security;
l reinvigorate
the regional economy;
l secure favorable
livable conditions; and
l ensure transport
services for better life quality
The administrative management
departments of MOLIT mainly include: Planning and Coordination Office,
Territorial and Urban Development Office, Housing and Land Office, Construction
Policy Bureau, Transport and Logistics Office, Civil Aviation Office, Mobility
and Motor Vehicles Bureau, Road Bureau and Railway Bureau. Among them, the
Railway Bureau focuses on railway policy, railway operation, railway
construction, railway investment and development, express railway in metropolitan
and capital areas. In addition, a Director General for Railway Safety Policy is
appointed, overseeing safety policy, transport and facility safety.
The policy orientation of MOLIT for
railway management mainly includes the following:
l cap the travel
time between major cities to less than 2 hours via the HSR network;
l continue to
extend existing railway lines for better connectivity around metropolitan
areas;
l provide safe
and convenient railway services;
l make railway
industry the next source of economic growth; and
l work with
Eurasian stakeholders for better railway connectivity.
KR (formerly
known as Korea Rail Network Authority) was established in January 2004. It is
mainly responsible for building national backbone railway networks including high
speed railways, conventional railways and intercity railways, and managing
railway facilities. At the beginning of its establishment, KR had 6 branches and
1,500 employees. With rapid construction of railways, KR's organization
structure and company size have changed. As of June 2021, KR had 2,075 employees.
In January
2005, Korail became a wholly state-owned company that paid for the use of KR's
railway infrastructure and its track use fees were tied to track maintenance cost. The company
proposed to give priority to safety over work performance, improve customer
satisfaction in an all-round way, and face changes and challenges in operation.
The main
responsibilities of the passenger transport department of Korail include:
formulating medium and long-term management strategies and major engineering
plans for passenger railway trunk lines; developing construction schemes for
trunk line stations; making transport plans and analyzing transport records;
carrying out passenger transport and developing ticketing systems; developing
railway tourism products; managing stations and improving passenger services;
formulating train operation plans and train crew management plans for trunk
lines.
The main
responsibilities of the freight department of Korail include: developing
integrated logistics services master plan; operating and inspecting rolling
stock; developing market strategy; operating freight trains and defining wagon demand; building and repairing logistics infrastructure.
3.1 Status Quo and Construction Planning of Railway Network
According to UIC statistics, by the end of 2021, the total operating length of railways with standard gauge of 1,435 mm in ROK reached 4,309 km. Among which, electrification mileage hit 3,390 km, accounting for 78.7%, while double-track mileage 2,883 km, accounting for 66.9%. As of October 2023, high speed railways totaled about 873 km in length with top operating speed
