Gyeongnam Province and Democratic Party Unite in Calling for Consolidated Power Generation Headquarters and Naval Academy to Remain in Jinhae

Discussion on the Inclusion of Next Year's National Budget and Key Issues

Gyeongsangnam-do Province and the Democratic Party of Korea jointly called on the government to attract the consolidated headquarters of power generation public enterprises and to keep the Republic of Korea Naval Academy in its current location.

Governor Park Wansu of Gyeongnam Province, along with Assemblymen Min Hongchul, Kim Joungho, and Heo Sung-moo, issued a "Joint Statement on Response to Integration and Relocation of Public Sector Institutions" in Yeouido, Seoul, on September 30.

Assemblyman Heo Seong-moo (far left), Assemblyman Kim Jeong-ho, Governor Park Wan-su of Gyeongnam Province, and Assemblyman Min Hong-cheol are holding a sign together displaying the joint statement announced ahead of the 2026 Budget Policy Council. [Photo by Gyeongnam Province]

They collectively emphasized that the second round of public institution relocations, currently being promoted by the government, should be carried out in a way that enhances the competitiveness of regional strategic industries and achieves balanced national development.

They stated, "Gyeongnam serves as a key hub for national manufacturing, with core strategic industries such as shipbuilding, defense, nuclear power, and aerospace concentrated here," and added, "The second round of public institution relocations must prioritize integration with local industries and connection with organizations previously relocated."

They further highlighted that Gyeongnam Innovation City in Jinju, which already hosts the headquarters of Korea South-East Power and brings together energy companies and research institutes, is the most rational location for the consolidated headquarters of the five power generation public enterprises, citing advantages in relocation costs, work efficiency, and industrial connectivity.

In addition, they stated, "The Republic of Korea Naval Academy has maintained the Navy’s history and tradition in Jinhae for the past 80 years," and asserted, "To preserve the Navy’s identity and the expertise of field-oriented education, the Academy must remain in Jinhae, the center of maritime security where educational, logistics, and operational functions are concentrated."

Governor Park and the three assemblymen urged, "The government should make a responsible decision for balanced national development and the future of Gyeongnam, in line with the principle that regional competitiveness represents national competitiveness."

Park Wansu, Governor of Gyeongnam Province (front left), is discussing cooperation plans with lawmakers from the Democratic Party of Korea for next year's national budget projects and key issue resolutions. [Photo by Gyeongnam Province]

After releasing the joint statement, they held a "Budget Policy Council" to discuss bipartisan cooperation measures for next year’s major national budget projects and key issues.

At this meeting, Governor Park requested that the 11.6811 trillion won allocated for Gyeongnam in the government's proposed 2027 budget, as of September 1, be preserved through parliamentary review.

He also requested parliamentary review for a budget increase of 153.3 billion won for 32 additional projects requiring further national funding.

These projects include the construction of the South Inland Railway, establishment of a test and inspection support center for manufactured components for small modular reactors (SMRs) at Changwon National Industrial Complex, development of a technology commercialization platform for future mobility thermal management systems, establishment of a reliability demonstration platform for bio-health generative AI, relocation and reconstruction of Geochang Red Cross Hospital, expansion of local senior protection institutions, and a demonstration project for autonomous manufacturing of electrical wiring assemblies in the home appliance industry based on humanoid robotics.

In addition, they once again requested support to ensure the enactment of the "Special Act on the Construction of an Aerospace Convergence City" and the "Special Act on the Development of the Southern Coast Region" during this regular session of the National Assembly.

They also sought cooperation to ensure that as many key projects of Gyeongnam as possible are included in the 5th National Rail Network Construction Plan and the 2nd Comprehensive National Road Network Plan, as well as support for the expansion of metropolitan transportation networks to foster national strategic industries, relocation of key public institutions to Gyeongnam, and the attraction of the consolidated headquarters of power generation public enterprises to Gyeongnam Innovation City.

Moreover, they proposed institutional improvements to bolster local finance, raising concerns that the establishment of the Future Response Fund could worsen fiscal conditions for local governments.

Governor Park stated, "Many of the projects we are proposing fall under the defense, industry, and climate environment sectors; we ask for special attention from the relevant parliamentary committees and in the budget deliberation process to ensure that Gyeongnam’s key agenda items are properly reflected. The Province will also thoroughly review local issues raised by assemblymen to ensure they are reflected in both national and provincial budgets."

He added, "We are integrating artificial intelligence technologies into traditional industries and simultaneously developing small modular nuclear power and aerospace industries. We ask the National Assembly to support Gyeongnam in further enhancing its competitiveness, not only in traditional industries but also in cutting-edge sectors."

Gyeongnam Province will operate a "National Budget Securing Situation Room" in line with the parliamentary budget review schedule.

Through this initiative, the province plans to continue bipartisan cooperation and make every effort to ensure that major issues and its national budget for 2027 are maximally reflected in the final budget bill and government policies.

This content was produced with the assistance of AI translation services.