The long controversy surrounding the usage of diesel-powered passenger cars has finally ended, as the government decided to allow the sale of these kinds of vehicles in the domestic market beginning from 2005.

During the Economic Policy Coordination Meeting held in Cheong Wa Dae on March 27, 2003, the government made a final decision to adjust the emission standards of diesel powered vehicles to match the level of the European Union, and allow sale of EURO-3 emission standard vehicles in 2005, and EURO-4 standard vehicles from 2006.

Some of the key points of this measure include 50% reduction in special consumption tax for EURO-4 emission standard vehicles during the year 2005, provide systematic framework for promoting the supply of CNG, LPG vehicles, development of electric and hybrid electric vehicles, and the creation of the special task force team for legislating special measure on air quality improvement in Metropolitan areas.

The Ministry of Environment plans to revise the Clean Air Conservation Act and its Enforcement Decree by the end of June, 2003, with the key points added in the measure.