Seoul, Feb 6 (IANS): A bill on promoting the carbon capture, utilisation and storage (CCUS) industry will take effect this week, the government said on Thursday, amid growing demand for eco-friendly technologies to tackle climate change.

The bill on supporting the development of CCUS technologies and fostering the industry will take effect Friday, according to the Ministry of Trade, Industry and Energy, reports Yonhap news agency.

The ministry said the bill stipulates the process for CCUS, such as designating a location candidate for ocean carbon sinks and operating such facilities, as well as support measures for businesses in the industry.

"With the implementation of the CCUS bill, the government has laid the administrative and financial grounds for fostering CCUS technology and industry development, as well as carrying out the country's nationally determined contribution for 2030," a ministry official said.

South Korea has pledged to reduce its greenhouse gas emissions by 40 percent from the 2018 levels by 2030 and reach carbon neutrality by 2050.

Meanwhile, the government will spend 129.3 billion won ($88.6 million) this year to support projects aimed at developing technologies that will help achieve carbon neutrality and ensure a stable supply of energy, the industry ministry said.

The projects include developing technologies related to renewable energy, such as next-generation solar power and hydrogen power, and the efficient operation of nuclear power plants as part of efforts to help South Korea achieve net zero carbon emissions, according to the Ministry of Trade, Industry and Energy.

South Korea has pledged to reduce its greenhouse gas emissions by 40 percent from the 2018 levels by 2030 and reach carbon neutrality by 2050.

Part of the funds will also be funnelled into enhancing stability in the nation's energy supply amid soaring demand for electricity sparked by the development of artificial intelligence (AI) and other cutting-edge technologies, as well as climate change.