Report

Institute for Future Strategy, Seoul National University — Carbon Neutrality Cluster
“Trends and Policy Implications of Carbon Neutrality R&D in Major Countries”

Climate change threatens sustainable human development, and the transition toward a carbon-neutral society has become an urgent global task. This study analyzes the R&D policy trends of the United States, the EU, and Japan in depth, comparing their funding mechanisms, budget allocation principles, and R&D priority-setting criteria. It aims to identify each country’s goals, strategies, and investment scales, and to provide practical policy implications for Korea’s carbon neutrality R&D policy. As climate change emerges as a key element of national security and industrial competitiveness, major countries are concentrating their policy capacity on strengthening technological innovation for carbon neutrality.

The EU is building a mission-oriented R&D system through the European Green Deal and Horizon Europe, and enhances transparency and accountability in climate investment through green budgeting. The United States, led by the OSTP and NSTC under the White House, designates carbon-neutral technology as a national strategic pillar and promotes both technological innovation and market diffusion. Its financial support is differentiated by Technology Readiness Levels (TRLs), focusing on market-based designs that attract large private investment. Incentives such as tax credits and purchase guarantees support early market formation and demand creation. Joint funding mechanisms between federal and state governments also foster regional commercialization ecosystems.
Japan, through its 6th Science, Technology and Innovation Basic Plan, defines carbon neutrality as a national strategic task. The CSTI coordinates all R&D projects, while ministries and agencies execute them collaboratively. Japan seeks to combine technology development with social acceptance and system transition through cooperation among local governments, industry, and academia under central strategic coordination.

Overall, major countries show that carbon neutrality R&D is designed as a mission-oriented structure that guides transformation across society. Tailored financial support by technology maturity, strategic linkage among science, finance, and policy, and public–private co-investment and market connection mechanisms are key elements of carbon neutrality R&D policy design. This study offers practical insights for Korea’s own technology innovation policy.

Keywords:
Carbon neutrality, climate change response, R&D policy, technological innovation, mission-oriented R&D, green budgeting, TRLs, public–private cooperation, energy transition