South Korea, Asia’s fourth-biggest oil consumer, plans to promote the import, production and sale of bio and other alternative fuels to help curb oil demand, the energy ministry has said.

Energy-deficient South Korea, which has to import all of its crude needs, is trying to reduce its heavy reliance on imported oil in a bid to lower its exposure to fluctuations in global oil prices.
The country imports more than 70 per cent of its crude oil from the Middle East.
From 2006, South Koreans would be allowed to import, produce and sell alternative fuels, including liquefied coal, orimulsion and bio-fuels, the ministry said.
“These alternative fuels were not covered by petroleum laws, so suppliers were reluctant to market them aggressively due to fears about incurring penalties,” said a ministry official.
“Consumers have also been reluctant to buy these fuels as they
were unsure about their legal status,” the official added.
Bio-fuels, which are derived from ethanol and gasoline, can be used to fuel cars, while orimulsion, a mixture of extra-heavy crude and water, can be used in power plants instead of fuel oil.
The official said that liquefied coal could also be used as a car fuel.