By Na Jeong-ju
Staff Reporter

The Office of the Prime Minister launched a 23-member ad-hoc committee composed of senior government officials and experts from the private sector, Monday, to map out plans to transform Sejong City into an industrial complex.

The move came as opposition parties are seeking to create a united front to thwart the amendment.

Song Suk-ku, president of Gacheon University of Medicine and Science, was named to co-chair the panel, along with Prime Minister Chung Un-chan.

Song, 69, worked as a member of the presidential transition committee in early 2008 to advise then President-elect Lee Myung-bak on policy planning. He was the honorary chairman of the Busan-based Kukje Daily and president of Dongguk University.

The committee is tasked to set up alternative development plans for Sejong City in close coordination with business associations, institutes and the governing Grand National Party (GNP).

Last week, Chung indicated the government would drop the initial plan to relocate nine ministries and four other government agencies to Sejong and instead build an industrial belt on the site. A finalized development plan will be made public as early as next month.

"We need to move quickly to produce the alternative plan. We don't have much time," Chung said during the panel's first meeting. "We should create a city that we can proudly show to our descendents."

The government plans to attract corporate giants, institutes and universities to the envisioned area in South Chungcheong Province to make it a self-sufficient industrial city with a population of 500,000.

Lotte Group, the country's eighth-largest conglomerate, has expressed its intention to relocate the headquarters of at least three of its 54 subsidiaries to Sejong if it becomes an industrial city, according to the prime minister's office.

Seoul National University, Korea University, KAIST and Chung-Ang University are also considering setting up branch schools there, the office said.

A government official said 100 local and foreign firms have been contacted for possible investments in Sejong City. A memorandum of understanding was signed with an Austrian solar energy module producer for a possible $120 million investment. But the talks are deadlocked due to tax issues.

Hynix is considering an investment of 140 billion won but its plan is also pending state assistance in the construction of an industrial water storage facility, he added.

Hyosung has contacted the government about a possible relocation of its solar energy research institute to the city. Also, German firm Q-Cell is considering investment there.

But Chung added that no negotiations have been finalized, saying that all the deals are in the discussion stage.

jj@koreatimes.co.kr