Governor Woo Sangho: "Negotiating AI Data Centers with KT in Wonju and Shinsegae in Chuncheon"

Governor Woo Holds Regular Press Briefing
Gangneung SK Data Center Attraction Policy Remains Firm
Secured 11.123 Trillion Won in National Funds; Highlights Achievements in Expanding Border Region Investments
"Second Phase of Public Agency Relocation to Focus on Wonju Innovation City"
Comprehensive Audit Ordered for Subsidiaries' Business Expenses

Woo Sang-ho, Governor of Gangwon Special Self-Governing Province, stated on the 7th, "We are in discussions with KT regarding the construction of an AI data center in Wonju, and we are also negotiating investments with Shinsegae for the Chuncheon Water-Energy Convergence Cluster." He also reaffirmed that "our intention to attract SK Group’s AI data center in Gangneung remains unchanged."

Euisuho, Governor of Gangwon Province, is holding the September regular press briefing on the 7th in the small conference room of the new building at the Gangwon Provincial Office. Provided by Gangwon Province

At the September regular press briefing held in the small conference room of the new Gangwon Provincial Government Office building on the same day, Governor Woo said, "Major companies are now beginning to invest and large-scale tourism developments are getting underway in Gangwon Province."

This is the first time since his inauguration that Governor Woo has publicly revealed the names of companies currently in negotiations for corporate attraction projects. "Although nothing is finalized yet, I am disclosing what I can at this stage," he explained. "We are discussing with KT the construction of an AI data center in Wonju, and Shinsegae has shown interest in investing in the Chuncheon Water-Energy District," he added.

However, Governor Woo explained that in Chuncheon’s Water-Energy District, the Ministry of Land, Infrastructure and Transport’s regulations—which require a draw if multiple companies wish to enter—are acting as an obstacle to attracting investment. "Large corporations are uncomfortable with a random draw system determining the business operator," he said. "Together with Chuncheon Mayor Yuk Dong-han and National Assemblyman Heo Young, we are requesting system improvements from the Ministry so that operators can be selected through evaluation," he explained.

Regarding the SK AI data center project in Gangneung, the key issue has been the power supply. The main challenge is the difficulty in quickly establishing a 1-gigawatt (GW) power supply facility in Gangneung, which SK hopes to secure.

Governor Woo reiterated, "Gangwon Province’s commitment to hosting SK’s AI data center in Gangneung remains firm. We are continuing consultations with the Presidential Office, relevant ministries, and Korea Electric Power Corporation." He added, "We are discussing with SK how to adjust the project’s scale in line with Gangneung's power supply conditions and how to attract appropriate major global tech companies."

Governor Woo drew a clear line regarding attracting data centers purely for their own sake. Priority will be given to projects that involve both domestic conglomerates and major global tech companies.

He noted, "If only foreign firms or investment funds build data centers, the local benefit may be limited. When domestic conglomerates are involved, we can establish shared growth agreements with Gangwon's small and mid-sized companies, encourage local talent recruitment, and prompt additional investments by their affiliates."

Governor Woo cited securing 11.123 trillion won in government funding in the national budget bill as the top achievement since the launch of the 9th popularly elected administration. This figure is 423 billion won more than initially targeted by Gangwon and represents an 8.4% increase over the final amount secured for this year. Among this, 1.2094 trillion won is earmarked for projects fulfilling the 9th administration’s campaign promises.

He stated, "This is the central government properly responding to the promises I made with our residents," adding, "We will work to prevent any budget reductions during the National Assembly’s review process and will also push for further increases."

On the 14th, Kim Min-seok, leader of the Democratic Party of Korea, along with party leadership, plans to visit Gangwon Province to hold an on-site Supreme Council meeting and a budget policy conference. During this event, Gangwon Province will request national funding for local projects that were not sufficiently included in the national budget proposal.

Woo Sangho, Governor of Gangwon Province, is holding the regular September press briefing on the 7th at the small conference room in the new building of the Gangwon Provincial Government. Provided by Gangwon Province

He assessed that the easing of military regulations in border areas is leading to increased private investment. In Goseong, the Haesolia Tourist Complex is being developed with 500 billion won in private funds, featuring 980 rooms on a site of approximately 730,000 pyeong. The province expects that once the resort is completed, it will attract 1.1 million tourists annually and create 1,272 jobs.

Governor Woo said, "The fact that 500 billion won in private investment is coming into Goseong, which is the closest area to the armistice line, signals a turning point for the future of the border region," and added, "With the height restrictions lifted around Yeongrang Lake in Sokcho, large-scale tourist accommodations are also planned."

He also highlighted Gangwon’s success in passing nine projects in the 6th National Highways and Nationally Supported Local Roads Construction Plan preliminary feasibility study—second only to South Gyeongsang Province, which had ten. Projects that were not approved will be either re-submitted as non-preliminary feasibility projects or revised to improve their economic viability before being pushed again.

Regarding the second phase of relocating public agencies to the provinces, Governor Woo reaffirmed the principle of focusing on Wonju Innovation City. Although local governments in the Yeongdong region are seeking to attract agencies, he noted that under government policy, the possibility of relocating them to areas other than innovation cities is low.

He emphasized, "The President has set clear criteria for moving public agencies only to established innovation cities. Efforts by local mayors or governors are unlikely to change the designated locations."

He further said, "We must say no when things are not possible, and yes when they are. If a public agency is relocated to a specific area, we will put in place concentrated support measures for other regions to reduce any sense of exclusion." He also plans to soon meet with the heads of the 13 public agencies in Wonju Innovation City to discuss ways they can contribute to the local economy.

Regarding the recent controversy over business operation expenses at provincial subsidiaries and affiliated organizations, Governor Woo announced that he had instructed a comprehensive investigation. This comes after media reports alleged inappropriate or lax use of such funds by some agency heads.

"Using business operation funds for personal expenses or in violation of regulations is a serious problem," Governor Woo stated, adding that he would consider appropriate action if any wrongdoing is confirmed by the investigation. He also pledged to enact an ordinance during his term to align the terms of office between the governor and the CEOs of subsidiary and affiliated organizations.

Addressing the conflict between Gangneung and Chuncheon over the home venue for Gangwon FC home games, Governor Woo reiterated the possibility of reviewing a plan to split home games between the two cities.

"The concerns of supporters about procedural issues are valid, but resolving deep-seated regional conflict is more important," he said. "Gangwon FC needs to become a club loved by the whole province, not just one city." He also shared that the discussion on retaining manager Jung Kyungho is progressing positively.

For public hospitals experiencing management difficulties, Governor Woo announced a policy of distinguishing between losses resulting from essential public healthcare services and deficits due to lax management, with support targeted accordingly.

Usangho, the governor of Gangwon Province, is holding the regular September press briefing on the 7th at the Small Conference Room of the New Building of the Gangwon Provincial Government Building. Provided by Gangwon Province

He explained, "Deficits unavoidably incurred while providing essential medical services should be fully covered by the province, but losses arising purely from lax management cannot be unconditionally compensated. We will pursue precise assessments and institutional improvements to enhance both public interest and productivity."

Regarding the local self-employed debt, which has surged to over 25 trillion won, Governor Woo said the province will implement customized support linking finance, employment, and welfare. Recently, Gangwon Province signed agreements with the Financial Services Commission, Korea Inclusive Finance Agency, and Shinhan Bank to establish a support framework for vulnerable groups who have difficulty accessing institutional finance.

He stated, "Unless we reverse the trend of a declining population and rising self-employment, fundamental solutions are difficult to achieve. We will revitalize the local commercial sectors through tourism investment and stimulating consumption, and provide opportunities for self-employed individuals in crisis to make a comeback."

This content was produced with the assistance of AI translation services.