Utilizing ESS and Flexible Connections Instead of Unconditional Expansion of Transmission Lines

Tangible Outcomes: Transition to Electric Vehicles, Avoiding a Waste Crisis

Carbon Reduction Progress Falls Short of Expectations... "I Apologize

On October 1, the Ministry of Climate, Energy and Environment marked its first anniversary, and Minister Kim Sung-hwan cited power grid innovation, the transition to electric vehicles, and responses to the ban on direct landfill disposal of metropolitan waste as major achievements. On the other hand, he acknowledged shortcomings in reaching the targeted total volume of renewable energy.


That afternoon at the Government Complex Sejong, Minister Kim met with reporters and said, "It is up to the public, rather than myself, to evaluate the past year," as he outlined the policy implementation progress over the past year and explained upcoming tasks.

Kim Sung-hwan, Minister of the Ministry of Climate, Energy and Environment, held a meeting on the 1st at the Government Complex Sejong to mark the first anniversary of the Ministry of Climate. Ministry of Climate, Energy and Environment

Kim Sung-hwan, Minister of the Ministry of Climate, Energy and Environment, held a meeting on the 1st at the Government Complex Sejong to mark the first anniversary of the Ministry of Climate. Ministry of Climate, Energy and Environment

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Improvement of institutional framework toward 100GW of renewables… "Insufficient progress in total volume expansion"

He pointed to institutional improvements for expanding renewables and power grid innovation as the most significant achievements. The government has set a goal of securing 100GW (gigawatts) of renewable energy by 2030, with the current level at around 40GW. Minister Kim stated, "We have established the institutional foundation for expanding renewables by improving setback distance regulations, restructuring the Renewable Portfolio Standard (RPS), and introducing policies related to so-called solar income," adding, "Rather than simply increasing transmission lines, we are also promoting ways to enhance existing power grid utilization by leveraging energy storage systems (ESS) and flexible grid connections."


However, he admitted that visible expansion of the total volume of renewables remains a future challenge. Minister Kim said, "Solar installations are relatively quick, but even that takes at least six months to over a year," and projected, "From next year, there will be at least 10GW added in solar, and wind will also start to ramp up incrementally."


Given that a substantial amount of renewable energy connection capacity is currently pending in the Honam region, he forecasted a noticeable upturn in actual growth from next year. He described this by saying, "It's hard for the airplane to take off at first, but once it does, it will fly high and far." Regarding power grid innovation, he expected it could result in tens of trillions of won in cost savings. However, he clarified that the scale of savings initially presented is still a provisional estimate and that additional calculations are required. The idea is that costs can be reduced by deploying ESS and other equipment at the distribution, substation, and transmission levels, instead of building massive new transmission lines.


23% Electric Vehicle Share, Averted Waste Crisis… "Tangible Changes Felt by the Public"

For changes tangible to the public, the shift to electric vehicles was highlighted. By newly introducing subsidies for EVs and improving negative perceptions, the government has elevated the share of EVs among new cars this year to 23%. Minister Kim remarked, "When the adoption rate of a new product surpasses 30%, it psychologically becomes the mainstream," and emphasized, "It is a significant change that people's consideration for their next vehicle is now leaning toward electric cars."


He also mentioned building energy transition. Minister Kim said, "I recently proposed that new apartment consortia construct buildings without gas pipelines." While the dissemination of heat pumps using air, water, and geothermal energy remains low, he described a growing trend of reducing gas dependence and electrification in buildings. As an outcome experienced in daily life, he also cited Lovebug pest control. Minister Kim commented, "There used to be many Lovebugs around Gyeyangsan, but with anti-pest activities by agencies under the Ministry of Climate, the number of Lovebugs in the Seoul metropolitan area has decreased, thus reducing public inconvenience."


He also presented the government's response to the ban on direct landfill disposal of metropolitan waste as a major achievement. Minister Kim said, "As agreed with local governments in the Seoul metropolitan area, we have established policies to enforce the ban on the direct disposal of municipal solid waste at landfills from November," and noted, "Although there were some issues with waste being transferred to other regions such as Chungcheong, had we not responded proactively, it could have escalated into what is known as a 'waste crisis.'"

Kim Sung-hwan, Minister of the Ministry of Climate, Energy and Environment, held a meeting at the Government Sejong Complex on the 1st to commemorate the first anniversary of the Ministry of Climate. Ministry of Climate, Energy and Environment

Kim Sung-hwan, Minister of the Ministry of Climate, Energy and Environment, held a meeting at the Government Sejong Complex on the 1st to commemorate the first anniversary of the Ministry of Climate. Ministry of Climate, Energy and Environment

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Carbon Reduction Progress Falls Short of Expectations… "Meaningful Results Expected Next Year"

In contrast, the expansion of renewables and reduction of greenhouse gases were cited as areas where progress fell short. Regarding algal blooms, Minister Kim admitted, "Personally, I regret the lack of results on green algae countermeasures," and acknowledged, "There has been little progress this year," attributing this to climatic factors and insufficient rainfall. He also admitted that the pace of greenhouse gas reduction has not met targets.


Minister Kim remarked, "It is true that we were unable to achieve as much carbon reduction as originally targeted," adding, "I apologize." He named rising energy and gas prices following the Middle East war, as factors that made it difficult to accelerate the reduction of coal power generation. By operating coal-fired power plants that were originally slated for closure, there was a short-term setback in greenhouse gas reduction. He stated, "We need to both increase renewables and decrease coal usage, while also reducing emissions in industry, buildings, and transport," and reiterated, "We will proceed as planned with the nationally pledged carbon reduction commitments." However, he cautioned that if electricity demand rises more rapidly than expected due to artificial intelligence and semiconductor industry growth, there will be new variables in the reduction trajectory.


Minister Kim also acknowledged that expanding renewables alone will not be enough to reach carbon reduction targets. He stressed the importance of reducing coal-fired power and emissions in the industrial, building, and transportation sectors, and maximizing domestically achievable reductions. The government plans to summarize related content and report to the public early next year.


Adding a 15-meter Facility Beside the Existing Dongbok Dam Instead of Heightening

Concerning the water supply issue for the Honam semiconductor cluster, he explained that, instead of raising the height of the existing Dongbok Dam, a 15-meter-high facility would be added next to the current dam. Since the existing Dongbok Dam is constructed of gravel and earth, simply adding concrete is not safe, so a separate structure was chosen for safety reasons. Minister Kim said, "Due to safety concerns with the old dam, we are choosing to build an additional 15-meter-high facility—not an elevation—instead," and asked that the intent not be misunderstood, as the aim is to select the safest approach.


He projected that about 600,000 tons of water per day would be needed for the southwestern semiconductor cluster. Considering the water conditions of Yeongsan River and Seomjingang River basins, existing dams, and sewage reuse in Gwangju City, he judged there would be sufficient water for four semiconductor fabs. As for the issue of managing the Four Major Rivers' weirs, related research is underway and is expected to conclude around October. He noted that although the Geum River, due to its longer period of weir opening, has a relatively rich set of data on ecosystem changes, such data remain insufficient for the Yeongsan, Nakdong, and Han rivers following full weir opening.


Regarding the expansion of nuclear power, he stated that this falls under the Ministry of Trade, Industry and Energy, drawing a line against giving detailed answers. However, he noted that nuclear power plant construction cannot be simply compared between South Korea and the United States, as each country's power industry workforce and business capabilities differ.

Kim Sung-hwan, Minister of Climate Energy and Environment, is holding a meeting at the Government Complex Sejong on the 1st to commemorate the 1st anniversary of the Ministry of Climate Energy and Environment. Ministry of Climate Energy and Environment

Kim Sung-hwan, Minister of Climate Energy and Environment, is holding a meeting at the Government Complex Sejong on the 1st to commemorate the 1st anniversary of the Ministry of Climate Energy and Environment. Ministry of Climate Energy and Environment

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Exploring Exclusive Electricity Rate Plans for AIDC

On electricity rate reform, he suggested a direction that takes into account industrial competitiveness while ensuring generation costs are not shifted to other citizens. In particular, he revealed that the ministry is considering the introduction of a special power rate plan exclusive to Artificial Intelligence Data Centers (AIDC). Minister Kim said, "We will design the policy considering Korea Electric Power Corporation's (KEPCO) investment cost issues and AIDC characteristics," and "The burden arising from KEPCO's investment costs or deficits will not increase the burden on other citizens."



He also acknowledged that integration between environmental and energy policy following the launch of the Ministry of Climate has yet to be fully achieved. While personnel from the Ministry of Environment and the Ministry of Trade, Industry and Energy have been appointed appropriately and fairness has been emphasized in staffing, challenges remain in the course of organizational integration. Minister Kim presented three key tasks for the Ministry: responding to the climate crisis, adapting to power demand in the age of artificial intelligence, and ensuring electricity rate competitiveness. He stressed that achieving all three—expanding renewables to lower power prices, strengthening the competitiveness of the domestic solar industry and related sectors, and delivering carbon reductions—will be the Ministry's mission. He concluded, "South Korea must solve these three puzzles simultaneously," and, "We must drive an energy transition that addresses the climate crisis, prepares for the age of artificial intelligence, and ensures competitiveness in electricity pricing."


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