The government is taking steps to establish a power supply network to meet the electricity demand exceeding 20 gigawatts (GW) for semiconductor industrial complexes in Honam and Yongin. Starting in 2029, an initial supply of 3GW will be provided to the Honam complex, while Yongin will see the construction of liquefied natural gas (LNG) power plants and transmission lines along the East Coast to address a projected demand of over 14GW by 2041.
On August 12, the Climate Energy Environment Ministry held a 'Power Supply Agreement Ceremony for the Honam and Yongin Semiconductor Mega Project' at the Korea Electric Power Corporation's Gyeongin Construction Headquarters in Seoul.
During the ceremony, the ministry, along with the Gwangju-Jeonnam Integrated Special City, Samsung Electronics, SK Hynix, and Korea Electric Power Corporation (KEPCO), signed three agreements: one for the Honam complex and two for the Yongin national and general industrial complexes.
The expected power demand for the Honam complex is over 6GW. To accommodate the needs of businesses, the government plans to establish the first phase of power supply facilities capable of providing approximately 3GW starting in 2029, allowing initial fabs to begin operations. A second phase will further expand the power supply capacity to over 6GW.
In the first phase, a transmission line branching from the Sinjangseong-Shingwangju line will be constructed to connect to the complex, along with one substation within the complex. The second phase will add another substation and new supply lines, with specific configurations to be finalized after technical reviews and consultations with businesses and relevant agencies.
The costs for the first phase of power supply facility construction will be shared between public and private sectors. Some private contributions will be supported by national finances under the recently enacted 'Special Semiconductor Act.' The Gwangju-Jeonnam Integrated Special City has committed to expediting the necessary permits for the construction of transmission lines and substations.
In Yongin, the national and general industrial complexes are expected to generate over 14GW of power demand by 2041.
This agreement ceremony also included modifications to parts of the power supply agreement for the Yongin general industrial complex signed in November 2024, as well as a new agreement for the second phase of power supply for the Yongin national industrial complex.
The Yongin national industrial complex will receive power for a total of six semiconductor fabs in phases by 2041. Initially, by 2032, a short-distance transmission line will be constructed near the complex, along with three LNG power plants with a capacity of 1GW each to meet early demand. These LNG plants will replace aging coal power generation.
By 2035, the capacity of existing transmission lines will be increased to meet additional demand. Ultimately, plans are in place to establish transmission lines to bring power from the East Coast and central regions to Yongin.
For the Yongin general industrial complex, initial power will be supplied through a transmission line connecting the newly completed Sinanseong substation and Dongyongin substation, which was completed in July this year. In 2031 and 2032, nearby lines and East Coast supply lines will be constructed ahead of schedule.
Climate Minister Kim Seong-hwan stated, "The key to the success of the semiconductor mega project is rapid power supply," adding, "The government, businesses, and local communities will work as one team to drastically shorten administrative procedures and ensure timely power supply in line with the construction of new industrial complexes."
KEPCO President Kim Dong-cheol emphasized, "We will concentrate all our capabilities to ensure timely power supply in line with the increasing power demand from businesses."
* This article has been translated by AI.
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