[2020 National Audit] Kim Jong-gap "No Way for KEPCO to Supply New and Renewable Electricity Cheaply Without Participating in Power Generation"

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[Asia Economy Reporter Moon Chaeseok] "Private companies or Korea Electric Power Corporation's (KEPCO) power generation subsidiaries can engage in (new and renewable energy projects), but I believe KEPCO itself should not. However, our goal should be to provide consumers with clean, high-quality electricity at affordable prices. Even a company twice the size of KEPCO has failed to properly develop the Sinan offshore wind power project. It has been over 12 years without progress. I don't think there is a way to supply electricity made from new and renewable energy to the public more cheaply without KEPCO's involvement."

On the 15th, KEPCO President Kim Jong-gap made these remarks during the National Assembly's Industry, Trade, Energy, Small and Medium Business Committee (Sanjoongwi) audit when asked about KEPCO's participation in new and renewable energy power generation projects.

This statement came amid the submission of a bill (commonly called the 'Balpan Concurrent Business Act') by Song Gap-seok, the ruling party's secretary of Sanjoongwi, in July, which grants KEPCO authority over new and renewable energy power generation.

Han Mu-kyung, a member of the People Power Party, pointed out, "KEPCO says it will only participate in large-scale facilities over 40MW, but the structure of the new renewable energy power generation market has changed significantly since its early days, making it difficult to classify projects over 40MW as large-scale."

Han argued, "KEPCO claims various reasons for participating in power generation projects, but in my view, there is a high probability it will degenerate into a monopoly market similar to the private sector."

She further questioned, "KEPCO faces many issues with energy system connections, and if KEPCO monopolizes instead of the private sector, the government will have to provide subsidies for each technological development. Shouldn't we support private sector independence to globalize?"

President Kim responded, "Private companies or KEPCO's power generation subsidiaries can engage in (new and renewable energy power generation), but I believe KEPCO itself should not," adding, "(However) our goal is to provide consumers with clean, high-quality electricity at affordable prices."

Kim also said, "Before becoming KEPCO president, I participated in the development of Sinan offshore wind power, but even a company twice the size of KEPCO could not complete the development," and added, "I think there is no way to supply electricity more cheaply to the public without KEPCO's involvement."

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