SK On Utilizes Recycled Batteries for Power Supply at Construction Sites

Korea Electrical Safety Corporation, SK Ecoplant, and KD Power Sign Four-Party MOU
Operate Temporary Power at Construction Sites Using ESS Built with Reused Batteries

[Asia Economy Reporter Hwang Yoon-joo] SK On has decided to create an 'eco-friendly energy storage system (ESS)' using batteries from electric vehicles.

On the 29th, SK On announced that it signed a four-party agreement with Korea Electrical Safety Corporation, SK Ecoplant, and KD Power Co., Ltd. at the SK Seorin Building in Jongno-gu, Seoul, to build and operate an ESS using reused batteries at construction sites.

SK On will build an ESS with KD Power using batteries collected from scrapped electric vehicles, and over the next two years, SK Ecoplant will install and jointly operate the ESS at temporary power facilities at an apartment complex construction site in Anyang, Gyeonggi Province. Korea Electrical Safety Corporation will conduct regular safety inspections of the installed reused ESS and prepare detailed technical standards to expand the ESS industry using reused batteries in the future.

This agreement is based on the judgment that building an ESS by reusing batteries is environmentally friendly and useful for construction sites where power peak charges apply. Electricity costs at construction sites are high, and additional charges are imposed if instantaneous power usage exceeds a certain level.

SK On and SK Ecoplant recently obtained regulatory exemption approval from the Ministry of Trade, Industry and Energy to build an ESS using reused batteries, enabling them to pilot an ESS made from reused batteries.

During this demonstration period, SK On will collect real-time ESS operation data and jointly analyze it with the four parties to verify performance and safety. This is to lay the groundwork for developing the ESS using reused batteries into a BaaS (Battery as a Service) business model.

SK On is a core affiliate of SK Innovation, which is transitioning from petrochemical business to eco-friendly industries under the 'Carbon to Green' vision. The reused ESS is expected to create differentiated eco-friendly value, especially since it is made from batteries collected from end-of-life vehicles.

Son Hyuk, Head of SK On's e-Mobility Business Division, emphasized, "Through this four-party cooperation, we have established a BaaS model in the battery reuse business area that can create eco-friendly resource circulation value," adding, "Next year, we will also expand various pilot services with global partners centered on eco-friendly ESS."

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