Fare Increase Ends... Power Supply Plan Launched to Prepare for Blackout This Summer

As the government finalizes the decision to raise electricity rates in the second quarter, it has begun formulating strategies to prepare for blackouts due to the early heatwave this summer.

According to the Korea Power Exchange on the 18th, the first meeting of the summer electricity supply and demand expert advisory task force (TF) was held at the Seoul Power Infrastructure Center. The TF is a forum where experts from the Ministry of Trade, Industry and Energy, Korea Power Exchange, Korea Electric Power Corporation, and academia discuss annually the setting of the summer electricity supply and demand countermeasure period, as well as forecasts of peak power demand and supply capacity.

On the 28th, as the daytime temperature in Seoul rose to 34 degrees Celsius, the heatwave continued. Citizens in Myeongdong, Jung-gu, Seoul, are shading themselves from the sun with parasols. Photo by Jin-Hyung Kang aymsdream@

The government expects that the peak power demand this summer is likely to exceed last year's forecast, considering the early heatwave and the economic recovery trend in the second half of the year. Last year, the peak power demand in the second week of August reached 95.7 GW (gigawatts), and the reserve margin was forecasted to be at least 5.2 GW during the same period. Generally, the margin for stable power supply is considered to be a reserve power of 10 GW and a supply reserve ratio of 10%. If the reserve power falls below 5.5 GW, the electricity supply and demand emergency stage is triggered.

The problem is that due to abnormal weather every year, nationwide heatwaves are occurring earlier and lasting longer than expected. In fact, last summer, the peak power demand exceeded 92.9 GW in early July, a month earlier than the government's forecast, and the power supply reserve sharply dropped to 5.2 GW (reserve ratio 7%). This was the lowest in five years and raised the possibility of issuing a power supply and demand warning for the first time in nine years since 2013. The peak power demand decreased from 92.5 GW in 2018 to 89.1 GW during the COVID-19 period in 2020 but set a new record last summer.

While power demand continues to rise steadily, the supply capacity remains at last year's level, which is also a cause for concern. According to the Monthly Electricity Statistics Report, the supply capacity in August, when the average power demand peaked last year, was 100.6 GW, similar to 100.7 GW in 2021. The stagnation in supply capacity is attributed to delays in power supply caused by the previous government's nuclear phase-out policy.

In fact, the operation permit for Shin Hanul Unit 2, which was scheduled for commercial operation in 2018, has been delayed for five years, making its operation this summer uncertain. According to Korea Hydro & Nuclear Power, the construction progress of Shin Hanul Unit 2 was 99.6% as of March, but it has yet to receive an operating license from the Nuclear Safety and Security Commission. Since commissioning remains, it is practically difficult for the unit to enter commercial operation this summer.

Accordingly, the government is also considering advancing this year's "summer electricity supply and demand countermeasure period" compared to last year, taking into account weather and power supply and demand. Advancing the countermeasure period would allow for an increase in power plant operation rates. Additionally, the government plans to secure additional reserve resources for stable power supply and expand energy demand reduction measures centered on public institutions. Measures include monitoring energy use such as compliance with appropriate indoor temperatures and partial lighting shutdowns in public institutions, and implementing additional energy-saving measures such as sequential suspension of air conditioners during power supply and demand crises.

Professor Yoo Seung-hoon of the Department of Future Energy Convergence at Seoul National University of Science and Technology said, "The recent power supply reserve ratio of 5% corresponds to the capacity of about 10 liquefied natural gas (LNG) power plants, so unless multiple problems occur simultaneously, preparations for stable energy supply during the summer are expected to be possible."

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