Assemblyman Kim Won-yi Proposes Amendment to the Electric Utility Act

“Addressing Permitting Gaps, Expanding Renewable Energy Expected”

Won Lee, Member of the National Assembly.

Kim Won-yi, a member of the Democratic Party of Korea (Floor Leader of the Industry Committee, Mokpo City), has sponsored the “Partial Amendment to the Electric Utility Act” to address gaps in the permitting process for power generation projects and to close legal loopholes regarding unauthorized stock acquisitions.

Under the current Electric Utility Act, only changes to power generation facility capacity exceeding 10% require approval, leading to ongoing criticism that changes of 10% or less are not adequately regulated. The amendment addresses this by institutionalizing a reporting system for facility modifications within the 10% threshold.

Additionally, although current law requires approval for stock acquisitions that affect management rights, there has been a legal loophole with no sanctions for unauthorized acquisitions. The amendment introduces clear sanction provisions to enhance transparency in the governance structure of electric utility operators.

Furthermore, for cases where power generation facilities are acquired through auctions or similar means, the amendment revises the process so that notifications are made to local governments or other permitting authorities, rather than the Minister of Trade, Industry and Energy, thereby streamlining and unifying the permitting system.

In response to concerns that permitting information for power generation projects is dispersed across agencies, making status tracking and post-management difficult, the amendment also establishes the basis for a unified permit management system. This will enable a one-stop management system from application to issuance.

Assemblyman Kim emphasized, “As the power generation sector is expected to expand further, ensuring transparency and efficiency in the permitting process is essential. This amendment will address legal gaps and serve as a foundation for expanding renewable energy and enhancing trust across the entire power industry.”

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