[Series] "Abundant Renewable Energy, Vast Sites"... Where Will the RE100 Industrial Complex Go in South Jeolla?

Government pushes for industrial complexes powered 100% by renewable energy
Corporate interest is growing, but renewable energy procurement remains difficult
Southwestern South Jeolla, rich in renewables, emerges as a prime candidate region
Muan, Haenam, Hampyeong, Yeongam, Sinan, and Suncheon vie to attract RE100 complexes

As the administrative integration of Gwangju and South Jeolla Province moves forward, local governments in South Jeolla are locked in fierce competition to attract an RE100 industrial complex, one of the central national policy tasks of the government. Local governments in the southwestern part of South Jeolla, which boast strengths such as abundant renewable energy supply and large, low-cost industrial complex land, are also improving accessibility and building external support systems, drawing attention to where the RE100 complex will ultimately be located.

According to the central government and South Jeolla Province on February 3, the Ministry of Trade, Industry and Energy has set up a pan-ministerial task force to enact a "Special Act on RE100 Industrial Complexes," with the goal of beginning full-scale development this year and operating a global leading RE100 industrial complex by 2030.

An RE100 industrial complex refers to an industrial complex in which the electricity used by tenant companies is procured using renewable energy sources such as solar and wind power that do not emit greenhouse gases. The creation of RE100 industrial complexes is also one of the key national policy tasks of the Lee Jae-myung administration for transforming the industrial structure toward renewable energy and promoting balanced regional growth.

Interest in RE100 among domestic companies is rising sharply. As of 2022, there were only 39 RE100 companies, but by the end of last year, 183 domestic companies had joined the global RE100 initiative. These are companies, mainly export-oriented conglomerates and financial groups, that have set a goal of converting 100% of the electricity they use to renewable energy such as solar and wind power by 2050.

Number of RE100 member companies is rising... but poor procurement conditions lead to low implementation rates

However, because domestic conditions for procuring renewable energy are poor, most companies have an implementation rate of only 0–30%. In fact, according to the "RE100 Annual Report 2024" by the Climate Group and the Carbon Disclosure Project (CDP), cited by the Federation of Korean Industries, 70 out of 183 domestic RE100 member companies (38.3%) experienced difficulties in procuring renewable energy last year.

For this reason, areas such as Saemangeum in North Jeolla, South Jeolla Province, and Ulsan, which are well-positioned to supply power using renewable energy resources, are being mentioned as candidate sites for RE100 industrial complexes. The Special Act on RE100 Industrial Complexes sets out the necessary provisions for continuously promoting policies to expand renewable energy, supplying eco-friendly power and industrial sites, attracting high-potential growth industries, and creating environmentally friendly energy cities.

This year the government decided to invest a total of 4.2 trillion won in the development of RE100 industrial complexes and the construction of next-generation power grids, a 50% increase from last year. It will build the power grid needed for RE100 complexes and foster the next-generation power grid industry through demonstration projects for microgrids, which are small-scale intelligent power grids that produce, store, and consume electricity on their own.

Intense competition among South Jeolla local governments to attract RE100 complexes

Against this backdrop, competition within South Jeolla Province to attract an RE100 industrial complex is intense. In connection with the relocation project for Gwangju's civil-military airport, the Office of the President is known to have proposed "creating an RE100 industrial complex worth about 2.6 trillion won near Muan Airport as an incentive for relocating the Gwangju military airport."

Accordingly, Muan County plans to create a 1.06 million-pyeong national RE100 industrial complex worth 760 billion won and use it to attract anchor companies in advanced industries such as energy, secondary batteries, and semiconductors. The flat land of about 5 million pyeong near Muan International Airport, along with additional expandable sites, is evaluated as a long-term industrial base that can link semiconductor fabrication plants with materials, parts and equipment, research and development, and back-end processes. In addition, the county is reviewing operating conditions that combine environmental and industrial considerations, including improved accessibility to the Seoul metropolitan area following the opening of the Honam High-Speed Railway (KTX) in 2027, securing industrial water by utilizing the Yeongsan River water system, and the potential application of a zero-liquid-discharge (ZLD) system.

In addition, local governments in the southwestern part of South Jeolla, including Hampyeong County, the Haenam Solaseado Enterprise City, the Daebul National Industrial Complex in Yeongam, Aphaedo in Sinan, and Suncheon City, are all vying to attract the project.

Conceptual rendering of the Hampyeong RE100-based national semiconductor industrial complex. Provided by Hampyeong County.

Hampyeong County has secured a large site of about 1 million pyeong within the Bitgreen National Industrial Complex, which is advantageous for concentrating semiconductor-related industries. Compared to the Seoul metropolitan area, land supply prices are also reasonable, reducing the initial investment burden for companies. In addition, an industrial water supply system that links the wide-area water supply network with local water resources has been established, and this is evaluated as sufficient to meet the demand of semiconductor processes, which consume massive amounts of water.

At the Haenam Solaseado Enterprise City, a 98 MW solar power complex is currently in operation, and there are plans to expand total capacity to 5.4 GW by 2030. In addition, an offshore wind capacity of up to 12.3 GW in the vicinity can be utilized. The area also has the potential to build a power self-sufficient smart grid and to integrate it with data centers and AI industries.

At the Daebul Industrial Complex in Yeongam, a project is underway to invest about 33.2 billion won between 2024 and 2026 to install solar and wind power generation facilities and energy storage systems (ESS). At Daebul Industrial Complex, it is expected that 21 GWh of renewable energy per year can be supplied through solar and wind power, energy storage systems, charging stations, and water electrolysis.

Sinan County currently produces 698,000 MWh of electricity per year from renewable energy, achieving a power self-sufficiency rate of 228% and a renewable energy self-reliance rate of 99.8%. On Aphaedo in Sinan, there are plans to build a large-scale offshore wind power complex with a total capacity of 8.2 GW off the coast of Sinan County in South Jeolla Province by 2030.

Suncheon "RE100 Semiconductor Attraction Complex" bird's-eye view. Provided by Suncheon City.

Suncheon City has also taken preemptive action to attract a national RE100-based semiconductor industrial complex in line with the enactment of the special act. The city plans to use this special act as an opportunity to flesh out its strategy for developing an "RE100 Semiconductor National Industrial Complex." Suncheon envisions creating an eco-friendly semiconductor industrial complex by leveraging its renewable energy base.

Suncheon City has also appointed eight advisors for attracting the RE100 semiconductor national industrial complex and has entered the competition in earnest. These advisors will review and provide expertise on complex issues such as power, water, site conditions, renewable energy, and environmental factors that are necessary to build a semiconductor industrial ecosystem. After raising the issue of attracting a national semiconductor industrial complex with South Jeolla Province on January 7, the city has been accelerating its efforts by launching a task force and creating a dedicated semiconductor team in its organizational structure.

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