South Korea says it targets to achieve its 2030 target of 100 GW of renewable capacity ahead of schedule
The government plans to phase out 60 operational coal-fired power plants by 2040
Policy reforms will support distributed grids, energy storage, and citizen participation in renewable projects
South Korea’s Ministry of Climate, Energy and Environment says it aims to achieve the country’s 2030 target of 100 GW renewable energy deployment, driven by solar, ahead of schedule. It also plans to phase out 60 operational coal-fired power plants by 2040.
These targets form part of the ministry’s Energy Transition Promotion Plan, which has now been submitted to the Cabinet. It aims to reduce the country’s dependence on fossil fuels and boost electrification centered on renewable energy in the wake of the crisis in the Middle East.
“With existing energy security strategies, such as diversifying crude oil imports, no longer effective due to recent conflicts in the Middle East, it is time to establish a new energy security system capable of drastically reducing dependence on energy imports by expanding domestically produced energy, including renewable energy,” stated the ministry.
It added, “Furthermore, electricity demand is skyrocketing due to the proliferation of AI data centers and physical AI, as well as increased investment in advanced strategic industries, necessitating preparation for this as well.”
Solar will be the focus of these efforts as the plan is to mobilize all available means, including rooftop solar for industrial complexes, through agrivoltaics, floating solar, Sunshine Income Villages, while supporting RE100 initiatives.
The government plans to expand Sunshine and Wind Income Villages to involve up to 10 million citizens and encourage local investment in renewable energy and grid infrastructure, while strengthening the role of local governments in the energy transition.
Moreover, it also aims to promote decarbonization and electrification of industries, for which it will promote green hydrogen.
The ministry will establish an energy industry ecosystem by supporting the development and demonstration of key technologies. The plan also includes offering tax incentives for solar, wind, battery storage, grid equipment, and hydrogen electrolysis.
South Korea’s Minister of Climate, Energy and Environment Kim Sung-hwan explained, “Through this, we will not only realize energy independence but also simultaneously secure carbon neutrality and future industrial competitiveness to leap forward as one of the ‘Global Top 3 in Green Manufacturing,’ and enable more citizens to participate in ‘Sunshine, Wind, and Grid Income Villages’ to realize energy income.”
“We plan to establish an implementation plan to gradually transition subsidies currently allocated to fossil fuels in sectors such as transportation and heating into renewable energy subsidies,” according to the ministry’s plan.
The plan also covers grid infrastructure improvements as South Korea targets a 100% distributed, bidirectional grid. Energy storage systems (ESS) and pumped storage power will also be added as flexible resources to ensure balance between power supply and demand.
According to the ministry, it will completely reform electricity pricing and power market systems to support the renewable energy transition and lower generation costs.