Renewable Energy in South Korea: Policy-driven and International Capital Surge

South Korea, as a major force in the manufacture of solar and wind energy components worldwide, has long exported large quantities of clean energy equipment to all parts of the world. However, in the face of the rise of Southeast Asian manufacturers and traditional rival China, the South Korea renewable energy industry is looking for new breakthroughs to maintain its leading position in the global export market. To this end, the South Korea government has actively promoted the development of solar and wind energy in recent years, and opened up investment opportunities in related fields to foreign investors.

South Korea Government's New Renewable Energy Strategy

2024, the South Korea Department of Trade, Industry and Energy (Motie) announced a strategic plan to expand renewable energy supply and strengthen the supply chain. The core of the plan is:

: The government will accelerate the development of special regulations for offshore wind energy, promote orderly development, and optimize site selection and environmental assessment. At the same time, through the revitalization of the semi-planned offshore wind farm system, the strengthening of cooperation between local governments and the central government, and the introduction of new incentives to stimulate enthusiasm for industry participation.

: In order to avoid excessive concentration of solar energy facilities, the government will deploy new facilities in an orderly manner based on geographical location and grid conditions to reduce the burden on the power system and reduce local community opposition.

: The government will reform the RPS to make it more responsive to new markets, promote purchase agreements (PPAs) and encourage the voluntary creation of renewable energy markets. Through annual tenders, the ability to bid is assessed on price and non-price indicators, providing long-term fixed-price contracts for winners, while opening up independent paths for small-scale facilities.

: Establish a one-stop support system to help enterprises develop international markets. Establish a Renewable Energy Export Promotion Council to provide customized support to enhance the global competitiveness of South Korea's renewable energy business.

foreign capital flows into South Korea renewable energy market

at the international level, a number of well-known energy companies have invested in South Korea renewable energy projects:

South Korea commitments at COP28

, South Korea pledged to join the global use of renewable energy. Facing the climate challenge of high population density, complex mountainous terrain and four distinct seasons, the South Korea government is committed to optimizing the bidding system and supporting the RE100 plan to accelerate the popularization of renewable energy. The government's strong commitment and policy support bodes well for the rapid growth of renewable energy supply in South Korea.

In summary, under the guidance of government policies, the South Korea renewable energy sector is attracting a large influx of foreign capital to jointly promote the rapid development of the industry and the expansion of the global market.