The South Jeolla-Gwangju Integrated Special City, the central government, Korea Electric Power and major chipmakers are joining forces to develop a semiconductor industrial complex in the Honam region and ensure it receives electricity on schedule, in what officials describe as a new chapter for South Korea's semiconductor industry.
The South Jeolla-Gwangju Integrated Special City signed the Honam Region and Yongin Semiconductor Mega-Project Power Supply Agreement at Korea Electric Power's Gyeongin Construction Headquarters in Seoul on Wednesday. Signatories included the South Jeolla-Gwangju Integrated Special City, the Ministry of Climate, Environment and Energy, Korea Electric Power, Samsung Electronics and SK hynix.
The signing establishes an implementation framework for delivering timely power to the Honam region semiconductor complex, a centerpiece of the "Three Mega-Projects for South Korea's Great Leap Forward" announced June 29.
Under the agreement, each participating institution will commit its full capabilities to ensuring electricity is supplied on time.
The South Jeolla-Gwangju Integrated Special City pledged to actively cooperate in expediting permits and approvals needed to build power supply infrastructure. The Ministry of Climate, Environment and Energy will oversee power supply policy, while Korea Electric Power will handle project execution, including construction of the supply facilities. The private companies committed to sharing costs and consuming the electricity.
The Honam region semiconductor complex is expected to generate demand exceeding 6 gigawatts. In the first phase, beginning in 2029, about 3 GW will be supplied through initial power infrastructure. A second phase of additional construction will bring cumulative supply to more than 6 GW.
For transmission lines, the first phase will branch off the Sinjangseong-Singwangju line and connect directly to the complex. Second-phase lines will be finalized through detailed technical reviews and consultations with the companies and relevant agencies.
One substation will be built inside the complex in the first phase, with a second to be added in the second phase.
Costs for the first-phase power supply infrastructure will be shared between the public and private sectors in proportion to usage. A portion of the private sector's share may receive government fiscal support under the Semiconductor Special Act, subject to consultations among related ministries.
"Through Wednesday's power supply agreement, we have fastened the first button of what goes beyond a speed race — it is a blitzkrieg for semiconductors," South Jeolla-Gwangju Integrated Special City Mayor Min Hyeong-bae said. "The special city, the government, Korea Electric Power and the companies will work as one team to boldly open a new chapter for South Korea's semiconductor industry right here in South Jeolla-Gwangju."
sij@heraldcorp.com
