S. Korea proposes 'resilient power grid partnership' to G20

Deputy minister calls for joint response on transformer, battery and cable supply chains, linked to Korea's 2028 G20 presidency; energy dialogue with US formalized; visits to ExxonMobil, AMOGY and Hyosung Heavy Industries

Lee Ho-hyun, second vice minister of the Ministry of Climate, Environment and Energy, speaks at the G20 Energy Ministers' Meeting in Houston on Tuesday (local time), outlining proposals for G20-level cooperation to strengthen energy security. [Ministry of Climate, Environment and Energy]

South Korea has proposed that G20 nations share their power grid investment plans and establish a multilateral forum bringing together governments, utilities, grid operators and equipment manufacturers. The proposal draws a parallel to how oil stockpiling once underpinned energy security, arguing that stable supply chains for critical power equipment must serve the same role in an era of electrification.

According to the Ministry of Climate, Environment and Energy, Second Vice Minister Lee Ho-hyun attended the G20 Energy Ministers' Meeting in Houston, Texas, from Monday through Wednesday (local time) as South Korea's chief delegate and put forward the proposal under the name "Resilient Power Grid Partnership."

The core of the proposal is for G20 countries to share their grid investment plans and create a cooperation platform involving governments, power companies, grid operators and electrical equipment manufacturers.

Lee framed the challenges posed by rising electricity demand around three "Cs": capacity, connection and chain. He argued that even as countries expand generation capacity through renewable energy and nuclear power plants, grid expansion could be delayed if grid interconnection and the supply of key equipment — transformers, batteries and cables — fail to keep pace.

He proposed building a "Resilient Power Grid Partnership" at the G20 level, with participation from governments, utilities, grid operators and equipment makers across member states. South Korea is set to hold the G20 presidency in 2028.

Lee Ho-hyun, second vice minister of the Ministry of Climate, Environment and Energy, meets with US Energy Secretary Chris Wright in Houston on Tuesday (local time) to discuss avenues for Korea-US energy cooperation. [Ministry of Climate, Environment and Energy]

Lee also conducted a series of bilateral outreach meetings to advance Korea-US energy cooperation. He held talks with Doug Burgum, chair of the White House National Energy Council and secretary of the interior, and with Kyle Houseknecht, under secretary of energy, proposing expanded cooperation in areas including power and small modular reactors.

The entry of Korean companies into the US power market was also on the agenda. The ministry highlighted the US investments and local partnerships of domestic power equipment and ESS firms — citing HD Hyundai Electric among others — to underscore their potential participation in grid modernization projects. A roundtable in Houston brought together representatives from Hyundai Engineering, Hanwha Energy, Samsung C&T, HD Hyundai Electric, Doosan Turbomachinery, Hanwha Ocean, HD Hyundai Heavy Industries, HD Hyundai Marine Solution, LNG Americas (SK IES) and POSCO International to share updates on the US energy market and discuss business challenges.

Low-carbon technology cooperation with local companies and research institutions was also on the table. Lee visited ExxonMobil to explore potential collaboration on lithium development, carbon capture and storage, and hydrogen and ammonia projects. ExxonMobil said it plans to invest $20 billion in related projects by 2030.

Lee also visited AMOGY, a company developing ammonia-cracking technology. AMOGY is developing a system that converts ammonia into hydrogen to generate electricity via fuel cells, and is participating in a distributed energy project in Pohang. The city is pursuing a green ammonia-based distributed power generation project.

At Rice University's Baker Institute for Public Policy, Lee discussed Middle East developments and the global energy market outlook, and proposed expanding exchanges with the Korea Institute of Energy Technology. On the sidelines of the G20 meeting, participants also discussed policies for recycling wastewater in response to rising water demand from the AI and semiconductor industries, as well as information sharing on critical mineral supply chains, technology innovation, and measures to expand the circular economy and investment.

Lee also held separate meetings with Germany's federal minister for economic affairs and energy and with the UK's minister of state for energy security and net zero.

Lee Ho-hyun, second vice minister of the Ministry of Climate, Environment and Energy, poses for a photo during a visit to Hyosung HICO in Pittsburgh on Wednesday afternoon (local time). [Ministry of Climate, Environment and Energy]

Lee also visited a high-voltage circuit breaker joint venture operated by Hyosung Heavy Industries in Canonsburg, Pennsylvania, on Wednesday.

Hyosung Heavy Industries has been expanding its US production capacity through an extra-high-voltage transformer factory in Memphis, Tennessee, acquired in 2020. In July, it established a high-voltage circuit breaker manufacturing joint venture with Quanta Services, the largest energy infrastructure company in the United States.

"The proactive US investment and local production network that Hyosung Heavy Industries has built not only contributes to the stability of the American power grid but also serves as an excellent model for Korea-US cooperation in the energy and power equipment sector," Lee said. "We will spare no policy support to help our companies build stable supply chains and expand their market presence in the United States."

oskymoon@heraldcorp.com