Electricity infrastructure change in South Korea

The current stage of development of the electric power industry in South Korea is characterized by deregulation and interconnections. For last 20 years, electricity demand was continuously increasing more than 10% each year, except for the last 3 years of the economic downturn era under the IMF control. Still, electricity demand is expected to grow largely in the future. The growth potential for electricity demand is exceptionally high compared to that of developed countries, but electricity business circumstances are already close to that of the developed countries. That is why South Korea already suffers from generation site and transmission right of way problems in many areas. The author argues that future electricity infrastructure model changes have to be considered: firstly, an interconnection to North Korea as well as Northeast Asia countries; and second, the introduction of competition in the power market through deregulation.