(EDITORIAL from The Korea Times on Aug. 24)

Korea's push towards advanced technologies like next-generation semiconductors, artificial intelligence, and expansive data centers is encountering a significant challenge: the need for a reliable and abundant power supply. A government assessment indicates that peak power demand could surge to 158.4 to 165 gigawatts by 2040, nearly 27 gigawatts more than previously projected just four months prior.

This represents a capacity increase equivalent to 19 large 1.4-gigawatt nuclear reactors. This steep rise, from a current peak demand of about 104 gigawatts, should serve as a wake-up call for the nation.

With industrial ambitions on the rise, Korea's electricity needs will likely outpace its capacity to meet them. Building semiconductor clusters and attracting AI investment without ensuring a stable power supply is akin to constructing engines without fuel. The latest estimate, revealed at the fifth meeting for the 12th Basic Plan for Electricity Supply and Demand, calls for a more dynamic forecasting system that can quickly adapt to evolving investment plans and actual electricity consumption patterns.

The pressure is on to balance the inclusion of renewable energy sources with the need for consistent, high-quality electricity.

However, renewables alone cannot meet the demands of energy-intensive industries that require uninterrupted power. Solar and wind power are subject to weather and time of day, while semiconductor plants and AI data centers need steady electricity flow. A robust power grid, therefore, requires a blend of generation sources, bolstered by storage solutions and a well-developed transmission network.

Yet, geography poses another hurdle. Korea's renewable energy resources are largely located in the southwest, whereas significant new demand is emerging around the Seoul metropolitan area, including the Yongin semiconductor cluster and large data centers.

Expanding generation capacity without concurrently upgrading the grid would merely shift the bottleneck. This is why nuclear power merits a substantial role in Korea's energy strategy. Nuclear plants can generate vast amounts of stable, low-carbon electricity, which is particularly relevant as the country becomes more reliant on energy-intensive industries.

Both large and small modular reactors should be evaluated based on their economic viability, safety records, deployment timelines, and suitability to various demand centers. Energy policy should be dictated by practical criteria rather than ideological loyalty to any single energy source.

Equally important is the development of transmission infrastructure. A power plant is useless if its generated electricity cannot reach the factories and data centers that depend on it. Thus, investments in both generation and grid systems must be planned as part of a unified national infrastructure strategy. These projects take years to complete, and the permitting process, along with local opposition, can extend timelines further.

To avoid lengthy delays, both generation and grid investments should begin concurrently. The 12th Basic Plan for Electricity Supply and Demand should not merely tally future generating capacity but offer a comprehensive blueprint that integrates industrial policy, generation, transmission, storage, and decarbonization efforts. It should also set clear timelines and mechanisms for revising demand projections as major investments transition from proposals to reality.

Ultimately, Korea's competitiveness in the AI era hinges not only on its technological advancements but also on its ability to supply the necessary power. The nation cannot afford to announce ambitious industrial projects and then scramble to address the necessary electricity infrastructure. Power generation and grid systems must be considered national strategic assets, built ahead of demand.

It is not a trade-off between industrial growth and energy transition but a need for a pragmatic, swift, and long-term approach. To ensure that Korea's mega-projects become engines of growth instead of stranded investments, securing reliable electricity must be a national priority, not an afterthought.