Kim Dong-cheol, CEO of KEPCO, stated that “Samsung Electronics and SK Hynix will bear 80% of the costs for building the power grid in the Hoan semiconductor industrial complex.”
During the National Assembly audit of the Ministry of Trade, Industry and Energy and related agencies held on the 12th by the Committee on Trade, Industry, Energy and SMEs, People Power Party lawmaker Cho Ji-yeon asked, “The cost of building the power grid in the Hoan semiconductor industrial complex is 1.4 trillion won, and it is said that KEPCO’s share is 20%. Under the Semiconductor Special Act, the national government and local governments can bear 50% to 100% of the costs. So who will bear the rest?”
In response, Kim explained, “Without support under the special act, KEPCO, Samsung Electronics, and SK Hynix will negotiate based on their respective shares of power consumption, with the private sector bearing 80% of the costs.”
Earlier, Kim also stated in response to a question from People Power Party lawmaker Kim Do-up regarding prepayment of electricity bills that “the Hoan power grid is a dedicated line for Samsung Electronics and SK Hynix, so the consumers are required to bear the costs.”
Kim pointed out, “The President also said that the government would take responsibility for power and water supply. However, SK Group Chairman Chey Tae-won continued to mention the issues of power and water supply when he visited the Hoan semiconductor site on the 9th. That is because it is the biggest variable.”
He added, “Even though the special act stipulates that the government and local governments should bear more than 50%, KEPCO is said to be bearing only 20%, with companies covering the rest. In the end, it means companies are being asked to invest and lay all the power lines. It is not just twisting a company’s right arm; they have twisted both arms.”
in ECONOMY
