Green Energy

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Low Carbon Green Growth

Green Growth New Growth Engine Shift to a Low-Carbon Economy

IT venture, R&D investment Restructuring Large enterprises Semi-conductor/Autos Open Market, stabilize price Investing in Heavy Chem. Industry Light ind.  Heavy Chem. Industry

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Energy & Industry Policy Paradigm in the Green Growth Era

Low Carbon Economy & Society

Green Energy Industry

Strategic Technology Conversion to low consumption Road map Master Plan for GHG Localizing & exporting reduction green energy such as Negotiated Agreement renewables, nuclear, et al. National Strategy for Green Growth

Strategy to Develop Green Energy Market and Industry

Green Transformation of Industry Green Transformation of Major industries (Green Car) Facilitating investment in green industry Strategy for Greening Energy Use and Industry

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Policy Target for Green Growth National Energy Basic Plan(Aug.’08)

Nuclear

Minimizing Energy Use/ Low-Carbon Energy Mix 83%

27.8% Oil

14.9%

43.4

33.0

11%

New & Renewable

2.4%

’07

61%

Coal

25.3

LNG

13.8

12.0

’07

’30

’30

15.7

Nuclear capacity(MW)

()

Share in capacity(%)

(59.0)

Share in generation(%)

(48.9) (35.5)

’07

(34.2)

’10

’20

’30

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• Marketability, technical feasibility, and urgency • Distinction between early revitalization and next generation development

• Technology development goals and roadmaps • Diversifying technology acquisition measures • Linking R&D with demonstration

• Demand creation in public sectors • Support for seeking international markets

• Establishing public - private partnership • Securing stable financial sources • Reformation of Regulations

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62Gt

Baseline Scenario

48Gt 28Gt

Technology Innovation Scenario 14Gt

Greenhouse Gas Emission(Gt CO2/year) * Source : IEA

New and Renewable Energy Clean Fossil Fuel Energy Efficiency Improvement

Photovoltaics, Wind Power, Hydrogen Fuel Cells, IGCC CTL, GTL, CCS LED, Power IT, Energy Storage, Combined Heat and Power, Heat Pump

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Category

Approach

Technology Solar PVs

Market Pull

Wind LED Electricity IT H2/FC Clean Fossil Fuel

Technology Push

Coal IGCC CCS Energy Storage

Ener gy Stor age

Market Maturity

Early Growth Engine (9)

Sola r PVs LED

HT Nuke Reactor Energy Effic. Bldg Green Car

University/ R&D Cntr

Super Conductor

Micr o Coge n

Gree n Car Elect

E Effic. Bldg.

ricit y IT

Micro Cogen. Corporate-led

Heat Pump

Win d

Heat Pump

Next Growth Engine (6)

HT Nuk e Reac tor

HT/ FC IGCC

low

CCS

low

Clean Fossil Fuel Supe r Con duct or

Domestic Technical Competence

high 10


Selected Technology Development Goals and Roadmap

95% 100% Photovoltaics

83%

Hydrogen Fuel Cells 66%

LED • Government : US$ 1.6 bil. • Private : US$ 1.2 bil.

** IGCC included

90% 85%

65%

’07

’12

’30

Photovoltaics

Secure economic feasibility by 2020 (generating cost 150 won/kWh)

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15

Hydrogen Fuel Cells

Develop mass production technology for residential fuel cell by 2015

6

15

Self-sufficient designing technology for 300MW by 2013

1

10

Secure basic core technology for non-nitride100 lm/W LED by 2015

16

20

IGCC LED

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• Solar Photovoltaic (PV)

• Wind Power • Led Lights • Smart Grid • Nuclear Energy • Carbon Capture and Sequestration (CCS)

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Solar Photovoltaic Technology Current Situation Developing and Commercializing key technologies in cells, batteries, and inverters Participation of major companies in the semiconductor and display sector -Efforts to improve silicon cell price and efficiency - Investment in technology development of 3rd generation cell and equipment - Rapid increase in export: US$ 6 mil.(2004) → 1,308 mil. (2009) ( 녹색성장위원회 홈피 자료 ) - The largest share in total export of new/renewable energy is 64%

Solar Photovoltaic Technology Development and Deployment Main features -Generation of solar PV: 5.3GWh(2000) → 71.3GWh(2007) -Share in total generation: 0.01%(2007) - Capacity of solar PV: 82MW(2007) - Solar PV : 940 power plants (2008)

Share of Renewable Target

2008

2010

2015

2020

2030

Annual increase

Solar PV Deployment

0.9%

1.8%

2.7%

3.2%

4.1%

15.3%

Source: Korea Energy Management Corporation, April 2010 13


Wind Power Technology Current Situation Established as a new and competitive industry due to an efficient value chain Investment surge for global market preoccupancy using the excellent fundamental technologies from domestic heavy industries/shipyard marine constructions Export market expansion through large-scale power generator, components, and related system development technologies

Development and Deployment Procuring the key unit technologies such as the blade of middle size(750kW) generator, and controlling system A Domestic Market Emerged Starting in 2002, but its size is small compared to the international market - Scale of domestic market: US$ 1.4 bil. (2009) ( 녹색성장위원회 홈피 자료 ) - Capacity of wind power: 283MW(2009) - Average WTG size: 1.7MW(2009) - Average Farm: 20-40MW (2009)

Solar Photovoltaic Technology Share of Renewable Target

2008

2010

2015

2020

2030

Annual increase

Wind Power Deployment

1.7%

2.9%

9.2%

11.6%

12.6%

18.1%

Source: Korea Energy Management Corporation, April, 2010

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LED(Light Emitting Diode) Lighting Technology Current Situation Rapid development of domestic LED market fostered by technical enhancement and increases in investment - Korea is behind leading LED countries in development of core technology - Korean companies possess 25% of the world’s LED chip market share since domestic companies succeed in developing LED TV production technology. -Securing Global competitiveness by concentrative R&D investments and world-class technology in semiconductor and IT

Korea’s LED Market Trend

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Smart Grid Technology: National Roadmap Smart Smart Grid Grid for for Low Low Carbon Carbon Green Green Growth Growth

Smart Grid Testbed 11stst stage stage (~2012) (~2012) Smart Smart Power Power Grid Grid

Smart Smart Consumer Consumer

Wide Area Smart Grid 22 stage stage (~2020) (~2020) nd nd

Smart Smart Transportation Transportation

Nation Smart Grid 33rdrd stage stage (~2030) (~2030)

Smart Smart Renewable Renewable

Smart Smart Power Power Service Service

Open Open Power Power Platform Platform

Smart Smart Metering Metering Infrastructure Infrastructure

Electric Electric Vehicle Vehicle Charging Charging Infra. Infra.

Large Large Renewable Renewable Generation Generation Sites Sites

Various Various Power Power Services Services

Fault Fault Prediction Prediction & & Automatic Automatic Recovery Recovery System System

Automatic Automatic Energy Energy Management Management System System

V2G V2G & & ICT ICT Service Service System System

Energy Energy SelfSelfSufficient Sufficient Houses Houses & & Buildings Buildings

Smart Smart Power Power Exchanging Exchanging System System

Source : National Smart Grid Roadmap 16


Nuclear Energy Technology History of Reactor Technology Development 1970s Turn-Key Approach

1980s Component Approach

Introduction of NPP

Establishment of Localization (`~’85)

 Kori 1  Wolsong 1  Kori 2

 Kori 3&4  Ulchin 1&2  Yonggwang 1&2

1990s Technical Self-reliance

2000s OPR1000 Construction

OPR1000 APR1400 Development (`95) Development (`02)  Yonggwang 3&4

   

Ulchin 3,4,5&6 Yonggwang 5&6 Shin-Kori 1&2 Shin-Wolsong 1&2

2010s APR1400 Construction

Nu-tech 2012  Shin-Kori 3&4  Shin-Ulchin 1&2

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CCS Technology Capture Technology is the best in the world, but we have not undertaken large scale capture and storage demonstration efforts

Development of the world’s leading Membrane material

Completion of the world first Dry absorption process Science Magazine (‘07.10)

Stage 2008~2011 Test Bed

Capacity

0.5MW

Capture Cost 30~42$/tCO2

Hadong Power Plant

Development of the world best chemical absorbent (potassium carbonate)

KIER

2010~2014

2015~2018

Pilot Plant

Demonstration

10 MW

100~500MW

<30$/tCO2

<20$/tCO2

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Thank You

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