South Korea’s first renewables-linked PPA

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South Korean natural liquefied gas (LNG) provider SK E&S will supply renewable electricity to Seoul-based beauty products supplier Amorepacific under a 20-year power purchase agreement (PPA).

The electricity will be provided by a 5MW renewable energy plant operated by SK E&S at an unspecified location. As of December 2021, SK E&S was operating and developing solar PV power plants with 1.3GW of capacity. The power supply should be started from the fourth quarter of this year.

The deal is the country's first bilateral PPA linked to renewable energy.

South Korea is currently supporting rooftop and large scale PV systems through tenders. In the latest two procurement exercises, held in 2021, the authorities allocated a total of 4.2GW of PV capacity. In two tenders held in 2020, the KEA allocated 1.2GW and 1.41GW. In 2019, it contracted 350MW and 500MW. In 2017 and 2018, the total allocated capacity was 600MW for each year.

South Korea currently plans to install 30.8GW of solar by 2030.

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