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A National Vision
© S T O C K
B Y T E , M A P N A S A P U B L I C
D O M A I N
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Policy Directionsfor the Smart Gridin Korea
Jinho Kimand Hong-Il Park
A
A NEW NATIONAL VISION FOR LOW-CARBON, GREEN
growth was announced in Korea on 15 August 2008, and a more
concrete plan was initiated through the presidential green-growth
committee on 16 February 2009. Korea is thus actively pursuing
sustainable development dealing with climate change and energy
security. At the same time, it is shifting toward a low-carbon econ-
omy and a society capable of recovering from climate change. Aspart of these efforts, Korea has launched a national smart grid
project to achieve green growth in a proactive, transparent, com-
prehensive, and effective way. The project envisions laying the
foundation for a low-carbon, green-growth economy by building
a smart grid. It will thus serve as a yardstick with which to evalu-
ate the future of Korea’s green-growth economy. Korea’s ambi-
tious plan to build a smart grid is evidence of its determination to
realize its low carbon and green-growth strategy. In this article, a
national vision and road map toward the smart grid in Korea will
be presented, followed by a discussion of future policy directions
for the successful implementation of the smart grid.
National Road Map for the Smart Grid
Background Korea has recognized the necessity of rolling out the smart grid as
infrastructure for the low-carbon, green-energy economy in order
to help meet its binding commitment to reductions of greenhouse-
gas emissions. With that in mind, the Korean government has begun
to implement relevant policies, action plans, and projects that can
be echoed by the public. Korea is pursuing the smart grid initiative
as a top national agenda to help achieve its vision of a low-carbon
and green-growth economy. In line with this national direction,
Korea’s presidential green-growth committee in 2009 publicly pre-
sented its vision for building an advanced, green-energy country
and specified the primary contents of the smart grid. Afterwards,
in November 2009, the committee collected the views of experts
from industry, academia, and various research institutes in order to
outline a national road map. As a leader in smart grid technology,
Korea announced a smart grid national road map in 2009 that calls
for complete nationwide implementation of smart grid technology
by 2030. The vision and goals for Korea’s smart grid implementa-
tion are shown in Figure 1.
To achieve its national goal of reducing greenhouse-gas emis-
sions—Korea has committed to cutting its emissions by 30% as
compared with a business-as-usual (BAU) baseline by 2020—
Korea has decided to build its smart grid as a fundamental enabler
for expanding the supply of renewable energy and electric vehi-
cles. As Korea works to ensure national energy self-sufficiency
and the transition to a low-carbon society (the 2008 national
energy master plan aims at a 46.7% energy source unit increase
by 2030—that is, an annual average increase of 2.1%), the imple-
mentation of the smart grid will be a powerful means of raising
energy efficiency through power demand dispersion and energy
savings. In addition, as the smart grid market is expected to grow
rapidly, Korea wants to enter the global market and turn its gains
in this area into a major export industry by capitalizing on smartgrid technology as a new national growth engine.
Digital Object Identifier 10.1109/MPE.2010.939166
Date of publication: 21 December 2010
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Therefore, in order to respond to climate change, increase
energy efficiency, and create a new growth engine for its
economy, Korea has established a national road map for a
smart grid that includes three phases and five implementa-
tion areas.
Smart Grid Visionand Implementation AreasThe national vision of a smart grid in Korea has been set to
realize a low-carbon and green-growth society by establishing
the world’s best nationwide smart grid infrastructure. Capi-
talizing on certain national advantages—highly populated
land, the world’s best broadband Internet networks, and a
single power transmission and distribution company—Korea
has established a proactive and ambitious plan for a full,
nationwide implementation of smart grid technology. In the
first stage, a smart grid test bed with innovative technology
and business applications will be built by 2012. In the second
stage, smart grid infrastructures focused on consumer benefits
will be built across Korea’s metropolitan areas by 2020. In the
final stage, the world’s first-ever nationwide smart grid will
be completed by 2030. The three stages of the plan are sum-
marized in Table 1.
Unlike other countries, Korea has chosen to focus primar-
ily on emerging new business opportunities in five implemen-
tation areas:
✔ a smart power grid
✔ smart homes and buildings (enabling smart consumers) ✔ smart transportation
✔ smart renewable energy
✔ smart electricity service.
First, the smart power grid project will build a power
grid that allows various kinds of interconnections between
areas where energy is consumed and energy supply sources.
The rolling out of such networks will pave the way for new
business models and for the building of a power grid self-
detecting and automatic recovery system that will ensure a
reliable and high-quality power supply. By 2030, the proj-
ect aims to realize an annual blackout time per household
and transmission and distribution loss of nine minutes and
3%, respectively.
Korea’s smart consumer project will encourage consum-
ers to save energy by using real-time information and smart
appliances in buildings and homes that operate in response
to real-time wholesale market prices and retail electric util-
ity rates. The smart consumer project has set power con-
sumption savings and smart meter diffusion rate targets of
10% and 100%, respectively, by 2030. The key implemen-
tation targets for the smart power grid and smart consumer
initiatives are shown in Figure 2.
Next, a smart transportation project will build a nationwide
charging infrastructure that will allow electric vehicles to be
charged in a wide variety of locations. It also establishes a
vehicle-to-grid (V2G) system in which the batteries of electric
vehicles are charged during off-peak hours while the resale of
surplus electricity takes place during peak times. The smart
transportation project aims to deploy 2,456,000 electric vehi-cles and commission 27,140 quick-charging stations by 2030.
Vision
Vision and Goals of Korea’s Smart Grid
Goals
by Phase
Five
ImplementationAreas
Pave the Way for Low Carbon, Green Growth Through a Smart Grid
Build a Nationwide Smart Grid
Build a Smart Grid Across Metropolitan Areas
Build a Smart Grid Test-Bed
2012
2020
2030
Smart Power Grid
Smart Place
Smart Transportation
Smart Renewable
Smart Electricity Service
— Build a Monitoring and Control System of the Power Grid— Build a Failure Prediction and Automatic Recovery System of the Power Grid
— Distribute Nationwide Smart Meters
— Build an Automated Energy Management System
— Build a Nationwide Charging Infrastructure
— Build an ICT-Based Electric Vehicle Operating System
— Create a Large-Scale Renewable Energy Generation
Complex— Develop Large Capacity Energy Storage Devices
— Develop a Various Pricing System— Develop Consumer’s Electricity Trading System
figure 1. The vision and goals for Korea’s smart grid.
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The smart renewable energy project will build a smart
renewable energy power generation complex across the
nation by rolling out microgrids. This will ultimately lead
to the emergence of houses, buildings, and villages that
can achieve energy self-sufficiency through the deploy-
ment of small-scale renewable energy generation units in
every end user’s location. The
smart renewable energy project
has set market penetration and
household self-sufficiency ratio
targets of 11% and 30%, respec-
tively, by 2030.
Finally, with the launch of a
variety of energy-saving electric-
ity rate plans, the smart electricity
service project will offer consum-
ers more choice in satisfying their
energy needs. Key implementa-
tion targets for smart transporta-
tion, renewable energy, and elec-
tricity service are presented inFigure 3. In addition, it aims to
deliver a wide array of added electricity services through the
marriage of electricity and information and communication
technology (ICT) and to put in place a real-time electricity
trading system for the exchange of electricity and deriva-
tives. The smart electricity service project has set a con-
sumer participation target of 30% by 2030.
table 1. Korea’s smart grid implementation plan.
ImplementationDirections by Phase
First Stage (2010–2012)Construction and operation ofthe smart grid test-bed (technicalvalidation)
Second Stage (2012–2020)Expansion into metropolitan areas(intelligent consumers)
Third Stage (2021–2030)Completion of a nationwidepower grid (intelligentpower grid)
Smart Power Grid —Real-time power grid monitoring
—Digital power transmission—Operate optimal distribution
system
—Predict possible failures in power
grids—Connect the power system with
that of other countries—Connect the power delivery
system with distributed generationand power storage devices
—Self-recovery of power grids
—Operate an integratedenergy smart grid
Smart Consumer —Power management of intelligenthomes
—Various choices for consumersincluding rates
—Smart power management ofbuildings/factories
—Encourage consumers’ powerproduction
—Zero energy homes/ buildings
Smart Transportation —Build and test electric vehiclecharging facilities
—Operate electric vehicles as apilot project
—Expand electric vehicle chargingfacilities across the nation
—Effective maintenance andmanagement of electric vehicles
—Make the presenceof charging facilitiescommonly available
—Diversify charging methods—Utilize portable power
storage devices
Smart Renewable —Operate microgrids byconnecting distributedgeneration, power storagedevices and electric vehicles
—Expanded utilization of powerstorage devices and distributedgeneration
—Optimal operation of the powersystem with microgrids
—Expand the application of powerstorage devices
—Make renewable energyuniversally available
Smart ElectricityService
—Consumers’ choice of electricityrates
—Consumers’ selling of renewableenergy
—Promote transactions of electricalpower derivatives
—Implement real-time pricingsystem nationwide
—Emergence of voluntary marketparticipants
—Promote various typesof electrical powertransactions
—Promote convergence forthe market of electricity-based sectors
—Lead the power market inNortheast Asia
Blackout Time Per Household Power Transmission and Distr ibutionLoss Rate
15 min 12 min 9 min
2012
2012
2020
2020
2030 2012
3.9% 3.5% 3.0%
2020 2030
2012 20202030
Maximum Power Reduction
Applied on
a Trial Basis 5% 10%
5.6% 100%
Smart Meters and AMI Penetration Rate
figure 2. Key implementation targets for the smart power grid and the smart consumer.
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Investment and Expected BenefitsTo ensure the successful implementation of the smart grid in
Korea, a total of KRW27.5 trillion will be invested by 2030.
KRW24.8 trillion will be secured through private invest-
ment, while KRW2.7 trillion will be invested by the govern-
ment. More specifically, KRW20.5 trillion will be invested
in building the smart grid infrastructure and KRW7 trillion intechnological R&D.
The expected benefits of the implementation of the
smart grid in Korea have been calculated using an
IBM-developed simulation tool, with indexes reflecting
the stepwise targets in the five implementation areas. In
summary, by 2030 a nationwide smart grid implementa-
tion in Korea is expected to have reduced greenhouse gas
emissions by a total of 230 million tons, to have created an
average of 50,000 new jobs each year, and to have given
rise to new domestic demand for goods and services of up
to KRW74 trillion. Both the investment and the expected
benefits are summarized in Table 2.
Policy Directions forImplementation of the Road Map
To successfully execute the road map for a national smartgrid, the Korean government has specified several policy
tasks, including but not limited to support for technologi-
cal R&D and industrialization, promotion of successful
implementation models, building infrastructure, and estab-
lishing legal and regulatory frameworks. These are sum-
marized in Table 3.
First, in support of technological R&D and industrial-
ization, a national support system for energy-storing tech-
nology, core technology to prepare for a power grid with
upgraded ICT, and security technology will be implemented.
These are the core technologies needed for renewable power
generation and electric vehicle diffusion. In addition, poli-cies to boost domestic demand and promote the opening of
overseas markets will be put in place.
Next, to promote a model for successful implementa-
tion, incentives for realizing a successful implementation
in the Jeju smart grid test bed will be provided. In addi-
tion, strategies supporting the creation of new technolo-
gies and products will be provided; these will include cer-
tification programs for smart products and incentives that
encourage their commercialization.
To efficiently support smart grid infrastructure build-
ing, the core smart grid infrastructure will be established
table 3. Policy directions in supportof the smart grid road map.
Policy Direction Implementation Plan
Support for technological R&D and industrialization • To implement comprehensive and cohesive technological R&D,straddling technological development, standardization, andcommercialization.
• To create new growth engines by invigorating the domestic marketand supporting Korean businesses’ advancement into overseasmarkets.
Promotion of successful models • Forestall the creation of successful models by implementing the JejuSmart Grid Complex and carry out step-wise dissemination.
• Provide incentives for companies to invest and for people toparticipate spontaneously.
Building infrastructure • Offer aggressive incentive programs at the earlier stages to ensureearly infrastructure establishment.
• Establish standardization and certification bases to ensureadvancement into overseas markets and nurture specialists in relatedfields.
• Build a security system/program to ensure the establishment andoperation of a safe smart grid.
Establishment of legal and regulatory frameworks • To ensure the promotion of the new industry through conversionand integration between related industries, carry out the proactiveamendment of related laws and regulations and complementaryregulatory programs from the early stages of market formation.
• Enact and implement the Special Act on the Establishment of and
Support for Smart Power Grid (tentative title) to ensure the stableimplementation of long-term projects.
table 2. Investment plan and key
expected benefits (estimated).
Investment Plan Details (By 2030)
Private investment KRW 24.8 trillionGovernment investment KRW 2.7 trillionTotal KRW 27.5 trillion
Expected Benefits Details (By 2030)Greenhouse gas reduction 230 million tons
Job creation 50,000 per annumDomestic demand creation KRW 74 trillionEnergy import reduction KRW 47 trillionPower plant avoidance KRW 3.2 trillionExport hike KRW 49 trillion
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early on. Smart metering and bilateral communication sys-
tems for all customers are expected to be installed no later
than 2020 by making these items part of mandatory regu-
lations. In addition, a charging infrastructure will be estab-
lished as quickly as possible to ensure that the promotion
and commercialization of electric vehicles is implemented
without delay.
Finally, to build and update a legal and regulatory frame-
work, special legislation concerning the establishment of and
support for the smart grid will be prepared. To ensure the pro-
motion of this new industry through a convergence of relatedindustries, the necessary amendment of relevant laws, regula-
tions, and complementary regulatory programs will also be
carried out in the early stages of market formation. Moreover,
a real-time billing system will be built in a timely manner in
order to raise consumer awareness of power consumption and
savings. Policy measures aimed at ensuring a stable power sup-
ply in the light of smart grid technology deployment will also
be implemented.
The Jeju Smart Grid Test BedThe most noticeable plan in Korea’s smart grid initiatives is
the construction of a smart grid test bed on Jeju Island (see
Figure 4). The Korean govern-
ment selected the self-governing
Jeju Province as the location
for the smart grid test bed in
June 2009.
As a world leader in smart
grid technology, Korea estab-
lished the Jeju smart grid test bed
at the same time it announced its
national road map for the smart
grid. The purpose of the test bed
is to determine the best smart
grid technologies and the most
viable business model. The test
bed should prove that the smart
grid can become the basis for a
low-carbon, green-growth strat-
egy. Therefore, this project dem-
onstrates Korea’s aspirations in
the area of green growth. The
Jeju test bed will become the
world’s largest smart grid com-
munity and will allow for testingof the most advanced smart grid
technologies and R&D results, as well as the development
of new business models. Jeju will also serve as the foun-
dation for the commercialization and industrial export of
smart gr id technologies. It is expected to contribute greatly
to strengthening Korea’s position as a leader in the global
smart grid industry.
This project will be conducted with the participation
of the Korean government, the Korea Smart Grid Institute
(KSGI), Korea Electric Power Corporation, Jeju Province,
and the Korea Smart Grid Association. In addition, com-
panies, other research institutes, and academic institutionswill be joining in the effort. A total of US$200 million will
be invested between 2009 and 2013, and 12 consortia in
five areas—a total of 168 companies—will participate in
testing technologies and developing business models. The
three strategic directions stated in the vision and goals for
the Jeju initiative (see Figure 5) clearly reveal the green-
growth strategy embedded in this project. From the national
standpoint, it aims to raise energy efficiency and implement
green-energy infrastructure by building an ecofriendly
infrastructure that reduces CO2 emissions. From the indus-
trial standpoint, it seeks to secure a new growth engine that
will drive Korea in the age of green growth. And from an
Total Number of EV Distributed(Unit: 1,000, Cumulative)
Quick-Charging Stations(Unit: Number, Cumulative)
0.5
3.1% 6.1% 11.0%
152 2,436 100 4,300 27,140
2012
2012
2020
2020
Renewable Energy Ratio Household Electricity Energy
Self-Sufficiency Ratio
2030
2030
2012
2012
Pilot Test 10% 30%
2020
2020
2020
2030
2030
15% 30%
2030
Consumer’s Right to Choose
Their Electricity Rate Plan
Pilot Test2012
Choose anElectricity Plan
2020
InfrastructureBuilding
2012
Market Participation Rate of Consumers
figure 3. Key implementation targets for smart transportation, renewable energy,and electricity service.
Korea and the U.S. state of Illinoishave agreed to collaborate in a smart gridand green-technology initiative.
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individual standpoint, it looks to enhance the quality of life
through the experience of and participation in a low-carbon,
green society. Moving forward, Korea plans to nurture the
smart grid as a new growth engine of the nation by ensuring
that the technologies and business models developed and
tested at Jeju are demonstrated and deployed not only on
the Korean peninsula but all over the world. In this way, the
most pressing concerns of our time, climate change and the
energy crisis, could be effectively alleviated.
Jeju’s Five Implementation AreasThe Jeju smart grid test bed includes all five areas of the
smart grid implementation from the national road map: a
smart power grid, smart buildings and homes, smart trans-
portation, smart renewable energy, and smart electricity
service. For the test bed’s smart power grid, Korea Elec-
tric Power Corporation (KEPCO) and 21 participating
companies investing a total of US$30 million will develop
smart transmitter and automated protection and recovery
National Standpoint Industrial Standpoint Individual Standpoint
Vision
Objective
ThreeStrategic
Directions
Commerciallzation and Industrial Export of Smart Grid Technology
Build World’s Largest and Most Advanced Open Test Bed by 2012
Build Green Energy
InfrastructureSecure New DrivingForces for Growth
Secure New Growth Engines thatwill Drice the Country’s
Development in the Age of
Green Growth
Introduce a Low-Carbon,Green Lifestyle
Raise Quality of Life ThroughExperiences of and Participationin a Low-Carbon and Green Life
Build Eco-Friendly EnergyInfrastructure, Which ImprovesEnergy Efficiency and Reduces
CO2 Emissions
figure 5. Vision, goal, and strategic directions for the Jeju test bed.
Features:
— Integrated Test Bed— Close Collaboration Between Public and Private Sectors
— Verification of Different Power Market Models• Participants: Korea Electric Power Corporation(KEPCO) Plus Automakers,
Telecommunications Companies and Home Appliance Manufacturers
• Open to Foreign Companies-Includes Major Companies Such as LG, SKT, KT, and Samsung
figure 4. The Jeju smart grid test bed.
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technologies. In the smart buildings and homes (or smart
consumer) area, SK Telecom, KT, LG, KEPCO, and 101
participating companies investing a total of US$80 mil-
lion will develop and standardize advanced metering infra-
structure technologies and smart home and smart build-
ing technologies. KEPCO, SK Energy, GS Caltex, and
39 companies that participate in smart transportation willspend US$40 million to develop electric vehicle parts and
charging stations, vehicle-to-grid and ICT systems, and
additional service models. In the smart renewable energy
area, KEPCO, Hyundai, Posco, and 37 companies investing
a total of US$35 million will develop coordination and sta-
bilization technologies for renewable power with efficient
implementation across the power grid. Finally, Korea Power
Exchange, KEPCO, and six companies will spend US$15
million to develop real-time pricing, demand response, and
online consumer power-trading systems for smart electricity
service. Figure 6 provides an overview of the five Jeju test
bed areas and the implementation timetable.
Jeju Test Bed: Current FocusSince Jeju was selected as the smart grid test bed in June 2009,
construction of a total operation center (TOC) for the test bed
has begun and will be finished in 2010. At the same time, leg-
islation—including the special act on support for the smart
grid—will be proposed in 2010 to begin building the basic
laws and regulations needed to secure long-term investment
funding and the provision of incentives. A variety of tests and
implementations of smart grid technologies in the Jeju smart
grid test bed will be carried out through 2013, when the project
is scheduled to be completed. As follow-ups to the Jeju proj-
ect, smart grid pilot city projects and smart grid implementa-
tion projects in metropolitan areas will be developed by 2020,
followed by the nationwide smart grid implementation that
will be completed by 2030.
The Jeju smart grid test bed, which aims to become the
world’s first all-inclusive smart grid test bed location, con-sists of one PR center and four exhibition halls. Spearheaded
by Korean conglomerates including KEPCO, LG, KT, and
POSCO, the Jeju facility gives visitors an opportunity to
fully experience the wide array of prototypes available,
including smart meters, in-home displays, smart appli-
ances, EV charging facilities, wind turbines, and photovol-
taic equipment. Figure 7 shows the various installations that
make up the test bed.
International Collaborative ActivitiesIn order to facilitate the successful implementation of its
smart grid technologies, the Korean government has movedforward in the area of international collaborative activi-
ties. First, in June 2009, the Korean Ministry of Knowl-
edge Economy (MKE) and the U.S. Department of Energy
(DOE) issued a joint statement of intent (SOI) in which they
agreed to collaborate closely on work in the green-energy
sector, including the smart grid. The agreement represents a
strong foundation for cooperation between the two nations
on issues relating to clean and green energy. In addition to
smart grid technology, the agreement covers carbon capture
and storage and nuclear, methane hydrate, and geothermal
generation. In addition, an investment forum on the smart
Five Areas of the Test Bed
Smart Power Grid
Build Smart Power Grid Infrastructure
Smart Place Smart Transportation Smart Renewable
Smart Electricity Service
Provide New Electricity Services
Phases
Basic Stage
(Infrastructure Building)
Expansion Stage
(Integrated Operation)
2010–2011
2012–2013
Smart Power Grid,
Smart Place, Smart Transportation
Smart Renewable,
Smart Electricity Service
–Linking Grid Networks and
Consumers, Grid Networks, and Electric Vehicles
–Provide New Power Services
–Accommodate Renewable Energy Sources to the Power Grid
Period Key Focus Areas Key Contents
Phase-by-Phase Implementation Plans
Manage Clean Energy ReliablyLay the Foundation for
Efficient Energy Use
Lay the Foundation for
Expanded Distribution ofElectric Vehicles
figure 6. Overview of Jeju smart grid test bed implementation.
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POSCO’s Smart RenewablesExperience Hall
LG Live Green
Experience Smart Green Services
That are Based on Smart HomeAppliances and Smart Meters
PR Center
Jeju Smart Grid Test Bed
See a Demonstration and ExperienceHome Energy Saving Services
Connected via EVs and Photovoltaics
SK Smart GridExperience Hall
EV Riding and Charging Infrastructure Experience
KT/GS Caltex Smart Cafe
See a Demonstration and
Experience Services that IntegrateElectric Power, Broadcasting, and
Telecommunications Services
EVs Are Placed Throughout the Test Bed to Provide Visitorswith EV Riding and Charging
Comprehend Korea’s SG Conceptsand the Jeju Smart Grid Test Bed
Experience “Green Life” Where New
and Renewable Energy as Well asStorage are Applied
figure 7. Jeju test bed PR center and exhibition halls.
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grid, cosponsored by Korea Smart Grid Association (KSGA)
and GridWise Alliance (GWA), was held in Washington,
D.C., in June 2009. Both organizations signed a compre-
hensive memorandum of understanding (MOU) regarding
industry-focused collaborations on smart grid technology
and its implementation.
Members of the Major Economies Forum on Energyand Climate (MEF) sparked the second significant interna-
tional collaborative effort on behalf of the smart grid. On 14
December 2009, the Korean government took part in estab-
lishing an official MEF smart grid road map during a United
Nations meeting in Copenhagen. Along with Italy, Korea
had been designated a leading smart grid country at the G-8
summit talks of July 2009, and the two nations then col-
laborated closely to complete an international road map for
the smart grid. The MEF smart grid road map was reviewed
by the MEF member nations, and the final road map was
announced in December 2009. The key contents of the MEF
road map indicate that global collaborations on smart gridregulation and policy development are critical to the timely
deployment of smart grid technologies and business models
and are also necessary in order to effectively remove any
existing and potential barriers. The road map also empha-
sizes the importance of smart grid technical standards
development, human resource training and exchanges, and
cybersecurity and privacy. To follow up on the road map
and develop detailed collaboration agendas among member
nations, the establishment of a smart grid working group
under the aegis of the MEF has been proposed.
Finally, Korea and the U.S. state of Illinois have agreed to
collaborate in a smart grid and green-technology initiative.
In January 2010, Korea and Illinois signed an MOU regard-
ing cooperation on smart grid and green technology develop-
ment and deployment in the energy, economic development,
environmental, and related sectors. Both parties agreed to
foster cooperation in the field of smart grid and green tech-
nology development by taking actions to deploy and imple-
ment smart grid business models and technologies developed
and verified by both parties; by exploring opportunities for
joint research and industrial development collaboration; by
developing strategic industrial and technological networks or
collaborative councils in smart grid technology development
and standardization that capitalize on trends and opportuni-
ties of mutual interest; by exploring opportunities to address
the newly emerging markets that include, but are not limited
to, demand response, electric vehicles, energy management
systems, and advanced battery research; and by fostering
information, technology, and human resource exchanges
among government agencies, businesses, and research insti-
tutions. In order to realize this mutually declared commit-
ment, a smart grid and green economy committee (SGGEC)
was established in March 2010 to direct and supervise the
cooperation. Concrete collaborative projects will be initiated
by the end of 2010 and will last for three years. Potentialprojects include smart building, electric vehicle charging sta-
tions, and workforce development. A successful collabora-
tion is expected to support the entry of smart grid technology
into global smart grid markets and to create new investments
and new jobs in the smart grid arena.
Future Directions
Korea has been pursuing implementation of the smart gridas one of its pioneering projects in the era of low-carbon
and green growth. From a domestic point of view, the smart
grid has been included in the five-year green-growth plan to
be implemented as a core national policy task. A national
road map for the smart grid has been established, an inno-
vative smart grid test bed is being built, and the steps that
follow are supposed to be undertaken in a timely manner
to successfully implement a “smart grid society” in Korea.
In addition, several significant international activities have
been undertaken for the past few years, including an agree-
ment on the smart grid with the DOE and GWA, smart grid
leadership at MEF and the establishment of an MEF smartgrid road map in collaboration with Italy, and cooperation
on global development and deployment of smart grid tech-
nology and business models with Illinois.
In 2010 and 2011, with the goal of early penetration and
adoption of the smart grid, the following tasks are to be initi-
ated or completed:
✔ enactment of special legislation on the establishment
of and support for the smart grid
✔ construction of a smart PR center and exhibition halls
✔ installation of a substantial amount of smart grid in-
frastructure
✔ diffusion of pilot smart grid equipment
✔ selection of smart grid demonstration cities
✔ development of the Korea-Illinois project
✔ standardization of smart grid technology.
From now on, Korea will be moving forward with concrete
steps toward smart grid development. In terms of policy and
practices, key future directions for the sustainable implemen-
tation of a smart grid in Korea include support for develop-
ment and standardization of core technologies, expansion of
successful business models, establishment of the necessary
infrastructure, and development of a legal and institutional
framework.
For Further ReadingMinistry of Knowledge Economy, “National smart grid
roadmap,” Korea, Jan. 2010.
Korea Smart Grid Institute [Online]. Available: www.
smartgrid.or.kr
Ministry of Knowledge Economy and Korea Smart Grid In-
stitute, “Brochure on the Jeju smart grid test-bed,” Feb. 2010.
Biographies Jinho Kim is with Kyungwon University, Republic of Korea.
Hong-Il Park with the Korean Ministry of KnowledgeEconomy. p&e