South Korea is considering increasing its demand for renewable nuclear energy as demand for data centers grows

(Bloomberg) — South Korea should focus on increasing its share of renewable and nuclear energy more power as proposed by the government by the end of the next decade to reduce emissions and meet growing demand from data centers to semiconductor manufacturing.

The world’s eighth-largest issuer may seek to increase its share renewable energy sources from about 9% in 2022 and make nuclear energy the largest source of electricity generation in the country, according to a document published on Friday. According to the plans, coal and natural gas extraction will decline sharply.

Achieving these goals would require South Korea to build another 4.9 GW of nuclear capacity by 2038, on top of the 5.6 GW of reactors currently under construction, according to a strategy proposed by an energy ministry expert committee.

According to the panel, further proposals will be needed to modernize the existing energy infrastructure. “Network expansion is the most important challenge we face today,” Jerng Dong-wook, chairman of the ministry’s committee, told reporters in Seoul.

The plans will require further government scrutiny, parliamentary debate and public hearings before the strategy is finalised.

By the end of the decade, the country’s electricity demand is projected to double from last year’s total demand, driven by energy consumption by energy-intensive industries, including chip manufacturing. South Korea this month established a $19 billion package of incentives aimed at boosting semiconductor production.

Related:Welcome to the era of nuclear-powered data centers

Three new nuclear reactors with a capacity of 1.4 GW each and a reactor with a capacity of 700 MW should be considered small modular reactorin accordance with the proposed strategy.

President Yoon Suk Yeol was elected in 2022 after pledging to support nuclear energy and use this energy source to meet climate goals. South Korea has committed to reducing emissions by 40% from 2018 levels by 2030.