South Korea’s largest public power generator and leading private companies in the energy sector have joined hands to accelerate the transition towards clean energy sources.
SK Inc. announced the signing of a strategic memorandum of understanding (MOU) with Korea Hydro & Nuclear Power (KHNP) and SK Innovation that aims to enhance cooperation in the clean energy sector. The MOU signing ceremony was held on Friday, June 16 at SK’s headquarters in Seoul. The event was attended by Dong-hyun Jang, Vice Chairman & CEO of SK Inc., Joo-ho Whang, President & CEO of KHNP, and Dong-soo Kang, head of SK Innovation Portfolio Divisional Group.
The three companies agreed to collaborate and pursue various business opportunities. These opportunities involve engaging in the global supply chain of next-generation energy sources including nuclear energy, which is an eco-friendly alternative that does not produce carbon emissions, as well as renewable energy such as wind power and hydrogen. The primary goal of all three companies is to achieve carbon neutrality by leveraging the competitive advantages of their eco-friendly energy businesses.
Through this multi-party MOU, SK will accelerate the commercialization of its clean hydrogen and new renewable energy ventures. In addition, SK will strive to realize its Small Modular Reactor (SMR) business, which involves the development of a next-generation nuclear power plant, in order to bolster its goal of achieving Net Zero. SK’s objective is to achieve a 1% decrease in global carbon emissions by 2030. To accomplish this, the company is pursuing a transition to a low-carbon and decarbonized business model, aiming to make carbon neutrality a sustainable opportunity for growth.
KHNP plans to bolster its expansion into the global market, including the United States, by collaborating with private companies. KHNP will proactively acquire cutting-edge technologies in the clean energy sector. By leveraging its expertise in nuclear power, KHNP is actively working towards establishing novel sources of growth in diverse eco-friendly energy fields.
At the MOU signing ceremony, Dong-hyun Jang, Vice Chairman & CEO of SK Inc., expressed SK’s anticipation for creating a diverse eco-friendly energy business. "We expect to be able to create various eco-friendly energy business opportunities both at home and abroad with KHNP.”
Joo-ho Whang, President & CEO of KHNP, stated, “KHNP has been at the forefront in securing future growth engines in the clean energy sector. Through this agreement, we will collaborate with SK to achieve the 2030 national greenhouse gas reduction target and contribute to achieving net zero emissions worldwide.”
Separately, SK Inc., SK Innovation, and KHNP signed a four-party collaborative agreement in April 2023 with TerraPower, a US nuclear innovation company, to cooperate in advancing the commercialization of the SMR.