Semyung Electric is showing strong performance. This is interpreted as being influenced by the news that the government will open the power grid business, currently monopolized by Korea Electric Power Corporation (KEPCO), to the private sector.
As of 9:20 AM on the 24th, Semyung Electric is trading at 3,245 KRW, up 14.46% compared to the previous day.
According to industry sources, the Ministry of Trade, Industry and Energy plans to include private companies' participation in transmission line projects in the "Power System Innovation Measures" to be announced early next month. Currently, KEPCO plans the projects, negotiates with residents, and undertakes the construction of transmission and substation facilities, managing the power grid development. However, going forward, part of this will be entrusted to the private sector.
The reason the government is opening the power grid to the private sector is that the amount of electricity needed in the metropolitan area is rapidly increasing, making the installation of transmission lines more important than ever. According to the Ministry of Trade, Industry and Energy, electricity demand, which is 100.8 gigawatts (GW) this year, is expected to increase by 9.5% to 110.4 GW in 2026, within three years.
Meanwhile, Semyung Electric is a company that handles everything from the development and design to the production of fittings for transmission, distribution, and substation lines. It is known to have successfully developed and commercialized fittings domestically for the first time, which were previously 100% imported from Japan.
In its business report, the company stated, “We are developing fittings for HVDC (High Voltage Direct Current) 500kV large-capacity transmission lines, a power transmission method that overcomes transmission losses and the disadvantages of AC transmission,” and added, “Due to energy efficiency policies worldwide aimed at zero carbon emissions such as RE100, the installation of efficient transmission systems is increasingly necessary, so the demand for fittings for ultra-high voltage transmission lines and stable power supply will continue to grow.”
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