Power Brokerage in Line with Korea Power Exchange Bidding System
From Jeju's First 'Tamna' to the Largest 'Hallim' Offshore Wind Farm
LG Energy Solution has been selected as the operator of the 'Renewable Energy Bidding Service' for the Jeju Hallim Offshore Wind Farm, the largest offshore wind farm in South Korea. The renewable energy bidding system is a framework that enhances power responsiveness by reflecting the characteristics of renewable energy generated on the day, and it was introduced on a pilot basis in Jeju Island since February last year. With this selection, LG Energy Solution will be responsible for the renewable energy bidding services of all offshore wind farms in South Korea.
LG Energy Solution announced on the 10th that it will operate the renewable energy bidding service for the 100MW-class Hallim Offshore Wind Farm. This site operates 18 wind turbines over a marine area of 5.5 km², which is twice the size of Yeouido, Seoul (2.9 km²). It can produce an average annual renewable energy output of 234,913 MWh. Previously, LG Energy Solution was recognized for its stable bidding management and operational capabilities as the power brokerage operator for the Tamna Offshore Wind Farm, the first offshore wind farm in Jeju Island.
LG Energy Solution will participate in the Korea Power Exchange's bidding system, which is held 'one day ahead' and 'in real-time,' by forecasting the power generation of the Hallim Offshore Wind Farm. If successful in the Korea Power Exchange auction, the electricity generated at the site will be sent to Korea Electric Power Corporation (KEPCO), and ultimately delivered to consumers nationwide.
Offshore wind power is considered more challenging to predict and manage compared to other renewable energies such as onshore wind or solar power because it is affected by rapidly changing sea conditions in real-time. A representative from LG Energy Solution explained, "The fact that we have been operating the demanding offshore wind power business stably so far proves LG Energy Solution's capability in managing the renewable energy bidding system."
LG Energy Solution is currently the only company operating a standalone renewable energy storage system (ESS·Energy Storage System) and running a virtual power plant (VPP·Virtual Power Plant). Based on this experience, it possesses excellent renewable energy operational capabilities, providing comprehensive solutions for renewable energy bidding. The power generation forecast error rate is also low.
During the selection process for the Hallim Offshore Wind Farm operator, LG Energy Solution received excellent evaluations in categories such as ▲performance records ▲forecast accuracy ▲service quality and business operation capabilities, leading to its final selection as the operator. The number of companies that participated in the competition was not disclosed. LG Energy Solution emphasized its differentiated renewable energy operational capabilities, highlighting its extensive experience in operating offshore wind farms, which are more challenging than other renewable energies.
Hwang Wonpil, head of LG Energy Solution's EaaS (Energy-as-a-Service) business, said, "LG Energy Solution is leading the market in the renewable energy bidding market," adding, "We will provide differentiated customer value by stably establishing a business model that contributes to energy circulation beyond battery manufacturing."
Meanwhile, LG Energy Solution established the EaaS business division last year through a regular executive reshuffle to realize its corporate vision of 'leaping to the center of the global energy circulation ecosystem.'
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
