Chairman Cho Young-tak of Korea Power Exchange (KPX).

The Korea Power Exchange (KPX) held an experts’ conference on the introduction of bid pricing to revamp the electricity market.

Chief-level executives of power companies and domestic experts, including Prof. Park Ho-jung of Korea University, Prof. Noh Jae-hyung of Kunkook University and Prof. Lee You-soo of Korea Energy Economics Institute (KEEI), participated in the event. Participants shared views on the direction of the power market to achieve policy goals: decarbonization and expanding new/renewal energies.

Moon Gyeong-sup, head of KPX’s Market & System Development Division, delivered a keynote speech. Moon explained why a cost-based price market system was introduced when the Korean power market made its debut.

Power experts participate in an experts’ conference designed to promote institutional reform of the power market on Sept. 18.

He also talked about achievements, limitations and examples of foreign power markets. Moon stressed the need for revamping Korea’s system, reflecting costs of the current power market to reflect new energy policies.

Power company executives and power market experts echoed Moon’s views, but they pointed out that it is irrational to not property evaluate the cost of generators used to stabilize the power grid.

They also maintained that it is not easy to reflect factors such as supply priority by newly revaluating carbon costs through the carbon trading market. In order to fix these problems, the experts suggested the introduction of a bid price system.

But they also expressed the need for ramping up market surveillance to the extent autonomy of expanding generators can be met, as shown in foreign examples, and favoring long-term contracts so that generators can evade dangers against market price fluctuations.

The conference also discussed supplementary steps related to the full-scale introduction of a bid price system. Participants discussed the partial introduction of a system using major energy sources.

KPX President Cho Young-tak and division- and office head-level or higher officers attend a rally designed to stress integrity at KPX headquarters in Naju on Sept. 15. (Photos: KPX)

KPX Officers Committed to Ensuring Integrity

KPX held an “integrity rally” on Sept. 15, designed to stress integrity to become an institution beloved by the people.
Division- and office head-level or higher officers participated in the rally held at KPX headquarters in Naju.

KPX President Cho Young-tak gave his lecture on integrity, titled, “Integrity is the Source of Competitiveness,” following the rally.