An aerial view of the Shintaebaek substation in Gangwon Province / Courtesy of Korea Electric Power Corp.
The Korea Electric Power Corp. (KEPCO) is deploying an artificial intelligence (AI)-based power grid management system aimed at reducing annual electricity procurement costs by approximately 110 billion won ($73.4 million), as it seeks to improve efficiency and stability amid rapidly shifting power demand patterns.
The state-run utility company said on Wednesday that it has overhauled its grid demand forecasting model using AI and optimized the operation of advanced power facilities, including static synchronous compensators (STATCOM), to enhance overall grid performance.
The move comes as electricity consumption patterns in Korea are undergoing structural changes, driven by the rapid expansion of data centers, growing electric vehicle (EV) adoption and rising renewable energy generation.
In regions such as the East Coast, where power generation capacity is abundant but transmission infrastructure remains limited, operators have repeatedly been forced to curb electricity output due to grid bottlenecks.
To address the issue, KEPCO rebuilt its demand forecasting model using AI-driven big data analytics. Unlike the previous model that relied on only 159 datasets primarily from Seoul, Gyeonggi Province and Busan, the new system incorporates approximately 95,000 real-world data points collected nationwide, enabling more granular and accurate analysis.
It also reflects emerging consumption trends tied to high-load infrastructure such as data centers and EV charging networks.
KEPCO expects the upgraded system to ease curtailment pressure on low-cost power generators in the east coast and Jeolla Provinces, generating annual electricity purchasing cost savings of about 60 billion won.
“AI-driven innovation in grid operations is part of our broader effort to provide the public with more stable and cost-efficient electricity services,” KEPCO CEO Kim Dong-cheol said. “We will continue improving grid efficiency to reduce the financial burden on consumers while ensuring a reliable power supply.”
The utility has also optimized the operation of STATCOM systems installed at newly completed substations in Taebaek and Yangyang, Gangwon Province. STATCOM systems are advanced grid devices that stabilize power networks by rapidly injecting or absorbing reactive power, helping maintain reliability during disturbances.
Source: Korea Times News
