Korea Electric Power is negotiating a 25 trillion won electricity prepayment plan with Samsung Electronics and SK Hynix

South Korea’s state-owned electricity company Korea Electric Power is currently negotiating with Samsung Electronics and SK Hynix regarding a multi-billion dollar electricity bill prepayment plan to raise funds for building the power grid required for a new semiconductor industry cluster. Under the current plan, Samsung Electronics would prepay 20 trillion Korean won and SK Hynix would prepay 5 trillion Korean won, totaling 25 trillion Korean won, which is roughly equivalent to electricity bills for the next five years. In a statement, Korea Electric Power said: “The large-scale electricity bill prepayment scheme is a mechanism that allows companies needing urgent grid expansion and Korea Electric Power requiring investment capital to mutually satisfy their needs. Specific details, including the prepayment amount and coverage period, have not yet been finalized.”