Launched during Korea’s “Go to Sea Month” a new study, “Renewable energy-based port electrification in Republic of Korea,” (Korean version) highlights the opportunity for the Republic of Korea’s ports to be reimagined as renewable energy hubs by using unused renewable energy for port and ocean shipping electrification. It reveals the potential and conditions for renewable energy-based port electrification, along with the institutional bottlenecks and challenges to its implementation.

Recent tensions in the Middle East surrounding the Strait of Hormuz highlight the shipping sector’s continued reliance on fossil fuel-based energy supply chains, underscoring risks related to energy security and price volatility. According to the International Energy Agency (IEA), the Strait of Hormuz is one of the world’s most critical energy chokepoints, with a significant share of global seaborne oil trade passing through it. Instability in the region can therefore have direct impacts on global energy markets and maritime logistics and highlights the growing urgency to accelerate port electrification and the transition to renewable energy.

Korea has a paradoxical situation: Renewable energy in regions like Jeju and Jeolla Province is being curtailed due to grid constraints, while ports continue relying on fossil-based electricity. While the Republic of Korea has been expanding renewable energy, the share of renewables in the overall power mix remains relatively limited. At the same time, the government is accelerating the deployment of offshore wind, including large-scale projects in Incheon, Ulsan, and Shinan, the report argues that ports are well positioned to serve as customers for surplus renewable power.

This is especially important as there is global pressure on ports is intensifying following the International Maritime Organization’s adoption of a 2050 net-zero target, alongside new EU measures such as the expanded Emissions Trading System and FuelEU Maritime.

Port electrification goes beyond short-term air quality improvements and port operational efficiency. It drives increased renewable energy utilization, alleviates grid bottlenecks, strengthens energy security and propels the decarbonization of shipping, ports and coastal shipping simultaneously. When port electrification is designed based on renewable energy, ports can function as core nodes for energy transition beyond being logistics hubs. But the supply pathways needed to support this growth — including viable options for meeting rising electricity demand and clarifying which power sources will underpin it — remain undefined, creating a potential planning gap for large-scale electrification.

“What is needed is not just expanding renewable energy or electrifying ports separately, but creating a system that directly connects the two. Without this linkage, electrification risks shifting emissions rather than reducing them,” said Hyunjin Jo, Shipping and Ports Associate, Pacific Environment.

“In Korea, renewable energy curtailment is already occurring in regions such as Jeju and Jeolla due to grid constraints. Linking this surplus renewable energy with port electricity demand can improve grid efficiency and increase regional energy utilization,” said Hyunju Kang, Climate Campaign Director for Asia, Pacific Environment added. “Such a transition can also stimulate the growth of related industrial ecosystems — including electric vessels, batteries, and port power infrastructure — thereby strengthening energy security and competitiveness of the shipping and port sectors. Integrating renewable energy into ports and shipping is a strategic solution that not only accelerates port decarbonization but also creates economic opportunities.”

Additionally, this study proposes a pilot framework linking renewable energy-based port electrification with electric vessel deployment, including short-haul routes between Korea and Japan such as Busan-Fukuoka and Busan-Tsushima. Electric propulsion vessels are particularly well suited for these short, high-frequency routes, and key actions include establishing common Asian standards for charging and battery safety, piloting electric feeder vessels within ports, and advancing phased demonstrations across the region.

Challenges towards port electrification

Pacific Environment identified several constraints delaying renewable energy-based electrification in domestic ports, including:

Korea’s power planning and infrastructure are highly centralized under Korea Electric Power Corporation (KEPCO) — and given the long lead times required to expand transmission and distribution networks — the grid may struggle to accommodate the rising peak loads expected from Onshore Power Supply expansion and port equipment electrification. This raises concerns about whether sufficient capacity will be available to support large-scale demand growth, creating potential risks to power reliability during the transition.

Institutional gaps exist in port renewable energy production and utilization, as the Port Act and Basic Port Plan lack clear provisions for prioritizing renewable energy use, standards for direct connection and purchase of external renewable energy, and port power distribution and management systems.

There is insufficient data on port power demand that inhibit mid-to-long-term demand forecasting and policy decisions on introducing distributed power sources, Energy Storage System (ESS) and microgrids. This results in an inadequate storage and management system to respond to increasing demand.

Under the current electricity supply and certification structure — where power is supplied from KEPCO to the Port Authority and subsequently redistributed to terminal operators — terminal operators face structural constraints in securing renewable energy certification (e.g., RE100 participation or PPAs). Consequently, market incentives for renewable energy use remain limited.

Insufficient institutional linkage between regional renewable energy policies and port decarbonization strategies has limited the ability to channel surplus renewable electricity to port electrification demand.

To address these challenges, Pacific Environment examined port electrification cases from Europe, the U.S., Japan and China to develop the following recommendations for Korean ports. Pacific Environment also identified and compared/ analyzed the current status of related policies and technological/institutional trends in domestic ports, including carbon-neutral port plans, carbon-free fuel demonstrations and the establishment of green shipping corridors.

Policy recommendations for ports
1. Legal and institutional reform: Ports must be clearly designated as a major energy off-taker and operational entities in the carbon neutral transition (based on renewable energy). The scope and installation standards for renewable energy production, storage, operation and distribution facilities within ports must be specified.
2. Power Infrastructure and Grid Strategy: Ports should mandate and institutionalize mid-to-long-term power demand surveys and infrastructure roadmaps that explicitly account for peak loads arising from port electrification. By diversifying power supply sources through the integration of renewable energy, ESS and the existing grid and enabling flexible, distributed power management via microgrids, ports can actively smooth and attenuate peak load pressures rather than relying on single-source grid expansion.
3. Governance: A multi-agency, multi-stakeholder implementation structure must be established to link port policies centered on the Ministry of Oceans and Fisheries with energy and grid policies (power grids, renewable energy, tariffs, safety). This should be expanded into a “Port Electrification Linkage Governance” framework involving the central government, port authorities, local governments, KEPCO/grid operators, private operators, shipping companies, shipbuilders and energy providers.
Source: Pacific Environment