Hogan Lovell OffshoreBook 2023 230809 OnlinePDF - Flipbook - Page 220
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(a) where there is a need to control the balance of supply and demand of electricity;
(b) where KEPCO‘s infrastructure needs to
be suspended for construction (e.g.,
repair, replacement, etc.);
(c) where it is requested by KPX pursuant to
the Regulations on the Electricity Market
Operation; or
Republic of Korea
We note that, although KEPCO has the
authority to suspend or restrict access to
transmission and distribution infrastructure
for the above reasons, to our knowledge, it
has never actually exercised this authority
on a utility-scale renewable energy project.
In the event of such restriction, KEPCO is
required to provide generators subject to
these restrictions certain benefits in the
form of discounted grid usage fees as partial
compensation therefor.
(d) where there is an emergent or serious
need to suspend the use of KEPCO‘s
infrastructure for safety.
5. REAL ESTATE
The terms for acquiring title, use or lease
rights to private lands are generally freely
negotiable with the private landowner.
thereon. If the land is classified as a "general
property", then title, lease, or usage rights
thereto may be acquired from the national
or local government, as applicable. For leases entered into on or after October 1, 2020,
government owned lands may be leased
for a maximum initial term of 10 years. The
initial term is renewable up to two times for
an additional 10-year period, in each case
(i.e., government owned lands may now be
leased for maximum periods of 30 years).
On the other hand, the process for acquiring
title, use, or lease rights to land owned by
the Government is regulated by statute. If
the land is classified as an "administrative
property", then title thereto may not be
acquired. In this case, the developer must
obtain a use permit from the national or local government in order to develop electric
facilities such as interconnection facilities
5.2 Costs and risk of legal challenges
Costs for land rights vary from case to case
depending on the value of the relevant land
and the price negotiated with the landowner
(or the applicable governmental authority
in the case of publicly owned lands). There
is very little risk of a developer‘s legitimate
title to or usage rights over applicable lands
being challenged.
5.1 Rights over Land to be Secured
The developer of an OWF in Korea will be required to secure title to or usage rights over
all lands to be included in the project site
and all lands necessary to install transmission lines from the wind farm to the assigned
KEPCO substation.
