Rep. Cho Kyung-tae Warns Proposed Grid Code for AI Data Centers Could Become New Regulation

Rep. Cho Kyung-tae of the People Power Party, speaking on the 21st, argued that the dedicated grid code for AI data centers (AIDC) that the government is pushing to introduce within the year could become a new regulation on AI data center investment. He urged the Ministry of Science and ICT, the lead ministry, to respond. A grid code is the set of technical standards that power plants and large electricity consumers must meet when connecting to the power grid.

The Ministry of Climate, Energy and Environment launched an AI Data Center Research Association in August and moved to prepare a dedicated grid code to prevent grid instability caused by fluctuations in the power consumption of large AI data centers. Cho argued there is a policy contradiction between how AI data centers procure electricity and the push for new regulation.

According to Cho, a special act on AI data centers passed a National Assembly Science, Technology, Information, Broadcasting and Communications committee in April and included a provision allowing direct trading of electricity generated by liquefied natural gas (LNG) plants. However, the provision was dropped during the May plenary vote after the Climate Ministry objected. The Ministry of Science and ICT and the Climate Ministry later agreed to cooperate on stable power supply through the national grid.

Cho also raised concerns that the scope and timing of the new grid code remain unclear. He warned that if it applies to data centers already in design or under construction, it could force design changes, raise investment costs and delay completion. He said, "Standards necessary for grid safety should be established, but in principle, the grid code should exclude projects already underway," and that the Ministry of Science and ICT should use inter-ministerial consultation channels to represent investors' views.

Cho plans to check the Ministry of Science and ICT's plans to participate in grid code discussions and its measures to protect existing projects during the comprehensive National Assembly audit.

Rep. Cho Kyung-tae of the People Power Party, speaking on the 21st, argued that the dedicated grid code for AI data centers (AIDC) that the government is pushing to introduce within the year could become a new regulation on AI data center investment. He urged the Ministry of Science and ICT, the lead ministry, to respond. A grid code is the set of technical standards that power plants and large electricity consumers must meet when connecting to the power grid.

The Ministry of Climate, Energy and Environment launched an AI Data Center Research Association in August and moved to prepare a dedicated grid code to prevent grid instability caused by fluctuations in the power consumption of large AI data centers. Cho argued there is a policy contradiction between how AI data centers procure electricity and the push for new regulation.

According to Cho, a special act on AI data centers passed a National Assembly Science, Technology, Information, Broadcasting and Communications committee in April and included a provision allowing direct trading of electricity generated by liquefied natural gas (LNG) plants. However, the provision was dropped during the May plenary vote after the Climate Ministry objected. The Ministry of Science and ICT and the Climate Ministry later agreed to cooperate on stable power supply through the national grid.

Cho also raised concerns that the scope and timing of the new grid code remain unclear. He warned that if it applies to data centers already in design or under construction, it could force design changes, raise investment costs and delay completion. He said, "Standards necessary for grid safety should be established, but in principle, the grid code should exclude projects already underway," and that the Ministry of Science and ICT should use inter-ministerial consultation channels to represent investors' views.

Cho plans to check the Ministry of Science and ICT's plans to participate in grid code discussions and its measures to protect existing projects during the comprehensive National Assembly audit.