Skip to content
Welcome, thoughtbot's Giant Robots listeners!Start here
Data Centres: Boom and Backlash
22OCT

Seoul drafts AI data-centre grid code

3 min read
16:40UTC

Seoul's climate and energy ministry plans ride-through and voltage rules for AI data centres this year; PPP lawmaker Cho Kyoung-tae wants projects already under way exempted.

IndustryDeveloping
Key takeaway

Korea's AI data-centre grid code may exempt the very campuses now starting construction.

South Korea's Ministry of Climate, Energy and Environment plans to issue a grid code, the technical rules for connecting to the network, for AI data centres within 2026, Newspim reported on 21 October⁠1. The code would require sites to ride through grid disturbances and hold voltage steady. The ministry has not set its scope or start date.

Cho Kyoung-tae, a People Power Party member of parliament on the National Assembly's science committee, says the code should in principle exempt projects already under way. He plans to raise it at the National Assembly's annual audit of ministries. In May the ministry's objection removed a clause from the AI data-centre special act that would have let developers buy power directly from LNG (liquefied natural gas) plants. "They blocked direct LNG deals and told us to take power from the national grid, so raising the bar now makes no sense," Cho said.

Gigawatt-scale AI campuses at Ulsan and Donghae have started or are about to start, so the exemption decides whether the first large sites build to the new code. In August the government proposed regional power prices to pull the same load away from Seoul. Malaysia now bills data centres for the grid capacity they reserve, and Quebec's proposed tariff charges for contracted power left unused: three governments are writing the cost and conduct of large loads into grid rules.

Deep Analysis

In plain English

AI data centres use huge amounts of electricity. If the power grid has a brief fault, a large data centre can suddenly switch itself off or swing its demand, and that shock can spread through the network. South Korea's climate and energy ministry wants a rulebook, called a grid code, that tells AI data centres how to behave during such faults: stay connected and keep voltage steady. A lawmaker, Cho Kyoung-tae, says projects already being built should not have to follow the new rules. Earlier this year the government stopped developers buying power straight from gas plants, so he says it is unfair to raise the bar now.

Deep Analysis
Root Causes

The May decision to drop direct LNG purchases from the AI data-centre special act put every new AI campus onto the national grid run by KEPCO, the state utility. That concentrated the stability risk in one network, which is why the ministry now wants rules on how those loads behave.

Geography adds pressure. The government's August proposal for eleven regional price zones is meant to pull large loads away from Seoul, so the first big campuses are rising at Ulsan and Donghae, far from the capital's demand centres and on parts of the grid built for other users.

What could happen next?
  • Consequence

    Cho will raise the exemption question at the National Assembly's annual audit of ministries.

  • Risk

    If the code applies to projects under way, the Ulsan and Donghae campuses may need design changes.

First Reported In

Update #17 · Stalled power line cuts A$140m from NEXTDC guidance

Newspim· 22 Oct 2026
Read original →
Different Perspectives
Mohsen Rezaei
Mohsen Rezaei
The senior Iranian security official and former IRGC commander told Press TV that US-linked technology infrastructure in the region could become a target if war resumes. He named the UAE and valued the assets at more than US$2 trillion, without a breakdown.
Mykhailo Shelemba
Mykhailo Shelemba
Datagroup's chief executive says the Kyiv data centre hit on the night of 18 to 19 October is beyond repair. Services continue from backup sites, and no staff were hurt.
Kristen Umstattd
Kristen Umstattd
The Loudoun supervisor voted against fast-tracking Amazon's rezoning of the Ashburn campus. She said there were no figures yet on homes, school or road costs.
Akishima residents' litigation group
Akishima residents' litigation group
The group formed on 18 October and plans to sue Nihon GLP by year-end to stop eight data-centre buildings. Its lawyers will argue rights to life, health, clean water and a natural environment after mediation failed in August.
Óscar López
Óscar López
Spain's Digital Transformation minister said on 22 October he could not confirm when the data-centre decree will be approved. He added that Google has always committed to investing in Spain.
Google
Google
Google said it would comply with LVV's order to stop preparatory works at Muhos and Kajaani until environmental assessments finish. A spokesperson conceded the company had fallen short.

Written with AI from Lowdown's published reporting. Not individually reviewed by an editor. Editorial standards.