South Korea to lift coal cap, boost nuclear output amid Iran crisis

South Korea's ruling Democratic Party said on Monday that the government will lift limits on coal-fired power generation capacity and raise nuclear power plant utilisation to as high as 80% as part of an energy response to the Middle East crisis.



Lawmakers in the party's Middle East crisis economic response task force said in a briefing the measures are aimed at stabilising energy supply and prices as oil and gas shipments to South Korea have been blocked by tensions in the Strait of Hormuz.



South Korea relies almost totally on imports for its energy, buying about 70% of its oil and 20% of its liquefied natural gas (LNG) from the Middle East, according to Korea International Trade Association data.



The government would prioritise managing LNG supplies by increasing coal and nuclear output while reducing reliance on LNG-fired power generation, Democratic Party lawmaker Ahn Do-geol said.



Limits capping coal power output at 80% of installed capacity would be lifted from Monday, Ahn said, while maintenance work at six nuclear reactors would be completed early to boost nuclear utilisation from the high-60% range to 80%.