South Korea Launches 1 GW Solar Tender with Focus on Low-Carbon Modules

South Korea’s Ministry of Trade, Industry and Energy (MOTIE) has officially launched a tender for 1 GW of new solar capacity, releasing updated procurement details aimed at driving the nation’s renewable energy growth while promoting sustainability in manufacturing.

The tender sets a ceiling price of KRW 155,740 ($113.6) per MWh for proposed solar projects, marking a slight decrease from last year’s cap of KRW 157,307/MWh. The adjustment reflects recent trends in competitive bidding and reductions in the levelized cost of energy (LCOE) for solar photovoltaic systems, according to the ministry.

In a move to encourage the use of environmentally friendly components, MOTIE’s tender includes a preferential pricing mechanism for solar modules with a lower carbon footprint. Eligible modules must meet a minimum carbon emission threshold of 655 kg CO₂ per kW.

This year’s procurement mirrors a similar initiative conducted in 2023, which also allocated 1 GW of PV capacity. In addition to the solar tender, the government plans to procure 1.25 GW of onshore wind power in 2025, with a price cap set at KRW 176,565/MWh.

As part of South Korea’s broader renewable energy strategy, MOTIE announced plans to connect successful solar and wind bidders under this tender with RE100-aligned companies for potential long-term power purchase agreements (PPAs). The initiative aims to strengthen corporate sourcing of clean energy and accelerate the country's transition toward carbon neutrality.

According to the Korean Energy Agency, South Korea installed approximately 2.5 GW of new solar capacity in 2024, raising the nation's cumulative PV capacity to over 29.5 GW.