EV charging market in Korea burgeoning with big names joining, but lacks regulations

[Photo by MK DB]

Big corporate names are joining the flurry over charging infrastructure in South Korea amid fast migration to electric vehicles, but regulatory system has not been keeping up to raise safety concerns.

According to Korea Smart Grid Association under Ministry of Trade, Industry and Energy on Thursday, 349 business entities have registered as EV charging service operators as of end of July, up 87.6 percent from the end of December. A majority – 74.2 percent or 259 – of the operators are small- and mid-size enterprises riding on government subsidies.

EV charging market is led by two groups – manufacturers of chargers and operators of micro charging stations. Joongang Control for one produces EV chargers while Powercube Korea and ChargEV run the chargers.

Large companies are also rushing into the burgeoning market.

Global consulting firm Roland Berger projected world’s EV charging market to surge to $325 billion in 2030 from $55 billion in 2023.

U.S. electric automaker Tesla Inc. operates its own charging station network Supercharger in Korea and Hyundai Motor Group under the brand E-pit. LG Electronics strengthening automotive electronics solutions and Samsung Fire & Marine Insurance have also launched charging services.

LG Electronics in June joined hands with GS Energy and GS Neotek and acquired a full stake in EV charger manufacturer AppleMango. Samsung Fire & Marine Insurance is testing out micro chargers in the southern resort island of Jeju.

Despite the fast corporate move, related safety and maintenance regulations have been laggard.

There are only regulations on standard and 40kW fast charger and no guideline on superfast chargers.

“There is no criteria for superfast charging facilities. Superfast usually refers to a charger of 300kW or faster that can fuel long-range vehicles in minutes,” said an unnamed official from the Ministry of Environment.

Such superfast chargers would be preferred, but they lack Korea Certification Mark that checks on safety.

Mobile chargers, a device that allows drivers to charge vehicles via an electrical outlet with an electronic tag, are available, but also without safety criteria. The chargers have not received government authorization that requires shock and vibration testing.

The government is working on establishing safety-related certification standard.

There is also a need to regulate automakers on accuracy and clarification in marketing on charging time.

Hyundai Motor markets IONIQ 5 Long Range can charge to 80 percent in just 18 minutes with a 350 kW charger. It does not explain how much time it takes using a standard (7~40 kW) or quick charger (over 50 kW).

“A proper standard should be established,” said Lee Hang-koo, a researcher at Korea Automotive Technology Institute. “Consumers should also be offered more diverse charging methods like wireless and battery replacement charging.”

[ⓒ Maeil Business Newspaper & mk.co.kr, All rights reserved]