SECURING NEW ENERGY SUPPLIES
Industry Minister Kim Jung-kwan said disruptions to shipping through the Strait of Hormuz were still affecting supplies and that even if the passage normalises, it could take around 20 days for Middle Eastern cargoes to reach South Korea.
The government is prioritising support for the passage of seven South Korea-bound oil tankers stuck in the Gulf area, a document shown during the cabinet meeting said.
Foreign Minister Cho Hyun told the meeting that the ministry had sent officials to the Congo, Algeria and Libya in a bid to secure energy supplies, in addition to presidential Chief of Staff Kang Hoon-sik travelling to countries such as Kazakhstan since last week.
“I also urge the parties to this war to take courageous steps toward the peace the world so desperately wants, based on the principles of protecting universal human rights and the lessons of history,” Lee said.
South Korea’s energy ministry said on Tuesday it would begin rolling out a revised seasonal and time-of-use electricity pricing system to shift power demand away from evening peak hours toward midday, when solar generation is higher.
The new rates take effect for large industrial users from Apr 16, while weekend discounts for electric-vehicle charging will begin on Apr 18.
Meanwhile, Middle Eastern oil producers are in contact with South Korea about using the country’s petroleum storage facilities as disruptions at the Strait of Hormuz continue, a South Korean industry ministry official said on Tuesday, signalling growing interest in offshore crude storage hubs.
Yang Ki-wook, a senior official at the industry ministry, told a briefing that Middle Eastern countries were showing increased interest in storing oil outside the strait because a prolonged disruption in logistics would hit their economies and pre-positioning crude could reduce export risks.
Yang said that in addition to Abu Dhabi National Oil Company, which already has a joint stockpiling agreement with South Korea, other Middle Eastern producers were also in contact, though he did not identify them.
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