South Korea LNG long-term outlook 2017 - dawn of a new gas era?
The election of President Moon as the 19th president of South Korea may have changed the energy landscape. Coal and nuclear accounted for 71% of electricity generated this year and their dominance was expected to be maintained throughout our current forecast. However, with the anti-coal and nuclear stance adopted by the new government, the outlook for both fuels has become uncertain. Should President Moon's electoral promises be fulfilled, coal and nuclear will slowly be replaced by gas and renewables from 2020. This could mean significant upside to gas and LNG demand. However, we hesitate to make drastic changes to our forecast based on electoral promises until more clarity on future generation mix is available when the 8th Long-term Electricity Supply and Demand Plan is published, potentially before the end of the 2017.