Gangwon governor's SK AI data center pledge cut to 400MW first phase, critics say
In short
Gangwon Governor Woo Sang-ho, approaching 100 days in office, told Yonhap that four major South Korean companies are at the stage of considering or confirming investment in the province, focused on AI data centers, and that GS plans to break ground in Donghae within the year. CBS NoCut News reported that the Gangwon Peace Economy Research Institute criticised his first campaign pledge — a 1GW SK AI data center in Gangneung — saying he has proposed starting with a 400MW first phase, a 60% reduction, and that the project's process has not been clearly explained. Woo has cited substation capacity as the obstacle.
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Gangwon Special Self-Governing Province Governor Woo Sang-ho, approaching 100 days in office, said four major South Korean companies are at the stage of considering or confirming investment in the province, with AI data centers as the focus, in an interview with Yonhap published on 5 October. He said attracting corporate investment was his main priority over the past three months. [ 1 ]
Woo said GS is pushing an AI data center in Donghae and plans to break ground within the year, while SK, KT and Shinsegae are reviewing or negotiating investment, and that talks are under way with four companies in four cities. He said his strategy was to target large corporate AI data centers only, rather than several advanced industries at once, citing the province's abundant water and electricity and empty industrial parks. On power, he said the province must use the electricity it generates, and that it has signed an agreement with KEPCO on grid innovation. [ 1 ]
On the SK project, Woo said the company initially discussed 1.2GW but that a substation problem led to negotiations on reducing the scale. He said the province is concentrating on completing the four existing projects rather than adding more, though Samcheok has land and power capacity for one or two additional facilities. He also said the defence ministry is drawing up details for areas newly secured by a northward shift of the civilian control line, where the province plans solar and wind facilities under its “clean energy highway” plan. [ 1 ]
CBS NoCut News reported on 6 October that the Gangwon Peace Economy Research Institute had issued a statement criticising Woo's first campaign pledge, the Gangneung SK AI data center. The institute said Woo, during the local election campaign, promised to attract a 1GW SK AI data center to Gangneung and cited up to 70 trillion won in investment, about 200,000 jobs and up to 10 trillion won in tax revenue, but recently proposed to SK that the project start with a 400MW first phase — a 60% reduction from the promised scale. [ 2 ]
According to the institute, Woo's public statements changed over time. On 15 May he said at a Gangneung campaign launch that final negotiations with one of South Korea's five largest conglomerates had been completed and that the project would change the province's industrial map and create about 200,000 jobs. On 22 May in Donghae he described a national AI data center project worth up to 70 trillion won and said he had attracted the investment. After the election, on 22 June he told a briefing the project was not at a stage that could be confirmed, citing the substation issue, and on 21 September he acknowledged he had not grasped during his candidacy that substation capacity was below 1GW. On 29 September he said he had proposed a 400MW first phase to SK. [ 2 ]
The institute said the problem was not only the reduction from the original pledge but that the process and content of what Woo called his first pledge — which he said would transform Gangwon's industrial landscape — still had not been clearly explained officially, and that it had been pursued without sufficient verification. The documents do not contain a response from Woo or his office to the institute's statement, and the two documents give different figures for the original project scale, with Woo citing 1.2GW and the institute citing a 1GW pledge. [ 1 , 2 ]
Why it matters
The dispute tests whether a flagship provincial pledge to rebuild Gangwon's industrial base around AI data centers can be delivered at the scale promised during the campaign. It also puts attention on power grid capacity as a constraint on large data center projects outside the Seoul region, which the governor says the province and central government must address. Both documents are from South Korean outlets and centre on a domestic provincial project.
Key facts
- Woo Sang-ho is approaching 100 days as Gangwon Special Self-Governing Province governor. [ 1 , 2 ]
- Woo said four major South Korean companies are considering or have confirmed investment in four cities in the province, with AI data centers as the focus. [ 1 ]
- Woo said GS is pushing an AI data center in Donghae and plans to break ground within the year, while SK, KT and Shinsegae are reviewing or negotiating investment. [ 1 ]
- Woo said SK initially discussed a 1.2GW project but that a substation problem led to talks on reducing the scale. [ 1 ]
- The Gangwon Peace Economy Research Institute said Woo's Gangneung SK AI data center pledge has been cut from 1GW to a proposed 400MW first phase, a 60% reduction. [ 2 ]
- The institute said Woo's campaign claims included up to 70 trillion won in investment, about 200,000 jobs and up to 10 trillion won in tax revenue. [ 2 ]
- The institute said the project's process and content have still not been clearly explained officially. [ 2 ]
Confirmed by several sources
- Woo Sang-ho is nearing 100 days as Gangwon governor. [ 1 , 2 ]
- The SK AI data center project in Gangwon is being discussed at a smaller scale than initially planned, with a substation problem cited. [ 1 , 2 ]
- Woo said GS plans to break ground on an AI data center in Donghae within this year. [ 1 ]
- Woo said four major companies are at the stage of considering or confirming investment in Gangwon. [ 1 ]
Still unclear
- The size of the original SK project: the governor said SK initially discussed 1.2GW, while the research institute cited a 1GW campaign pledge. The two documents give different figures for the original scale, and neither states why they differ.
- Whether any of the four companies' investments are final. Woo said the companies are reviewing or confirming, and that decisions take time; no binding figures were given.
- The basis for the campaign figures of up to 70 trillion won in investment, 200,000 jobs and up to 10 trillion won in tax revenue. Those figures come from the research institute's account of Woo's campaign statements, cited only in one document, and are not restated by the governor.
- How the governor responds to the research institute's criticism. The documents contain no response from Woo or his office to the statement reported by CBS NoCut News.
What local media are saying
Timeline, local time
- At a Gangneung campaign launch event, Woo says he has completed final negotiations with one of South Korea's five largest conglomerates and that the project will create about 200,000 jobs. [ 2 ]
- At a campaign stop in Donghae, Woo describes the project as a national AI data center worth up to 70 trillion won and says he has attracted the investment. [ 2 ]
- At a briefing, Woo says the project is not at a stage where it can be announced as confirmed, and cites the substation problem. [ 2 ]
- Woo acknowledges he did not grasp during his candidacy that substation capacity was below 1GW. [ 2 ]
- At a Yeongdong press briefing, Woo says he proposed a 400MW first phase to SK to match available power capacity. [ 2 ]
- Yonhap publishes an interview with Woo ahead of his 100th day in office. [ 1 ]
- CBS NoCut News reports that the Gangwon Peace Economy Research Institute issued a statement criticising the project's reduced scale and the process behind the pledge. [ 2 ]