South Korean apartments face blackout risk as aging transformer replacements lag and funding shrinks

South Korean apartments are facing a growing risk of power outages during heatwaves due to aging transformers, with a significant lack of replacements and dwindling government support. Only 9.4% of the nation's 7,069 older apartment complexes have replaced their transformers between 2022 and July of this year. The replacement rate is even lower in the Seoul metropolitan area, with only 7% in Seoul and 8% in Gyeonggi province.

The problem is exacerbated by increased electricity consumption, particularly from air conditioners during summer heatwaves and tropical nights. This overloads older transformers, leading to outages. Last year, 96 apartment power outages affected about 65,000 households, and this year has already seen 43 outages impacting 30,000 households by last month.

Despite the rising risk, government funding for the replacement program has been slashed. The budget for the aging transformer replacement support project, funded by the Electricity Industry Foundation, dropped from 3.3 billion won in 2023 to 2.67 billion won in 2024, and further to 1.7 billion won for both 2023 and 2024. This reduction has led to a sharp decrease in the number of apartments receiving government support for replacements, falling from 149 in 2022 to just 38 last year.

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Large-scale power outage incidents due to aging transformers can become a reality at any time, with increased appliance use and climate disasters like heatwaves and tropical nights.

Currently, the Korea Electric Power Corporation (KEPCO) and the government cover up to 80% of the material costs for replacing transformers in apartments older than 15 years. However, the remaining costs for materials and installation, along with the entire construction cost, must be borne by the apartment complexes themselves. This financial burden makes it difficult for older complexes, often with weaker financial standing, to undertake necessary replacements.

Rep. Seo Wang-jin of the Cho Kuk Innovation Party highlighted the urgency, stating that large-scale power outages are a real possibility given increased appliance use and climate change-induced heatwaves. He called for clear safety management standards for aging transformers and increased funding for their replacement, rather than leaving the decision solely to residents.

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We need to establish clear safety management standards and promote the replacement of facilities that have passed their service life, along with securing the necessary budget, rather than leaving the replacement of aging transformers solely to resident judgment.