The South Korean government has stated that the recent US and Israeli airstrikes in Iran will have a limited short-term impact on domestic electricity prices due to a decrease in power demand caused by rising spring temperatures.
In response to the increased uncertainty in the Middle East due to the recent US and Israeli airstrikes on Iran, South Korea's Ministry of Climate, Energy and Environment has communicated that the short-term effects on the domestic electricity market will be limited. During an energy status meeting led by Deputy Minister Lee Ho-hyun on the 2nd, officials noted that the rise in temperatures during spring has contributed to decreased power demand. Furthermore, even though the airstrikes may lead to a rise in oil prices, the associated effects on the liquefied natural gas (LNG) prices in the electricity market typically take about 3 to 6 months to manifest.
