LS Eco Energy—a subsidiary of South Korea’s LS Cable & System—announced that it has signed a business agreement with the Institute of Energy of Vietnam (IEV) under the Vietnam Electricity Authority (EVN) for a superconducting cable project. Of note, LS Cable & System Asia changed its name to LS Eco Energy to pursue new businesses in submarine cables and rare-earth elements.

Per an article at businesskorea.co.kr, the two parties plan to establish a cooperative system to apply superconducting cables to the Vietnamese power grid and explore business opportunities. Superconducting cables, first commercialized domestically by LS Cable in 2019, use the superconducting phenomenon where electrical resistance disappears at low temperatures, maximizing transmission efficiency. In case of power expansion due to overload, replacing the cable alone can increase transmission capacity by more than five times.

When building new cities, the construction cost of electrical ducts, which are about three meters high, can be reduced to less than 1/20th by replacing them with conduits approximately one meter in size. The technology minimizes environmental impact by needing fewer and smaller substations and transmission towers.

Per IEV, Vietnam is set to face a surge in power demand and consumption over the coming decade, which will have an impact on its energy security. The government of Vietnam expects power consumption to grow 10-12 % annually through 2030, one of the fastest power consumption growth rates in Asia.