Gyeongsangnam-do Fights to Host Power Utility HQ, Keep LH and Naval Academy

"Not Merely Local Issues but Tasks for Balanced Development and National Security" Existing Buildings Ready for Immediate Use; Naju Would Take 250 Billion Won and Five Years Opposing Rushed Merger of Military Academies, Naval Academy Must Stay in Jinhae

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By Park Jong-wan, Changwon
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Park Il-woong (left), Administrative Vice Governor of South Gyeongsang Province, holds a briefing on the 3rd at the South Gyeongsang provincial government office, stating positions to attract the integrated headquarters of power generation state-owned enterprises, retain the LH headquarters, and oppose the integrated relocation of the military academies. - Seoul Economic Daily Society News from South Korea
Park Il-woong (left), Administrative Vice Governor of South Gyeongsang Province, holds a briefing on the 3rd at the South Gyeongsang provincial government office, stating positions to attract the integrated headquarters of power generation state-owned enterprises, retain the LH headquarters, and oppose the integrated relocation of the military academies.

Gyeongsangnam-do has designated three core issues—hosting the integrated headquarters of state power utilities, and keeping the Korea Land and Housing Corporation (LH) headquarters and the Korea Naval Academy in Jinhae—as matters that will determine the region's future growth engine and national security, launching an all-out response to the central government.

The provincial government held a briefing at the provincial office press center on the 3rd, stating, "These three matters are not merely local issues but tasks directly linked to balanced regional development, securing future growth engines, and maintaining the foundation of national security." It said it would strengthen a joint response with the government, the National Assembly, and the local community.

First, regarding the government's ongoing integration of state power utilities, the province stressed that the integrated headquarters should be located in the Gyeongnam Innovation City in Jinju. Its greatest strength, the province argued, is that the existing headquarters building of Korea South-East Power can be used as it is. While Naju in South Jeolla and Naepo in South Chungcheong, cited in media reports, would require more than 250 billion won just for construction of an integrated building and take more than five years, Jinju allows immediate occupancy, the province explained. Hosting the integrated headquarters is also expected to bring tax revenue of about 3 billion won annually.

The province also cited living conditions and industrial connectivity as grounds. The Gyeongnam Innovation City has education, medical, cultural, and transportation infrastructure, giving it one of the highest settlement satisfaction levels nationwide, and it forms a one-hour living zone with major power plants such as Hadong, Samcheonpo, and Goseong. Energy companies and research institutions, including Doosan Enerbility, Hyosung Heavy Industries, and the Korea Electrotechnology Research Institute, are also clustered there. The province emphasized that, as the Samcheonpo power plant is set to phase out coal-fired facilities by 2030 and the Hadong power plant by 2031 under the coal phase-out policy, the region is best suited for demonstration of the transition to renewable and hydrogen energy. The labor unions of the five power companies have also expressed opposition to relocation to Naju and a preference for prioritizing living conditions.

Regarding the government's discussions on restructuring LH, the province reaffirmed keeping the headquarters in the Gyeongnam Innovation City. LH is a key public institution where about 1,800 employees have worked since its relocation to Jinju in 2015, paying about 19 billion won in local taxes annually. The province said that relocating or splitting the headquarters of a symbolic institution that has stably settled could fundamentally undermine trust in the national balanced-development policy, and that using the existing 20-story building and administrative infrastructure is most reasonable in terms of administrative efficiency and budget savings.

The People Power Party's South Gyeongsang Province Women's Committee holds a press conference on the 3rd at the South Gyeongsang Provincial Council opposing the relocation of the Naval Academy. Photo courtesy of the People Power Party's South Gyeongsang Province chapter - Seoul Economic Daily Society News from South Korea
The People Power Party's South Gyeongsang Province Women's Committee holds a press conference on the 3rd at the South Gyeongsang Provincial Council opposing the relocation of the Naval Academy. Photo courtesy of the People Power Party's South Gyeongsang Province chapter

The province made clear its opposition to the Ministry of National Defense's push to merge the Army, Navy, and Air Force academies into a "Korea Armed Forces Academy" and relocate it to Jaun-dae in Daejeon. It argued that because training naval officers requires hands-on maritime education such as ship operation, navigation, and maritime operations, relocating to an inland area without a sea would inevitably reduce the specialization and effectiveness of the education. Jinhae is the nation's only naval port city where naval education, operations, and logistics functions are clustered, including the Naval Academy along with the Navy Education and Training Command, the Naval Logistics Command, the Submarine Command, and the Naval Special Warfare Flotilla. The residence of about 700 cadets and staff and spending by visitors are directly tied to the local commercial district, raising concerns about damage to the local economy if it relocates.

The province plans to continue an all-citizen signature campaign and a joint response with the National Assembly and the government to host the integrated power utility headquarters, and to establish a joint response system with Changwon City, the Gyeongnam Provincial Council, and local lawmakers to keep the LH headquarters and the Naval Academy. On the same day, the Women's Committee of the People Power Party's Gyeongnam Provincial Chapter also held a press conference at the Gyeongnam Provincial Council, calling for the immediate withdrawal of the Naval Academy relocation push.

Park Il-woong, administrative vice governor of Gyeongsangnam-do, said, "The Gyeongnam Innovation City is the optimal site for the integrated power utility headquarters, considering the use of the existing building and the energy industry base," adding, "We will respond actively so that LH, which has taken root in Gyeongnam, does not leave." He stressed, "We express regret over the Ministry of National Defense's academy integration plan, which was announced without gathering the opinions of local residents and experts," and "We will concentrate all our capabilities to ensure the Naval Academy stays in Jinhae."

Original reporting by Park Jong-wan, Changwon for Seoul Economic Daily.

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.

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