Financial sector braces for blackouts

Most banks ready emergency backup system and staff


Major banks and brokerage houses are preparing against possible power blackouts as electricity consumption soars due to high temperatures.

Unexpected power outages struck Seoul and many other parts of the country in September last year, raising concerns that similar accidents may recur at times of high electricity demand.

The Korea Power Exchange issued a power shortage alert Tuesday after the nation’s electricity reserve dropped to below 4,000 megawatts.

Most banks have installed emergency backup solutions called uninterruptible power supply systems in their sales branches.

But since most UPSs can be used for up to four hours, depending on the capacity and the service life of storage batteries, they may not help in the case of prolonged blackouts.

KB Kookmin Bank checked on the UPS performance in all of its branches nationwide by the end of June, replaced outworn UPS units and storage batteries with new ones.

The conditions of the storage batteries, the core part of the UPS, are monitored on a real-time basis at the bank’s headquarters.

The bank also has power generators that run on gasoline installed in case the UPS can’t be used.

Woori Bank has secured two emergency power-generating vehicles for small-sized branches that do not have the UPS systems.

Hana Bank replaced about 400 old UPS systems since last year and examined UPS systems in some 650 branches across the country last month.

The Korea Exchange and brokerage houses are checking on their in-house power generating systems to prepare for a worst-case scenario in which trade of stocks and bonds stops.

The KRX has conducted monthly inspections and emergency drills each quarter. KRX officials are paying close attention to the power supply situation as electricity consumption soars.

The temporary blackout last September that affected about 2 million households caused billions of won in damages, and led to a 61 billion won ($54.2 million) damage suit against the government.

By Kim So-hyun (sophie@heraldcorp.com)