Hwaseong rice paddies to generate electricity as 1 MW agri-solar project breaks ground

An agri-solar project that generates electricity from solar panels installed above working farmland — channeling revenue into village income — is getting underway in Hwaseong, Gyeonggi Province. A 1 MW generation facility is being built and is set to begin commercial operation in October, with proceeds going not to individual residents but to community welfare and revitalization programs.

The Ministry of Agriculture, Food and Rural Affairs said Minister Song Mi-ryeong visited the ground-breaking ceremony for the pilot agri-solar project in Saegot village, Seoshin-myeon, Hwaseong, on Thursday to review progress and hear from farmers and experts.

The ministry selected Saegot village last year as a pilot site to develop a scaled, consolidated revenue-sharing model in the Greater Seoul area ahead of the formal institutionalization of agri-solar energy. The site was chosen for its high electricity demand and the relative capacity available in the local power grid.

The ministry worked with local government and the Korea Rural Community Corporation on project consulting and supported residents in establishing a community cooperative so they could lead the power generation venture and its profit-sharing arrangements.

The Saegot Social Cooperative broke ground Thursday and plans to complete the generation facility and sign a power purchase agreement by next month. Commercial operation is set to begin in October, when the project will start generating revenue in earnest.

The facility will have a generation capacity of 1 MW, producing electricity through solar equipment installed above farmland that continues to be cultivated. The ministry did not disclose a projected annual revenue figure for the project.

Saegot village chose not to distribute generation revenue as individual dividends to cooperative members. Instead, the proceeds will fund welfare programs in Saegot-ri and promotional and networking activities to strengthen ties between cooperatives — a structure designed to return the benefits of agri-solar energy to the broader community.

Kim I-su, chair of the Saegot Social Cooperative, said there had been deep concern that distributing revenue to individual members could sow division within the village. "After extensive discussion with residents, we agreed to pursue a social cooperative model with no individual dividends," Kim said. "It took a long time to form the cooperative and get the project moving, but we chose the path of moving forward together as a village."

The ministry plans to promote the Saegot model as a template for agri-solar development that simultaneously advances rural welfare, counters rural depopulation and revitalizes local communities.

The government's broader agricultural and rural energy transition policy is also entering a concrete phase. Since May, the ministry has been gathering input from farmers and experts in the field to develop a medium- to long-term roadmap for a "great energy transition in agriculture and rural areas." The roadmap is in its final stages and is expected to be released soon.

Minister Song said the government would spread this model to achieve "rural-style energy self-sufficiency" and an "agriculture-style energy transition" that preserves the public value inherent in Korean farming and rural life. "The energy transition in agriculture and rural areas is a critical task — and a mission that must be accomplished for its contribution to balanced regional development and the national energy transition," she said. "We will soon present to the public the medium- to long-term roadmap for the great energy transition in agriculture and rural areas, developed with input from farmers and experts, and do our utmost to implement it without delay."