Property, Plant and Equipment

12 Months Ended

Dec. 31, 2023

Disclosure of detailed information about property, plant and equipment [abstract]

18.	Property, Plant and Equipment

(1)	Property, plant and equipment as of December 31, 2022 and 2023 are as follows:


		2022
		Acquisition cost		Government grants			Accumulated depreciation			Accumulated impairment losses			Book value
		In millions of won

Land	￦		14,298,409		(27,405	)		—			(27,472	)		14,243,532
Buildings			24,230,827		(50,437	)		(10,931,672	)		(6,955	)		13,241,763
Structures			83,055,890		(165,608	)		(32,596,265	)		(10,390	)		50,283,627
Machinery			108,749,243		(127,126)			(54,015,594	)		(541,864	)		54,064,659
Ships			17,264		—			(3,788	)		—			13,476
Vehicles			393,046		(2,045	)		(305,242	)		(117	)		85,642
Equipment			2,168,348		(6,608	)		(1,732,564	)		(43	)		429,133
Tools			1,306,509		(99	)		(1,128,002	)		(6	)		178,402
Construction-in-progress			28,064,266		(135,926	)		—			(22,795	)		27,905,545
Right-of-use assets			5,992,724		—			(2,281,599	)		—			3,711,125
Asset retirement costs			17,620,603		—			(6,185,214	)		(146,422	)		11,288,967
Others			15,520,160		—			(13,100,723	)		—			2,419,437

	￦		301,417,289		(515,254	)		(122,280,663	)		(756,064	)		177,865,308


		2023
		Acquisition cost		Government grants			Accumulated depreciation			Accumulated impairment losses			Book value
		In millions of won

Land	￦		14,426,253		(27,404	)		—			(28,165	)		14,370,684
Buildings			25,236,830		(46,227	)		(11,870,875	)		(5,751	)		13,313,977
Structures			86,010,823		(157,881	)		(35,111,297	)		(9,525	)		50,732,120
Machinery			113,735,035		(119,824	)		(59,381,603	)		(536,386	)		53,697,222
Ships			17,845		—			(5,480	)		—			12,365
Vehicles			421,349		(2,837	)		(337,859	)		(116	)		80,537
Equipment			2,341,242		(5,932	)		(1,909,992	)		(375	)		424,943
Tools			1,354,532		(62	)		(1,190,057	)		(1	)		164,412
Construction-in-progress			32,031,297		(173,474	)		—			(22,795	)		31,835,028
Right-of-use assets			6,041,794		—			(2,678,051	)		—			3,363,743
Asset retirement costs			17,007,088		—			(7,127,091	)		(146,423	)		9,733,574
Others			16,255,667		—			(14,108,737	)		—			2,146,930

	￦		314,879,755		(533,641	)		(133,721,042	)		(749,537	)		179,875,535

(2)	Changes in property, plant and equipment for the years ended December 31, 2022 and 2023 are as follows:


		2022
		Beginning balance			Acquisition		Disposal			Depreciation			Impairment			Others			Ending balance
		In millions of won

Land	￦		14,107,965			9,535		(49,377	)		—			—			202,814			14,270,937
(Government grants)			(23,474	)		—		1			—			—			(3,932	)		(27,405	)
Buildings			12,926,226			3,202		(19,918	)		(906,528	)		(449	)		1,289,667			13,292,200
(Government grants)			(52,122	)		—		—			5,360			—			(3,675	)		(50,437	)
Structures			48,290,052			217,450		(277,308	)		(2,677,395	)		(3,669	)		4,900,105			50,449,235
(Government grants)			(172,021	)		—		1,250			9,568			—			(4,405	)		(165,608	)
Machinery			51,755,382			248,932		(188,924	)		(5,748,407	)		(33,191	)		8,157,993			54,191,785
(Government grants)			(140,082	)		—		405			17,283			—			(4,732	)		(127,126	)
Ships			177			—		—			(1,053	)		—			14,352			13,476
Vehicles			89,257			1,813		(88	)		(41,907	)		—			38,612			87,687
(Government grants)			(1,675	)		—		—			663			—			(1,033	)		(2,045	)
Equipment			397,183			79,369		(183	)		(205,908	)		(1	)		165,281			435,741
(Government grants)			(149	)		—		—			494			—			(6,953	)		(6,608	)
Tools			183,065			25,291		(180	)		(77,902	)		—			48,227			178,501
(Government grants)			(64	)		—		—			32			—			(67	)		(99	)
Construction-in-progress			30,156,094			11,671,907		(197,293	)		—			134,735			(13,723,972	)		28,041,471
(Government grants)			(111,822	)		23,155		17			—			—			(47,276	)		(135,926	)
Right-of-use assets			4,059,397			197,016		(2,838	)		(509,068	)		—			(33,382	)		3,711,125
Asset retirement costs			8,925,388			—		—			(1,133,866	)		—			3,497,445			11,288,967
Others			2,745,861			9,028		(22,531	)		(1,036,132	)		—			723,211			2,419,437

	￦		173,134,638			12,486,698		(756,967)			(12,304,766)			97,425			5,208,280			177,865,308


		2023
		Beginning balance			Acquisition		Disposal			Depreciation			Impairment(*)			Others			Ending balance
		In millions of won

Land	￦		14,270,937			23,519		(15,302	)		—			—			118,934			14,398,088
(Government grants)			(27,405	)		—		1			—			—			—			(27,404	)
Buildings			13,292,200			3,706		(6,221	)		(938,549	)		—			1,009,068			13,360,204
(Government grants)			(50,437	)		—		—			5,070			—			(860	)		(46,227	)
Structures			50,449,235			18,486		(311,877	)		(2,828,065	)		—			3,562,222			50,890,001
(Government grants)			(165,608	)		—		1,611			9,562			—			(3,446	)		(157,881	)
Machinery			54,191,785			184,532		(195,673	)		(6,062,471	)		(6,331	)		5,705,204			53,817,046
(Government grants)			(127,126	)		—		1,230			17,413			—			(11,341	)		(119,824	)
Ships			13,476			—		—			(1,812	)		—			701			12,365
Vehicles			87,687			5,778		(76	)		(40,760	)		—			30,745			83,374
(Government grants)			(2,045	)		—		—			960			—			(1,752	)		(2,837	)
Equipment			435,741			62,291		(264	)		(206,894	)		—			140,001			430,875
(Government grants)			(6,608	)		—		—			2,011			—			(1,335	)		(5,932	)
Tools			178,501			30,598		(364	)		(78,487	)		—			34,226			164,474
(Government grants)			(99	)		—		—			38			—			(1	)		(62	)
Construction-in-progress			28,041,471			14,069,968		(1,511	)		—			(10,700	)		(10,090,726	)		32,008,502
(Government grants)			(135,926	)		5,544		—			—			—			(43,092	)		(173,474	)
Right-of-use assets			3,711,125			261,862		(2,613	)		(536,517	)		—			(70,114	)		3,363,743
Asset retirement costs			11,288,967			—		—			(1,251,446	)		—			(303,947	)		9,733,574
Others			2,419,437			1,290		—			(958,649	)		—			684,852			2,146,930

	￦		177,865,308			14,667,574		(531,059	)		(12,868,596	)		(17,031	)		759,339			179,875,535

(*)

The Company is in the process of calculating the actual damage in relation to Taean IGCC gas refinery fire incident in January 2023. For the year ended December 31, 2023, the Group recognized ￦6,331 million of estimated damage to its PP&E due to the fire incident as impairment loss, and the estimated damage may change depending on future investigations. In addition, as the recoverable amount of construction-in-progress of Guam Ukudu Power LLC, a subsidiary of the Group, is less than the book value, ￦10,700 million was recognized as an impairment loss during the year ended December 31, 2023.

(3)

The Company’s subsidiaries including Korea Hydro & Nuclear Power Co., Ltd. have recognized proceeds and costs from selling items produced before its intended use, by accounting ￦38,149 million (prior year : ￦94,264 million) as revenue and ￦45,578 (prior year : ￦63,405 million) as expense in profit or loss for the year ended December 31, 2023.