[Gwangju = E-Daily Marketin Reporter Soyoung Park ] Observers have pointed out that it is not easy to attract institutional investor funds in energy deep-tech investments based solely on the innovativeness of the technology. Experts agreed, stating, “The commercial viability of early-stage technologies must be demonstrated, and long-term cash flow and a stable revenue structure must be secured,” adding, “The role of capital tailored to each stage—from technology development to commercialization and infrastructure investment—is crucial.”

Kim Won-bin, Director of the Infrastructure Investment Division at the Korea Investment Corporation (KIC); Kim Jin-hwan, Head of the Real Estate Infrastructure Team at the Private School Teachers’ Pension Fund; Woo Shin-je, CEO of Energy Infrastructure Asset Management; and Lee Yong-gwan, CEO of Bluepoint Partners, discussed the investment potential of energy deep tech and strategies for market expansion at the “Global Alternative Investment Conference in BIXPO (GAIC in BIXPO),” held on the 5th at the Kim Dae-jung Convention Center in Gwangju, South Jeolla Province. Professor Park Chan-guk of the School of Convergence Studies on Climate Change at Hankuk University of Foreign Studies served as the moderator.

CEO Lee Yong-gwan identified the potential for commercialization and economic viability as key criteria for early-stage investments in energy deep tech. Bluepoint is investing in next-generation energy sources such as small modular reactors (SMRs) and nuclear fusion. CEO Lee pointed out, “For SMRs, securing economic viability is the key challenge, rather than technical implementation.” He explained that technological advancements capable of enhancing economic viability—based on existing design experience—influenced the investment decision.

He also expressed a positive outlook on the field of nuclear fusion. While it was previously expected to take a long time to reach commercialization, he believes that advancements in related technologies—such as artificial intelligence (AI), superconducting magnets, and digital twins—are accelerating the pace of development. “AI technology is lowering the barriers for other technologies while also speeding up development,” he said, adding, “We need to adopt a more proactive approach to evaluating investment criteria for energy sources.”

It was also noted that for technology to evolve into a viable investment project, it must demonstrate business stability and cash flow. CEO Woo Shin-je emphasized, “From the perspective of an infrastructure asset management firm, we place great importance on △long-term demand △stable revenue agreements such as power purchase agreements (PPAs) △construction and operating costs △and the structure for allocating technical risks.” This means that, just as much as high returns, it is crucial to have a structure that can protect the principal investment in the event of unforeseen circumstances.

CEO Woo particularly emphasized that bridging the gap between technology development and large-scale commercialization is a key challenge. This is because even if technology development is successful, it is difficult to be immediately recognized as an investment target by infrastructure institutions that require long-term commitments. He added, “We must quickly implement actual projects to accumulate operational performance and data, thereby providing a basis that financial institutions can use to make investment decisions.”

Pension funds are also approaching energy deep tech from the perspective of enhancing stability and efficiency by integrating it with existing physical assets. Team Leader Kim Jin-hwan explained that for pension funds, infrastructure investment is not only about high growth potential or profitability but also about diversifying sources of investment returns and securing long-term cash flow. This means examining whether new technologies can be integrated into existing assets—such as power plants, data centers, and water treatment facilities—to improve operational efficiency.

Team Leader Kim particularly emphasized that, given the long investment horizon of infrastructure assets, the assets’ competitiveness and stable cash flows must be maintained even in the face of technological and policy changes. He said, “It is important to invest at a slightly better price before everyone else takes notice and to ensure the stability of cash flows based on that price.”

Director Kim Won-bin stressed that, from the perspective of institutional investors, technology validation, a reliable customer base, and a business model capable of generating profits must be in place. He also cited examples where KIC had previously reviewed investment opportunities in hydrogen and offshore wind but ultimately decided against investing due to a lack of proven economic viability, inflation, and rising project financing costs.

Opinions were also expressed that an intermediary role connecting technology developers with capital is crucial for energy deep tech to translate into actual infrastructure investment. CEO Lee Yong-gwan explained, “Early-stage investors should not merely provide funding; they must involve industry experts and stakeholders with a stake in the company’s growth from the outset to refine the business model and enhance product-market fit.” CEO Woo Shin-je also emphasized, “The role of asset management firms is to collaborate with project developers from the outset to jointly design a structure that enables financing.”