Goyang-si Files Lawsuit for 'Free Toll on Ilsan Bridge'

'Complaint for Cancellation of Toll Fee Imposition Filed at Incheon District Court on the 23rd'

Heo Sin-yong, Chief Secretary of Goyang City (left in the photo), filed a "Complaint for Cancellation of the Toll Imposition on Ilsan Bridge" at the Incheon District Court on the afternoon of the 23rd. [Goyang City]

[Asia Economy Reporter La Young-cheol] Goyang City in Gyeonggi Province has filed a lawsuit against the private investor Ilsan Bridge Co., Ltd. to make the toll on Ilsan Bridge free of charge.

On the 24th, Goyang City stated, "The illegality of the Ilsan Bridge toll is based on the violation of the principle of proportionality," and "We officially filed a lawsuit at the Incheon District Court on the 23rd."

They added, "Ilsan Bridge Co., Ltd. has already gained considerable profits exceeding the construction costs invested," and "Excessive tolls are still being charged on this public road, increasing the burden on users."

A toll of 1,200 KRW (for Class 1 passenger cars) must be paid to cross the 1.8 km (2-minute travel time) Ilsan Bridge. This is six times more expensive than the toll on the nearby Metropolitan Area 1st Ring Expressway.

The city also claimed, "Among the 27 bridges over the Han River, Ilsan Bridge is the only one with a toll," and "This violates the principle of equality."

There is virtually no alternative road unless another bridge is used to travel the 20-minute distance between Gimpo and Ilsan. This means the transportation rights of residents in the northwest region of Gyeonggi are being infringed upon.

Mayor Lee Jae-jun of Goyang City particularly responded to concerns about losses to the National Pension Service, saying, "It is unacceptable to collect high tolls only from residents of specific areas on the Han River, which everyone crosses for free, in order to compensate the National Pension. Worrying about National Pension profits rather than the excessive burden on residents over the past decade is putting the cart before the horse."

The mayor plans to prove the unfairness of the toll calculation and put a stop to the decade-long debate over Ilsan Bridge.

In response, Ilsan Bridge officials reportedly stated, "Ilsan Bridge is a facility built with private funds, with guaranteed operating rights, and we are merely recovering the rate of return set in the implementation agreement."

The National Pension Service acquired 100% of the investment shares in 2009 and has raised tolls twice since then. They apply an 8% interest rate on senior loans and 20% on subordinated loans, receiving income as an investor and interest income as a senior and subordinated loan party of Ilsan Bridge Co., Ltd.

The 'Ilsan Bridge toll dispute' began in 2009, and the movement for free tolls gained momentum this February with a joint statement from the three cities of Goyang, Gimpo, and Paju.

Ilsan Bridge was opened in 2008 after a total investment of 178 billion KRW, including 148 billion KRW from private capital.

Meanwhile, Gyeonggi Province recently held a private investment review committee meeting and issued a public interest disposition to cancel the designation of the project operator, stating, "We will make Ilsan Bridge free of charge."