Highest Electricity Demand Recorded Last Month
People Leaving to Find Air Conditioners Due to Electricity Bill Burden
[Asia Economy Intern Reporter Seohee Lee] As the early heatwave intensifies, more people are seeking 'refuge' in places like cafes and movie theaters to find air conditioning. While the early arrival of the heatwave is a cause, it also appears that ordinary citizens, burdened by the electricity rate hike that took effect on the 1st of this month, are turning to public places where they can use air conditioning.
On the 4th, the Korea Power Exchange announced that the average maximum power demand in June this year reached 71,805 MW, marking the highest power demand for two consecutive months following May. This is the first time since records began that the maximum power demand has exceeded 70,000 MW. Maximum power demand refers to the highest moment of electricity usage in a day.
The record-high power demand is due to the early heatwave. Myungin Lee, a professor in the Department of Urban Environmental Engineering at UNIST and director of the Heatwave Research Center, stated at the 'Understanding Climate Change and Heatwave Forecasting' seminar held in May that there is an 80% chance that temperatures in July and August this year will be higher or similar to the average. Furthermore, the number of heatwave days this year is predicted to be more than the average of 10.5 days and similar to last year's 12 days. The number of abnormal high-temperature days is also expected to exceed the average of 3 days, signaling an early 'heatwave warning' for this summer.
Facing the early heat and the electricity rate hike, ordinary citizens are struggling to save every penny. Some seek refuge in places with air conditioning such as cafes, movie theaters, and large shopping malls to escape the heat, while others share posts about 'ways to save electricity' mainly on internet cafes. Electricity rates have increased by 5 won per kilowatt-hour (kWh) starting from the 1st of this month, resulting in an increase of about 1,535 won per month for a family of four with an average monthly usage of 307 kWh.
Seungjin Lee (34, pseudonym), an office worker living in Seodaemun-gu, Seoul, is also looking for 'tips' to reduce electricity bills. He said, “I heard that if you apply for automatic payment of electricity bills, you get a 1% discount, so I recently applied online,” adding, “Still, when it’s too hot, I prefer to spend time at cafes or shopping malls rather than running the air conditioner at home.”
However, for a while, those heading to cafes and movie theaters are expected to feel the burden. Major franchise cafes have been raising coffee prices one after another, and movie ticket prices have soared to 15,000 won on weekends, with consumer prices showing little sign of easing.
The price of coffee beans (per 1kg) rose from 20,000 won to 24,000 won, an increase of over 20%, prompting large cafes to raise menu prices by 100 to 400 won. Starbucks raised prices for the first time in 7 years and 6 months earlier this year, and Coffee Bean has raised prices twice this year alone, pushing the price of the most popular Americano to the 5,000 won range.
The situation at major movie theaters is no different. CGV raised weekday general seat ticket prices from 10,000 won before COVID-19 to 14,000 won in April, and weekend prices from 11,000 won to 15,000 won. A 4,000 won increase in less than two years is unusual. CGV has raised movie ticket prices three times from the second half of last year to the present.
Facing a situation where 'nothing is not rising' from electricity bills to coffee and movie ticket prices, ordinary citizens express fear of going outside. Miran Park (52, pseudonym), a housewife living in Uiwang, Gyeonggi Province, said, “We went on a family outing to the movie theater for the first time in a while on the weekend, and buying movie tickets along with popcorn and drinks quickly cost 80,000 won,” adding, “In the past, when it was hot, we would casually go to the movie theater to watch a late-night movie, but now even that has become a luxury.”
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