Ruling Party and Government: "Electricity and Gas Price Hikes Inevitable... Minimizing Public Burden"

The People Power Party and the government confirmed on the 29th that an increase in electricity and gas rates is inevitable.

[Image source=Yonhap News]

At a briefing on the party-government consultation on electricity and gas rates held at the National Assembly that day, Park Dae-chul, the party's Policy Committee Chairman, stated, "In the case of KEPCO, the daily interest burden alone exceeds 3.8 billion won, and for the Korea Gas Corporation, the daily interest burden is over 1.3 billion won," adding, "Considering this reality, the party and government shared the recognition that an increase in electricity and gas rates is unavoidable."

He also said, "Regarding this, the Ministry of Trade, Industry and Energy, which is the relevant department, presented multiple proposals related to the rate increase." Chairman Park emphasized, "There was no disagreement between the party and government on the point that the public's burden must be prioritized."

However, he explained, "Regarding international energy prices, especially LNG and thermal coal, there has been a continuous downward trend since the beginning of this year, which could not be ignored as a major factor in the rate increase issue."

Chairman Park said, "I requested that the increase rate be carefully considered after reviewing these factors," and added, "I asked the government to finalize the plan before April 1, when the rates for the second quarter will begin to apply."