[2023 National Audit] "Lower Rest Area Meal Prices"... Land Transport Committee, Ruling and Opposition United in Voice

Ongoing Dispute Over B/C Analysis Values of Seoul-Yangpyeong Expressway
Ham Jin-gyu: "Rest Area Food Prices Don't Seem Expensive"
Namhangang Rest Area Privatization "Yoon Seok-yeol Theme Stock Winning Bid"

On the 12th, during the National Assembly Land, Infrastructure and Transport Committee's audit of Korea Expressway Corporation and others, both ruling and opposition parties voiced unified criticism over the soaring food prices at highway rest area restaurants.

On that day, Eom Tae-young, a member of the People Power Party, pointed out, "The reason why food prices are so high and the quality is poor is because the Korea Expressway Corporation takes about half of the sales as commission. Have you discussed any improvement plans?" He added, "The Ministry of Land, Infrastructure and Transport proposed to the Korea Expressway Corporation to reduce food prices at highway rest areas nationwide by 10%, but it was ultimately rejected."

Heo Young, a member of the Democratic Party, also urged a shift to direct management, saying that food prices inevitably rise due to the high commission fees charged by the Korea Expressway Corporation. Heo said, "The maximum commission for operating companies is 50%, and restaurant operators who lease the facilities need to make a profit with 50%, which causes the problem of expensive food prices." In response, Ham Jin-gyu, president of the Korea Expressway Corporation, replied, "I do not think the food prices at highway rest areas are expensive."

Ham Jin-gyu, President of Korea Expressway Corporation, is responding at the National Assembly Land, Infrastructure and Transport Committee's audit on the 12th.
[Photo by Yonhap News]

However, on the same day, the ruling and opposition parties clashed again over suspicions related to the change of the Seoul-Yangpyeong highway terminus.

Park Sang-hyuk, a member of the Democratic Party, criticized, "From May last year to June this year, the Korea Expressway Corporation attended 44 working-level meetings with the engineering company," adding, "It can only be evaluated that their involvement in this highway (Yangpyeong) is high, but as soon as this issue became problematic, the Korea Expressway Corporation talks as if it has no power and is just a bystander." In response, President Ham said, "Before reporting to the Ministry of Land, Infrastructure and Transport, they only unilaterally informed us of the contents, so we did not particularly present any opinions."

Park particularly questioned the Ministry of Land, Infrastructure and Transport's announcement of the cost-benefit analysis (B/C) results ahead of this audit, asking, "When the Ministry announced it, Korea Expressway Corporation officials said they participated in the verification. Who and how many attended?" Ham replied, "As far as I know, we did not play a major role."

The opposition party launched an offensive against the Korea Expressway Corporation regarding the Namhangang Rest Area, which is being built near Namyangpyeong IC on the Jungbu Naeryuk Expressway, close to the alternative terminus (Gangsang-myeon) of the Seoul-Yangpyeong highway, which was converted to a private investment method. Lee So-young, a member of the Democratic Party, claimed, "The Korea Expressway Corporation had built the building at a cost of 22.9 billion KRW, but after President Ham took office, it was suddenly converted to a private investment this year," and alleged that the company that won the bid was 'Wizcorp,' which was considered a 'Yoon Seok-yeol theme stock' during the last presidential election period.

The ruling party defended the suspicions about the change of the Seoul-Yangpyeong highway terminus based on the B/C values announced by the Ministry of Land, Infrastructure and Transport. Eom Tae-young said, "On the 5th, the Ministry of Land, Infrastructure and Transport announced that the alternative route for the Yangpyeong road had a 13.7% higher economic feasibility than the preliminary feasibility route," rebutting the claims. Kim Myung-ho, head of sales at Korea Expressway Corporation, explained, "The location of the rest area was decided before the route became an issue," adding, "We incorporated the private investment method to provide customers with advanced rest facilities."