Highway Discount Gas Stations, Actually 'Hwangje Gas Stations' Revealed

Some Gas Stations Charge Up to 297 Won More Per Liter
Despite Government's Fuel Tax Reduction Policy, Only Some Apply It
Jung Jun-ho Calls for Active Management and Supervision by the Korea Expressway Corporation

Assemblyman Jeong Junho

It has been pointed out that some discount gas stations on highways are effectively operating as ‘emperor gas stations.’ The Korea Expressway Corporation, which is supposed to supervise them, has been criticized for focusing only on expanding profits, such as applying only part of the fuel tax reduction.

According to data submitted by the Korea Expressway Corporation for the National Assembly inspection on the 21st, Representative Jeong Junho of the Democratic Party of Korea (Gwangju Buk-gu Gap) revealed that discount gas stations operated by Wonil Distribution Co., Ltd. sell fuel at prices up to 297 won more expensive per liter.

Looking at the fuel prices at the Chuncheon (Busan), Gangcheonsan (Gwangju), and Gangcheonsan (Daegu) discount gas stations operated by Wonil Distribution, gasoline is sold at prices up to 271 won more per liter, and diesel up to 297 won more per liter. Considering the limited choice of gas stations due to the nature of highways, there are criticisms that the Korea Expressway Corporation is effectively allowing excessive profits. It was confirmed that the corporation took no action until the end of September, just before the National Assembly inspection, when it began issuing warnings. Despite receiving the lowest rating for two consecutive years, these gas stations have not been shut down and continue to operate.

Problems regarding the Korea Expressway Corporation’s pursuit of profit were also raised. The corporation announced in August last year that it purchased fuel 15.6 won cheaper per liter due to a change in the bidding method, but it was found that diesel vehicles actually suffered a loss of about 8 won per liter.

Before the change in the bidding method, the average price difference between discount gas stations and regular gas stations was 93 won per liter, but after the change, the gap narrowed to 85 won. The difference was transferred to the Korea Expressway Corporation’s profit, increasing operating profit by 24.4 billion won compared to before the bidding method change.

The Korea Expressway Corporation also applied only part of the fuel tax reduction. Since 2021, the government has decided to reduce fuel tax three times to ease the burden on the public, but the corporation is understood to have applied only part of the first and second reductions. The government’s tax cuts have thus been transformed into the corporation’s operating profit.

Representative Jeong said, “Since fuel prices are directly related to the daily lives of the people, active management and supervision by the Korea Expressway Corporation are necessary,” and pointed out, “Unfair fuel sales at some leased gas stations must be eradicated quickly.”

He also emphasized, “Although the corporation’s operating profit will increase due to changes in the bidding method and non-reflection of fuel tax reductions, the losses to consumers will inevitably grow,” and added, “In this era of high inflation, the Korea Expressway Corporation must take more active measures to share profits with the people.”