[Featured Stock] Korea Electric Power Corporation, 5 Consecutive Days of Increase Due to 'Electricity Rate Hike Effect'

The stock price of Korea Electric Power Corporation (KEPCO) has continued its upward trend for five consecutive days amid the electricity rate hike.

Choi Nam-ho, Vice Minister of the Ministry of Trade, Industry and Energy, and Kim Dong-chul, President of Korea Electric Power Corporation, are holding a briefing on electricity rate increases on the morning of the 23rd at the Ministry of Trade, Industry and Energy press room in the Government Sejong Complex.
[Photo by Yonhap News]

As of 3 p.m. on the 24th, KEPCO's stock price is trading at 22,900 KRW, up 4.33% from the previous day's closing price. It started rising sharply from the beginning of the trading session, surpassed 23,000 KRW in the morning session, and then experienced a slight correction in the afternoon.

KEPCO began to rebound from a low of 19,780 KRW on the 11th. Starting with a 3.53% increase on the 12th, it showed an upward trend for eight consecutive days except for one day during the nine trading days. In the last five days, there has not been a single day of decline.

The Ministry of Trade, Industry and Energy and KEPCO announced at a briefing held at the Government Sejong Complex the previous day that industrial electricity rates will be raised by an average of 9.7% starting from the 24th.

The industrial electricity rate for large-volume customers will be increased by 10.2%, from 165.8 KRW to 182.7 KRW per 1 kWh (kilowatt-hour), and the industrial (Category A) electricity rate mainly used by small and medium-sized enterprises will be raised by 5.2%, from 164.8 KRW to 173.3 KRW.

Residential electricity rates used in households and general electricity rates used in stores will be frozen.

The electricity rate hike is expected to improve KEPCO's performance and reduce its borrowings.