KEPCO decides to freeze electricity tariffs for the first quarter of 2022


South Korea’s state-owned power company Korea Electric Power Corp. (KEPCO) on Monday announced it would freeze the country’s electricity tariffs in the first quarter of 2022 amid rising inflation.

KEPCO said it decided to set the adjusted unit fuel cost at zero won per kilowatt hour for the January-March period of next year, the same as three months earlier.

At the end of last year, KEPCO adopted a flexible electricity pricing system linked to global fuel prices with the aim of improving its profitability. Previously, it billed an electricity rate as part of a fixed rate electricity billing system.

In the new system, the electricity billing system is adjusted every three months, based on world prices for liquefied natural gas (LNG), coal and crude oil.

KEPCO said the freeze comes as its fuel costs have risen sharply due to soaring costs for coal, LNG and oil. – greater economy.

Consumer prices in South Korea rose 3.7% in November from a year ago, the fastest rise in a decade and accelerating from a 3.2% increase in October.

KEPCO said it will hold discussions with the government on its plans to reflect rising fuel costs in its electricity tariffs in the future. (Yonhap)

Comments are closed.