“Introducing a 40% increase in electricity rates” Is the policy to curb demand?

◀ anchor ▶

The government plans to raise electricity and gas rates at the same time from the 1st of next month.

KEPCO, which has a huge deficit, has already introduced a 40% increase, but it cannot be raised all at once.

In the end, what the government came up with was a demand prevention card.

If you do not save electricity, you will find that it will be difficult to avoid the energy crisis this winter.

Next is Reporter Bae Joo-hwan.

◀ Report ▶

Recently, KEPCO submitted a proposal to raise electricity rates to the government.

50 per kilowatt hour was earned. This is an increase of 40% from the current level.

According to this scheme, an average of 15,000 earned per month for a family of four will rise.

The government has postponed the decision until next week.

The reason KEPCO introduced such a drastic increase was because the deficit had grown too large.

KEPCO buys electricity for 227 won per kilowatt hour from a power generation company and sells it for 122 won.

The price to buy has more than doubled in a year, but electricity rates have only risen by 10%.

So the more you sell, the bigger your loss.

[한덕수/국무총리]

“Aren’t you trying to stop yourself so that the price of electricity doesn’t shock the people too much? As a result, KEPCO’s deficit is growing tremendously…”

By the end of June, KEPCO’s deficit was 14.3 trillion won.

If this trend continues, it could reach 35 trillion won by the end of this year.

This is due to the tremendous price of natural gas.

When our country produces electricity, we run power plants in order of least cost.

Nuclear and coal power plants are switched on first, and if electricity is still insufficient, gas power plants are activated.

If a lot of electricity is used, the operation of the gas power plant increases and the production cost increases.

The fact that the government has taken the 17-degree heating temperature card for public institutions is now interpreted as an expression of its will to save electricity and reduce demand in Korea as in Europe.

[김승완/충남대 전기공학과 교수]

“(Europe) is turning off air conditioners in public facilities and everything like that. In order to reduce dependence on gas from Russia, we are trying to increase the share of renewable energy faster.”

As natural gas prices increase, domestic renewable energy generation prices such as solar power have already fallen to three-quarters of gas prices.

This is Bae Joo-hwan from MBC News.

Video Editing: Ryu Daye

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