EV charging rates to rise by 7% with sunset of special discount in Korea

[Photo by MK DB]

Charging rates for electric vehicles are going up in South Korea as the government has decided to let the special rates for charging sunset as planned at the end of June.

The Ministry of Trade, Industry and Energy and the Ministry of Environment announced Tuesday that the special discount to the EV charging rates will end this month.

State utility Korea Electric Power Corp. (KEPCO) introduced the discount program in 2017 to accelerate EV penetration in Korea. KEPCO last year shouldered about 30 billion won ($23.1 million) for the subsidy.

It intended to end the program to improve its earnings in 2019 but ended up extending it to the end of this month in the face of strong opposition from consumers. But the government has decided to go along with KEPCO¡¯s wishes amid the utility monopoly¡¯s swelling deficit.

With the expiration, EV charging rates rise to 313.1 won per kWh by 6.9 percent from 292.9 won based on Hyundai Ioniq 5.

The government is reviewing options to reduce customer burden.

[¨Ï Maeil Business Newspaper & mk.co.kr, All rights reserved]