[ad_1]
Q2 Fuel Cost Adjustment Unit Price -3 won per kWh … Up to 1.50 won per month cut off for 4 people
The global economic recovery and rising international oil prices are expected to inevitably raise rates in the medium and long term.
The government and KEPCO delayed an increase in electricity rates in the second quarter of this year to stabilize people’s lives. Consequently, the fuel cost adjustment unit for the second quarter was set at -3.0 won per kWh after the first quarter. However, in the long term, the upward trend in electricity rates is expected to be difficult to curb.
On the 22nd, KEPCO announced the calculation of the fuel cost adjustment unit price for the second quarter (April to June) on the KEPCO website.
This is the second adjustment since the introduction of the cost-linked tariff system (fuel cost indexation system) this year.
Taking into account the upward trend in fuel costs during the previous three months, electricity rates for the second quarter were expected to increase in seven years after November 2013.
The fuel cost indexing system reflects the cost of fuel related to electricity production, such as liquefied natural gas (LNG), coal and oil, in the electricity tariff every three months.
The change in fuel cost is the value obtained by subtracting the “standard fuel cost” from the “realized fuel cost.” The actual fuel cost refers to the average fuel cost of the previous three months and the standard fuel cost refers to the average fuel cost of the previous year.
According to KEPCO, the price of bituminous coal averaged 113.61 won per kg, the price of LNG 508.97 won, and British Columbia oil cost 442.64 won for the last three months (from December last year to February this anus).
Compared to first-quarter earnings, the fuel cost of 108.65 won for bituminous coal, 350.24 won for LNG, and 373.33 won for British Columbia oil increased significantly.
Reflecting this increase, the actual unit price of the second quarter fuel cost adjustment is -0.2 won per kWh.
However, the government has kept it at -3 won after the first quarter.
The adjusted unit price in Q2 is also negative, but seems to have taken into account the fact that the rate will increase compared to the previous quarter, as the cut was reduced compared to the previous quarter.
KEPCO said: “The fuel cost adjustment unit price adjustment factor occurred due to the increase in international oil prices.” I received a reservation notice from the government in order to promote the stability of the lives of the suffering people, “he explained.
Previously, the government introduced a fuel cost indexing system and announced a policy to delay rate adjustment in exceptional circumstances, such as a sharp rise in oil prices in a short period of time.
The decision to hold this time seems to reflect concerns that an increase in electricity rates could stimulate public prices.
In addition to the fact that the economy of the common people is difficult due to Corona 19, it is considered that there is a concern that the burden of the common people may increase if even the public charge increases in a situation where the price of the the table is jumping fast.
Consequently, in the second quarter, if a 4 person household uses an average of 350 kWh per month, the cut-off effect is expected to continue at up to 1.50 won per month.
However, as international oil prices are rising alongside the recent global economic recovery, an increase in electricity rates will be inevitable.
The government may use the reserve authority again, but in this case, there are concerns that the purpose of introducing the fuel cost index system, which is to rationalize electricity rates, will be overshadowed.
Reporter Kim Ji-eun
Copyright holder © Ulsan Jeilbo Unauthorized reproduction and redistribution prohibited
