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Photo = Yonhap news |
[Alpha Biz= Paul Lee] KB Securities projected on June 24 that Korea Electric Power Corporation (KEPCO) will see a significant improvement in earnings this year, despite the freeze in electricity rates for the third quarter.
KEPCO announced the previous day that it will maintain the fuel cost adjustment charge for Q3 at KRW 5 per kilowatt-hour (kWh), the same level as the current rate. The adjustment reflects changes in fuel costs—including coal and liquefied natural gas (LNG)—over the preceding three months.
In addition to the fuel cost adjustment, other components of the electricity bill such as base rates, electricity usage charges, and climate/environmental fees will also remain unchanged, resulting in an overall freeze in Q3 electricity rates.
With the next possible rate increase pushed back to at least September, KEPCO shares fell 2.92% to close at KRW 28,250 on the previous trading day.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
