Value context and insight. lkm@koreatimes.co.kr
23,000 KEPCO employees pledge not to engage in solar businesses
Solar panels installed at a farm in Taean, South Chungcheong Province / Korea Times file
By Lee Kyung-min
By Lee Kyung-min
About 23,000 employees of Korea Electric Power Corp. (KEPCO) have signed a statement pledging not to engage in the solar power business, considered a conflict of interest by the state-run energy firm, Monday.
Behind the much-rushed organization-wide mandate is intensifying investigative scrutiny of the Board of Audit and Inspection (BAI) into at least 250 officials of state-run energy firms over suspected use of classified business information to net personal gains under renewable energy projects spearheaded by the previous Moon Jae-in administration.
The BAI said on July 3 that state-run energy projects had 7,626 suspected irregularities amounting to 844 billion won ($646 million) between 2018 and 2022. The figure of 844 billion won is about 10 percent of the total allocated project funds of 11.8 trillion won.
The state-run projects are funded by the taxpayers. Every 3.7 percent of all electricity fees paid by the taxpayers are earmarked for projects, amounting to about 3 trillion won a year.
Among the irregularities were increasing the limit for funds borrowable by forging tax statements, and tax avoidance schemes. Some haphazardly set up fake mushroom and insect farms, to become eligible for the solar business.
Korea Electric Power Corp. headquarters in Naju, South Jeolla Province. Yonhap
Statement
KEPCO said the 23,000 employees signed the document between May and June 9.
They made a pledge to comply with the obligation not to seek a position at an organization separate from KEPCO, and that they will mobilize utmost efforts to eradicate corruption in the solar power business.
KEPCO said the employees in principle are prohibited from establishing their own business or engaging in business activities outside the scrutiny of the firm, but suspected irregularities are on the rise, especially in the solar power business established under the name of employees' family members.
The statement read: “I will not own or participate in the solar power business established under the name of others, whether they be family members or simple acquaintances.”
Also included is their obligation to report to investigative authorities in the case of suspected gains advanced out of personal interests in the power business.
The employees also agreed not to hold positions without prior approval of KEPCO even when doing so for non-profit purposes.