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USFK's unpaid electricity bill nears $2 million this year

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  • Published Sep 25, 2016 2:04 pm KST
  • Updated Sep 25, 2016 2:04 pm KST

The United States Forces Korea, or USFK, failed to pay nearly $2 million in electricity costs to the Korea Electric Power Corp. (KEPCO) in the first seven months of the year, data showed Sunday.

According to data submitted by KEPCO to the National Assembly's Trade, Industry and Energy Committee, the USFK failed to pay 1.99 billion won (US$1.8 million) in electricity costs from January to July this year. The missed payments would have warranted 55 million won in arrears charges alone, but the USFK is exempt from them under a contract reached with KEPCO in 1962.

The USFK also enjoys a lower rate per kilowatt-hour (kWh) compared with the South Korean military and residents. The rate is 106.94 won per kWh for the USFK, compared with 122.28 won for the Korean forces, 123.69 won for residents and 107.41 won for businesses.

The U.S. troops also used 23,953 kWh per person last year, nearly 10 times the usage rate of the South Korean military.

The USFK had the same kWh rate as businesses, but when KEPCO came under fire for awarding the troops special benefits, it decided in December 2003 to apply the average customer rate from the previous year.

Under the change, the KEPCO came up with the average figure, and the Korea-U.S. joint committee on the State of Forces Agreement (SOFA) gives it the final review. Until the committee's stamp of approval, the USFK only has to pay electricity costs based on the previous rate, which generally tends to be lower.

The USFK has two to three months to make its payments, whereas the general public must make its monthly payment within around 20 days.

Lee Chan-yeol, a Minjoo Party of Korea member serving on the energy committee, called on the energy ministry to update the USFK contract made more than 50 years ago and also address other shortcomings in the SOFA committee's review process. (yonhap)