<Anchor>



Electricity rates will rise sharply in the first quarter of next year.

Based on a household of four, it is the largest increase since the oil shock, which costs about 4,000 won more per month.

Looking at the overall price situation, the annual consumer price index rose 5.1% this year, recording the largest increase since the 1998 Asian financial crisis.

The cost of living and dining out both rose amid the skyrocketing oil price, putting a heavy burden on the common people.

Next year is more worrying.

As seen in the increase in electricity rates, public utility rates such as buses, subways, and gas are expected to rise one after another.



Reporter Jung Joon-ho is on the sidewalk.



<Reporter>



A butcher shop in Gangseo-gu, Seoul.



I have to keep the refrigerator on all the time to keep the meat fresh, but I already sigh at the news of the electricity rate hike.



[Kim Sang-ho/President of butcher shop: (Monthly electricity bill) 50 to 60 comes out.

There is no news about lowering the rates.

anything.

So it's hard for me too.

Honestly.]



The Ministry of Trade, Industry and Energy has decided to raise electricity rates by 13.1 won per kilowatt-hour in the first quarter of next year.



For a family of four, you will have to pay more than 4,000 won per month for electricity.



The increase is 9.5%, the largest ever, raising about 70% of this year's increase at once.



KEPCO cited as the reason that the deficit widened to 30 trillion won due to a sharp rise in the unit price of electricity production due to the slow rate hike.



The hike is expected to reduce KEPCO's losses by around 7 trillion won.



Next year, which begins with an increase in electricity rates, high public utility rates are expected.



Considering the burden on the common people, the gas rate was frozen this time, but additional hikes are expected.



[Lee Chang-yang/Minister of Trade, Industry and Energy: Considering the burden of heating costs during the winter season and electricity rate hikes, we plan to freeze rates in the first quarter of next year and review whether or not to raise rates after the second quarter.] End of



April next year In 2017, the Seoul Metropolitan Government is promoting a plan to raise subway and bus fares by 300 won each for the first time in eight years.



[Beauty Salon President: Prices are still high, but if even the things that have to go out go up...

This is a bit of a burden.

Certainly.]



The government has predicted next year's inflation rate at 3.5%, but it is difficult to achieve if the cumulative increase in utility rates continues.



Due to high inflation and high interest rates, consumption capacity is further reduced and the living standards of the common people are expected to become tighter.



(Video coverage: Choi Jun-shik, video editing: Park Jeong-sam)