Go to Contents Go to Navigation

Opposition leader calls for 7.2 tln-won handouts to help with soaring energy bills

Politics 10:49 January 26, 2023

SEOUL, Jan. 26 (Yonhap) -- Opposition leader Lee Jae-myung on Thursday proposed offering 7.2 trillion won (US$5.8 billion) in handouts to help people cope with spikes in heating and energy bills.

The proposal came amid a steep hike in households' heating bills due to a rise in gas prices. According to Statistics Korea, local monthly gas rates increased by 34 percent last month from a year ago.

To secure financial resources for the handouts, the government should consider imposing a "windfall tax" on energy companies to redistribute the excessive profits the companies have earned, the Democratic Party chairman said.

"We could have expected a situation like this could happen because of the war and the economic situation, but the government failed to come up with sufficient measures to respond to this," Lee said, referring to the Russian invasion of Ukraine, which accelerated the rise in global energy prices.

"The problem would not have been exacerbated to this extent if the government had paid just part of the attention it puts on its efforts toward reducing taxes for the wealthy to this matter," Lee added.

Meanwhile, the presidential office said the government will expand the energy vouchers for low-income households this winter from 152,000 won to 304,000 won and provide more discounts on gas rates.

This photo, taken Jan. 24, 2023, shows gas meters of homes in Seoul. (Yonhap)

This photo, taken Jan. 24, 2023, shows gas meters of homes in Seoul. (Yonhap)


Send Feedback
How can we improve?
Thanks for your feedback!