Although the calendar has turned to September, households continuing to use air conditioning during the late summer should review their electricity consumption. This is because the summer electricity rate tiers that applied to residential power usage are ending as of September 1.
According to Korea Electric Power Corporation's residential electricity rate system, the summer rate tiers were expanded from July 1 to August 31 to alleviate the financial burden on households during the peak electricity usage season.
For low-voltage residential users, the rate structure during July and August was as follows: the first tier applied to usage up to 300kWh, the second tier for usage from 301 to 450kWh, and the third tier for usage exceeding 450kWh.
However, starting in September, the rates revert to the standard seasonal structure. The first tier now applies to usage up to 200kWh, the second tier from 201 to 400kWh, and the third tier for usage exceeding 400kWh. This means the upper limit for the first tier has decreased by 100kWh, and the second tier limit has decreased by 50kWh. The standard season is defined as January 1 to June 30 and September 1 to December 31.
It is important to note that the electricity rates themselves are not increasing as of September 1. The rates for low-voltage residential users remain the same: 120.0 won per kWh for the first tier, 214.6 won for the second tier, and 307.3 won for the third tier, consistent across both summer and standard seasons. The basic charges are also unchanged at 910 won, 1,600 won, and 7,300 won for each tier, respectively. What changes is the range of usage that each tier applies to.
As a result, even if households use the same amount of electricity, they may be subject to higher tier rates in September compared to July and August.
For example, if a household uses 350kWh, during the summer, the first 300kWh would be charged at the first tier rate, and the remaining 50kWh at the second tier rate, totaling 48,330 won including the basic charge.
In the standard season, the first tier rate would apply only to the first 200kWh, with the remaining 150kWh charged at the second tier rate. Including the basic charge, the total would be 57,790 won, resulting in a difference of 9,460 won for the same 350kWh usage.
The difference can become even more pronounced with higher usage. For instance, if calculating based on 450kWh, the household would remain in the second tier during the summer, but in the standard season, the 50kWh exceeding 400kWh would fall into the third tier. The total charges would be 69,790 won and 89,585 won, respectively, showing a difference of 19,795 won.
However, these calculations only reflect the basic and electricity usage charges to illustrate the tier differences. Actual bills will also include climate and environmental fees, fuel cost adjustments, value-added tax, and contributions to the electricity industry fund, which can affect the final amount due based on various discounts.
* This article has been translated by AI.
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