HIGH HEATING, ENERGY BILLS STOKE FEAR

[Anchor Lead]

Outrageous heating bills, in other words, gas bills included in January's apartment maintenance fees were one of the most hottest topics among the public. But for February, maintenance fees will take into account not only the increased gas bills, but increased electricity rates as well, adding even more pressure to ordinary citizens.

[Pkg]

This graph shows the trend in gas bills for a family of five living in an apartment. Their gas usage fee from mid-December to mid-January has jumped more than 30-thousand won from the same period last year.

[Soundbite] (Apartment resident) : "I didn’t use heating much but was stunned to see the bill of over 100,000 won. My only thought is to save."

Average heating bills for December among apartment residents nationwide have soared over 50% on-year. But bills due to come out this month are stoking bigger concerns. This is because electricity rates went up in January, causing a further burden on household finances. The rate was raised by 13.1 won per kilowatt-hour the steepest hike in 42 years. This means a more than 4,000 won rise for a family of four. Amid the freezing cold, heating devices such as heaters and electric pads all add up to the cost of power use. The increased rate coupled with a spike in electricity usage can lead to a bigger bill. With the surge in energy costs becoming a reality, no more rate hikes for electricity and gas are expected at least for the time being. But variables fueling a further rise are expected to emerge after the winter passes.

[Soundbite] Choo Kyung-ho(Deputy Prime Minister for Economy(Jan. 26)) : "The massive deficit accumulated over the years is a concern. The gov’t will again review the adequate level of fare at an appropriate time while observing the burden on the public."

Gas use will gradually subside when temperatures climb, but electricity demand may well continue with what is expected to be the early arrival of summer.