National Assembly Lieutenant General Kim Seong-won and others criticize the National Inspectorate
During the period of ban on private gatherings of more than 5 people due to Corona
Corporate card payment of KRW 4.09 million for Korean beef luncheon
A large amount of food is paid at a luxury hotel as a sports and cultural event
Over 2600 Beopka… 30% increase in recruitment and labor costs
Electricity rate hiked 3 times this year… 1H deficit 14 trillion
▲ Korea Electric Power Corporation
Seoul Newspaper DB
It was found that various departments of KEPCO, which are running the largest deficit in history amid the followingmath of nuclear power plant shutdown and the global energy supply crisis, have been using corporate cards at a level that goes once morest common sense. Various prices, including food, have skyrocketed, and public utilities such as electricity and gas are screaming, but critics point out that the negligent management of KEPCO, a representative public corporation, has gone too far.
● KEPCO ignores all government quarantine guidelines
4.09 million Korean beef luncheon, 700,000 omakase
On the 6th, Kim Seong-won, a member of the National Assembly’s Committee on Small and Medium Venture Businesses, confirmed the food expenses of more than 500,000 won paid by corporate card at KEPCO’s Seoul, Busan, and Ulsan headquarters in 2020-2021, and found many inappropriate executions.
After an employee’s retirement event at the end of March last year, KEPCO’s Seoul Headquarters Planning and Management Office Management Support Department had a luncheon at a famous franchise Korean beef restaurant and paid 4,09,091 won with a corporate card.
It is a problem that the amount for a luncheon is too large for a luncheon, but above all, it was a time when social distancing was in effect at the second stage and bans on private gatherings of more than five people were in effect.
It seems difficult to avoid criticism that KEPCO, a legal public company that must be strictly controlled by the government, neglected the government’s quarantine guidelines because it was not enough to use corporate cards negligently.
At the end of November 2020, the distribution operation department of the Electricity Business Division of the Seoul Headquarters processed 705,455 won as a corporate card expense for a sports and cultural event at a high-class sushi entrusted (omakase) Japanese restaurant in Da-dong, Jung-gu, Seoul.
In early November of the same year, the customer support department of the Mapo Yongsan branch of the Seoul headquarters used a corporate card for food expenses: 1,124,536 won at Lotte Hotel in the customer support office for sports and cultural events, and the next day, the finance and materials department at the Shinsegae Chosun Hotel used a corporate card for food expenses. .
Over the past two years, KEPCO’s Seoul, Busan, and Ulsan headquarters have paid for meals with corporate cards at five-star hotels in the name of sports and cultural events, not the only one or two.
▲ Funding for the UAE’s subsea power grid project, the first overseas power grid investment project that KEPCO won an order for, has been completed and will be promoted in earnest. KEPCO headquarters in Naju, Jeollanam-do.
Seoul Newspaper DB
● KEPCO, excluding business trips and Hi-Pass
2636 Beopka in use
KEPCO is currently using a total of 2636 corporate cards, excluding business trip and Hi-Pass cards.
Except for purchases of goods, if you pay more than 500,000 won per transaction with a corporate card, you must state the facts, such as the place of use, purpose, and personal information, in the documentary evidence.
In addition, in order to reduce excessive foreign exchange expenses, installments (splits) should not be made at the same place.
For food expenses of 500,000 won or more per case, the head of the department, office, or business office must approve and confirm the appropriateness of use.
KEPCO recorded a loss of 14.3 trillion won in the first half of this year (January to June) alone, more than double the operating loss of last year (5.9 trillion won), the largest since its inception.
▲ From October 1st, electricity and gas prices have risen all at once. A citizen looks at an electricity meter installed in an officetel on the 30th of last month, when KEPCO announced a plan to increase electricity rates. yunhap news
● “Increasing electricity rates while only operating a room?
No one will be able to convince them.”
KEPCO raised the electricity rate in April and July this year, and from this month onwards, it increased by 2.5 won to 11.7 won per 1 kWh (kilowatt hour) once more. Household electricity rates will rise by 7%, so you will have to pay an additional 2,200 won or more per month.
Electricity rates are under strong pressure to further increase in order to achieve the goal of reducing energy consumption by 10% this winter and to establish a structure with low energy consumption and high efficiency, recently announced by the government.
Rep. Kim pointed out, “I agree with the need to raise electricity rates to establish a low-energy and high-efficiency structure, but if KEPCO, which recorded the largest deficit in history, operates so laxly, no one can understand the justification of the rate hike.”
▲ It was found that the five power generation subsidiaries of KEPCO, which were expected to experience large losses, improved their performance due to the rise in the system marginal price. This contrasts with KEPCO, the parent company, which recorded an operating loss of 5.86 trillion won last year, the largest in history. If KEPCO does not reflect this year’s fuel cost increase in tariffs, it is estimated that the loss will reach 20 trillion won. A manager of a multi-family house in Seoul checks an electricity meter.
News 1
●Double new hires despite poor management
Labor cost 4 trillion ↑ 960 billion increase in 4 years
Management has deteriorated significantly, but over the past five years, the number of newly hired personnel and labor costs from KEPCO and its subsidiaries has risen sharply.
As a result of analyzing data submitted by each company and the Public Institutions Management Information Disclosure System (Alio), Rep. Koo Ja-geun of People’s Strength found that KEPCO and its subsidiaries newly hired 10,910 people between 2017 and 2021.
In the case of KEPCO, 4,672 new employees were hired from 2012 to 2016, but 7719 new employees were recruited, nearly double in 2017-2021.
Labor costs for KEPCO and its subsidiaries increased by regarding 30% (960.9 billion won) from 3.20 trillion won in 2017 to 4.16 trillion won last year.
Assemblyman Koo said, “Once newly hired public institutions jobs cannot be easily reduced, and it will take a long time and pain to improve the constitution caused by lax expansion. came back as a boomerang called
▲ Electricity meter in residential area in Seoul.
●People’s tax operation KEPCO’s neglectful management
KEPCO also imposes the highest penalty of 59 billion won
Meanwhile, it was found that public institutions under the Ministry of Industry, such as KEPCO and Korea Hydro & Nuclear Power (KEPCO) operated by national taxes, paid 128.7 billion won in penalties due to various negligence such as accounting errors or non-compliance with mandatory employment over the past five years. Penalty charges are additional taxes, fines, surcharges, fines for negligence, charges collected due to the fault of the institution, etc.refers to
According to data on the statutory levies of 40 institutions under the Ministry of Trade, Industry and Energy secured by National Power Lieutenant Yang Geum-hee, a member of the National Assembly, these institutions paid a total of 128.754 billion won from 2017 to July this year.
By item, the penalty for regular tax audits was 101.6 billion won, accounting for 79% of the total. The levy imposed for not meeting the mandatory employment rate for the disabled was 13.8 billion won, and the fine was 8 billion won.
Looking at each institution KEPCO had the largest share with 590 billion won., KHNP (23 billion won), Kangwon Land (18.4 billion won) It was also listed as a large payment institution that paid more than 10 billion won. The 100.4 billion won they paid accounted for 78% of all penalties imposed by the Ministry of Trade, Industry and Energy.
East-West Power (5.85 billion won), Southern Power (3.56 billion won), Korea Electric Power Technology (3.02 billion won), Korea Midland Power (2.68 billion won) etc. followed.
KEPCO, Violation of Error and Faithful Reporting
38 billion won for non-issuance of invoices and statements
KEPCO, which paid the most penalty charges, was assessed a penalty of regarding 38 billion won in a regular tax audit conducted by the National Tax Service in 2017 due to errors in calculating the depreciation period of the substation retaining wall facilities, violation of the duty to report faithfully, and failure to issue statements and invoices. was investigated.
In addition, as it was revealed that the system development-related expenses, which were classified as asset accounts and had to be paid according to the depreciation standards, were treated as labor and expenses, the fact that they paid less in taxes was imposed.
As a result, it is understood that the penalty paid by KEPCO increased from 950 million won last year to 18.53 billion won between January and July of this year.
Rep. Yang Geum-hee pointed out, “Unnecessary expenses should not occur due to the negligence of public institutions operated by national taxes.”
Reporter Sejong Kang Ju-ri