Wonju Daedo Passenger Co., Ltd. Suspends Operation on Some City Bus Routes

Published 15 Sep.2022 00:27(KST)

Wonju City Deploys Charter Buses to Minimize Citizen Inconvenience
Some City Bus Companies Face Financial Difficulties Due to COVID-19 Impact

Wonju City Hall

[Asia Economy Reporter Ra Young-cheol] Gangwon Wonju City announced on the 15th that it received a notice from Daedo Passenger Co., Ltd. about suspending operations on some city bus routes due to financial difficulties.

According to Wonju City, Daedo Passenger Co., Ltd. was forced to suspend city bus operations as fuel supply was cut off after failing to pay 38 million KRW for CNG gas refueling fees to Chambit Wonju City Gas from the 8th to the 13th.

The city plans to deploy charter buses to minimize inconvenience to citizens caused by the bus service suspension.

Previously, the transportation company was required to deposit a security deposit of approximately 480 million KRW, which corresponds to the expected gas usage fees for three months, to the city gas provider in accordance with the city gas supply regulations (Article 25, Paragraph 1).

However, due to financial circumstances, the company deposited a security deposit of 45.5 million KRW, which corresponds to about six days of expected usage fees, and agreed with the city gas provider on July 27 to pay the CNG refueling fees daily, and has been using CNG under these conditions.

Considering the financial difficulties caused by COVID-19, the city has provided 5.5 billion KRW in support to Taechang Transportation, Daedo Passenger Co., Ltd., and Dongshin Transportation as of September.