Water Rates Raised for the First Time in 11 Years... Ulsan City Implements Phased Approach to Minimize Citizen Burden

'Water Supply Realization' Ordinance Amendment Followed by July Implementation

Abolition of Residential Progressive Rates, Application of Single Rate Unit Price

After 11 years since 2012, water supply fees have been raised, and Ulsan City has prepared and announced countermeasures for implementation.

Ulsan City announced that it promulgated the "Partial Amendment to the Ulsan Metropolitan City Water Supply Ordinance" on May 11, which mainly aims to realize water supply fees at 74.7% of the production cost as of 2022, and will begin full implementation starting July.

According to the amended ordinance, Ulsan City's water supply fees will be gradually increased by 12% annually over three years.

In particular, for residential use, the progressive rate system will be abolished, and a "single rate" will be applied regardless of usage volume, while the progressive rate system for general and bathhouse use will be simplified from "4 steps to 3 steps."

Accordingly, for residential use, the average unit price will increase from 690 KRW (per ㎥) due to the abolition of the progressive rate system to △770 KRW in July 2023 △860 KRW in July 2024 △960 KRW in July 2025, rising 12% annually over three years.

In the first year of the fee increase, a family of four is expected to bear an additional monthly charge of about 2,000 KRW on average.

The Waterworks Headquarters has made efforts to improve management rationalization and efficiency by enhancing the water retention rate project, maximizing efforts to reduce production costs, and reducing personnel to save costs.

However, the annual deficit rapidly increased to 1.3 billion KRW in 2019, 1.8 billion KRW in 2020, 8.7 billion KRW in 2021, and 13 billion KRW in 2022, causing difficulties.

An official from the Waterworks Headquarters said, "Due to the deterioration of financial balance during the 11 years of frozen fees, it has become impossible to delay fee realization any longer to secure funds for facility investments such as maintenance of aging pipes," adding, "Since the fee increase is inevitable to produce and supply clean and safe tap water, we ask for citizens' understanding and cooperation."

Comparison Table of Water Charges Before and After Adjustment.

This content was produced with the assistance of AI translation services.