Exemption of Interest on Installment Payments for Railway Facility Occupancy Fees Until Next Year

by Roh Kyungjo

Published 06 Jun.2024 11:00(KST)

The government has decided to exempt interest charged on installment payments of railway facility occupancy fees for two years to support private (complex) station operators and tenants facing difficulties due to decreased sales.

Ministry of Land, Infrastructure and Transport / Photo by Hyunmin Kim kimhyun81@

The Ministry of Land, Infrastructure and Transport announced on the 6th that it will implement a partial revision of the "Standards for Calculating Railway Facility Occupancy Fees" containing this measure starting from the 7th. This is a follow-up action to the "1st Temporary Regulatory Relief Plan" announced by the Office for Government Policy Coordination in March to revitalize the livelihood economy.

The amendment newly establishes a clause to exempt interest on installment payments of railway facility occupancy fees until next year. Occupancy fees are costs imposed on private operators who have obtained permission to occupy railway facilities and construct and operate private stations.

The Ministry of Land, Infrastructure and Transport stated that exempting interest (based on an annual rate of 3.62%) through this measure is expected to alleviate an economic burden of about 500 million KRW annually. Tenants operating stores within private stations will also benefit.

Yoon Jin-hwan, Director of the Railway Bureau at the Ministry of Land, Infrastructure and Transport, said, "This regulatory relaxation on railway facility occupancy fees will revitalize the livelihood economy and contribute to the activation of the regional economy."