(1) Reasons for Proposal

The Electric Utility Act was amended (Act no. 15644; promulgated on June 12, 2018; to be enforced on December 13, 2018) to promote investments in new energy industries and improve the level of convenience for consumers of electricity by introducing electric vehicle charging businesses and small-scale power brokerage businesses. Accordingly, this Amendment prescribes the types and size of small-scale power resources, standards for the registration of new electric utility businesses and matters requiring a modified registration, reasons for operators of electric vehicle charging businesses to refuse to supply electricity, standards for dispositions by type of violation and standards for the imposition of surcharges, and other matters delegated by the Act.

(2) Major Provisions

A. Types and size of small-scale power resources (Article 1-3 newly inserted)

Prescribe the types and size, etc., of small-scale power resources handled by small-scale power brokerage businesses by considering such factors as the current state of operation and future market situation.

B. Standards for the registration of new electric utility businesses and matters subject to modified registration (Article 4-2 newly inserted)

1) Promote the sound development of relevant industries by requiring any person who intends to register a new electric utility business to meet minimum technical staffing requirements

2) Require any operator of a new electric utility business who intends to modify his or her trade name, address of the main place of business, representative, or technical staff, etc., to register the modification with the Minister of Trade, Industry and Energy

C. Prescribe standards for dispositions by type of violation and the amounts of surcharges for operators of electric utility businesses and new electric utility businesses (Article 5-2 newly inserted)

D. Operators of electric vehicle charging businesses have a duty to supply electricity and prohibiting the refusal to supply restricts the liberty of contract to protect public interests. Thus, make an exception to allow operators of new electric utility businesses to refuse to supply electricity where deemed justified (Article 5-3, subparagraph 2)

E. Modify provisions concerning the procedures and methods for the imposition and payment of surcharges, which are repeated in the Enforcement Decree and Enforcement Rule of the Electric Utility Act (Article 14)

F. Clearly specify the method for operators of electric vehicle charging businesses to label charging fees (Article 61-4 newly inserted)

G. Entrust the smart grid association pursuant to Article 20 of the Smart Grid Construction and Utilization Promotion act with affairs concerning the registration of new electric utility businesses and the reporting of the terms and conditions of new electric utility businesses (Article 62, paragraph 6 newly inserted)