Korea Expressway seeks 5 pct biennial toll raise

SEOUL, Sept. 19 (Yonhap) -- Korea Expressway Corp., the state-run expressway operator said Monday it is seeking a 5 percent toll increase every second year in a bid to improve its financial structure. Korea Expressway said the toll, bound for the last five years, needs to be raised to better its financial situation and reduce mounting debts, according to a report submitted to the National Assembly. Its debt ratio came in at 94 percent to 22.9 trillion won (US$20 billion) as of last year, according to the report. The expressway operator also proposed an average 8 percent annual rate increase on the rental of the expressway service area from the current 6 percent, and an exemption on the toll for public-related purposes. However, lawmakers feared the move, saying it undermines the government's policy of being friendly toward low-income earners and tackling inflation. They instead called for the company to reduce its debt through cost cutting.