Korea Expressway Corp. to test direct contracts at eight rest areas

  • Korea Expressway Corp. will pilot direct contracts at eight highway rest areas.
  • Eight sites will reduce sales-based fees to an average of 8% to 9%.
  • Yoo Jeong-hoon announced the pilot during a Sejong news conference marking 100 days in office.

Korea Expressway Corp. will pilot a direct public contract model at eight of South Korea's 215 highway rest areas to reduce food prices and improve service. The approach would replace private outsourcing, lower fees paid as a share of sales to an average 8% to 9%, and ease costs for tenant businesses. Yeoju (Incheon) is scheduled to begin before next year's Lunar New Year holiday, while timelines for Daecheon, Gunwi (Busan) and Jangyu (Busan) sites will follow government consultations. The corporation will decide whether to expand the program based on the results. Yoo Jeong-hoon, president of Korea Expressway Corp., announced the plan at a Sejong news conference on the 22nd marking his 100th day in office. He also said the corporation was preparing fuel supplies for a 100-won-per-liter cut at 226 state-funded expressway gas stations during Chuseok, with measures planned to reduce congestion. Yoo said toll increases remained a government and National Assembly decision, while the corporation is also pursuing artificial-intelligence safety upgrades after expressway traffic deaths fell to a record-low 147 last year.

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