The state power company has decided to freeze electricity prices for the second quarter of the year.

The Korea Electric Power Corporation(KEPCO) said Friday that it will maintain the adjusted unit fuel cost, a key factor in determining electricity rates, at the current level of five won per kilowatt-hour for the April-June period. 

Electricity rates are calculated by adding the basic fuel cost, the climate environment fee and the fuel cost adjustment rate.

The adjusted unit fuel cost for the second quarter should have been set at minus four-point-two won to reflect the decline in global fuel costs over the past three months.

But the energy ministry instructed KEPCO to leave the figure unchanged, citing the power company’s massive debt.