Sources: South Korea is considering implementing an oil price cap system for the first time in 30 years

Odaily Planet Daily reports that on Sunday, sources revealed that due to the escalation of conflicts in the Middle East raising concerns about rising energy prices, the South Korean government is considering implementing a fuel price cap for the first time in nearly 30 years. As the US and Israel target Iran and Iran retaliates, global oil prices have surged accordingly. Previously, fluctuations in international oil prices took about two weeks to affect domestic prices, but this time, the impact on South Korea’s fuel prices was almost immediate, prompting officials to begin examining the feasibility of introducing a price cap. Sources said the government is carefully weighing this option due to potential side effects such as market distortion and fiscal burdens. Earlier, South Korean President Lee Jae-myung ordered that if implementing a nationwide uniform fuel price cap proves difficult, regional and fuel-type-specific caps should be quickly established. The next day, Lee Jae-myung also warned refiners not to collude to raise gasoline prices. Following the president’s instructions, the government formed a cross-departmental task force to crack down on illegal oil distribution, hoarding, and unfair trading practices. However, despite these measures, gasoline prices at South Korean gas stations continue to rise. (Jin10)