Posted May. 02, 2005 23:38,
Choo Byung-jik, the minister of Construction and Transportation, said that the estimated cost of transferring approximately 180 public organizations will be around 12 trillion won.
During his presentation at the National Assemblys Construction and Transportation Committee meeting, Choo said that the cumulative assets owned by 180 public organizations is approximately 8.7 trillion won, meaning 3.3 trillion won of additional budget money is required to finish the project.
Since it was initially estimated in March that the total moving expenses will be around four to eight trillion won, most of the expenses could be covered by the companies assets, and the government is now being criticized for failing to give correct estimates, misleading policymakers.
Choo also suggested enacting a special bill regarding the transfer of public organizations and fueling public money to the project.
The government said that the 10 biggest public companies with the strongest potential to provide a positive economic influence on the local economy, such as KEPCO (Korea Electric Power Corporation), the Korea National Housing Corporation, and the Korea Land Corporation, will be scattered among 10 metropolitan cities and provinces excluding the Seoul area, Daejeon Metropolitan City, South Chungcheong Province, and Jeju Island.