EasyTicket When summer rolls around, you start hesitating before turning on the AC. Easyticket has put together everything on the 2026 summer electricity progressive rate tiers, ways to save based on how you use your appliances, and how to apply for Energy Cashback — all in one place. Here’s the essential rundown.
What’s changed with the 2026 summer electricity progressive rate tiers
In summer (July and August), the progressive rate tiers are wider than usual. Even with the same usage, a lower rate applies, so the burden feels lighter. The government made the summer tier relief permanent, so it’s now applied the same way every year.
- Regular period (Jan~Jun, Sep~Dec): Tier 1 up to 200kWh / Tier 2 201~400kWh
- Summer (Jul~Aug): Tier 1 up to 300kWh / Tier 2 301~450kWh
Even using the same 350kWh, part of it falls into the Tier 2 rate during the regular period, but in July and August, all of it is billed at the Tier 1 rate. Same electricity, very different bill — that’s why.
Progressive tier rates at a glance
Here’s a table based on low-voltage residential rates. It shows in one line why summer electricity bills are less scary in July and August.
| Tier | Regular period usage | Summer (Jul~Aug) usage | Base charge | Rate per kWh |
|---|---|---|---|---|
| Tier 1 | Up to 200kWh | Up to 300kWh | 910 won | 120.0 won |
| Tier 2 | 201~400kWh | 301~450kWh | 1,600 won | 214.6 won |
| Tier 3 | Over 400kWh | Over 450kWh | 7,300 won | 307.3 won |
The moment you cross into Tier 3, the rate jumps to more than 2.5 times the Tier 1 rate. Staying under the 450kWh line is priority number one for summer savings.
VAT (10%) and the Electric Power Industry Base Fund charge (3.7%) are added on top of the rates above. It’s easiest to think of your actual bill as roughly 1.137 times the sum of the rates.
Ways to save based on your AC usage pattern
The biggest variable is still the air conditioner. Using it the right way for your unit’s type makes a big difference to your AC electricity costs.
Inverter units: it pays to leave them running
Nearly all newer air conditioners these days are inverter models. Once the unit reaches the set temperature, the outdoor unit lowers its output and draws only a small amount of power. Rather than switching it on and off frequently for short bursts, keeping it running on auto mode for longer results in a lower electricity bill.
Fixed-speed units: short and strong
Older (fixed-speed) units that are 10+ years old run at full power the whole time they’re on, so a pattern of short, strong bursts followed by turning it off works better. If the motor has no inverter marking, or the model name doesn’t include “INV,” you can treat it as a fixed-speed unit.
Ideal temperature and airflow
- Start with strong airflow at 18~20℃ to cool the room quickly
- Once it’s cool, raise it to 26~28℃ and keep the airflow low
- Running a fan or circulator alongside it makes the room feel 2~3℃ cooler
Outdoor unit maintenance affects your bill too
Stacking items around the outdoor unit blocks heat release and increases power consumption. Keep it shaded, and just cleaning the filter once every 2~3 weeks noticeably improves efficiency.
Tips for cutting electricity costs by appliance
Is the air conditioner all you need to worry about? Surprisingly, other appliances also play a role in pushing you into higher tiers.
- Refrigerator: Keep it at least 10cm from the wall and fill it to about 70% capacity. If it’s packed full, cold air can’t circulate properly and it uses more power.
- Washing machine: Wash in cold water and run full loads. Hot water washing accounts for 90% of a washing machine’s power use.
- Dryer/dishwasher: Use them late at night. Avoid peak power hours (2~5 p.m.).
- TV/set-top box: Switch off the power strip when not in use. Standby power alone can add up to 5~10kWh a month.
- Rice cooker “keep warm” function: If you’d keep it warm for more than 6 hours, it’s better to reheat it instead. The keep-warm function surprisingly uses a lot of electricity.
How to apply for KEPCO Energy Cashback and payout rates
This program pays you back in cash for the electricity you save. You won’t get anything unless you apply, so it’s worth spending five minutes on it.
Eligibility and how it works
If you cut your usage by 3% or more compared to the average usage for the same period over the previous two years, you get cashback. You only need to apply once, either on the KEPCO:ON website or the mobile app. After that, your savings are tracked automatically.
Payout rate by savings percentage
| Savings rate | Payout rate | Notes |
|---|---|---|
| 3% to under 5% | No base cashback paid | Full payout starts at 5%+ |
| 5%+ savings | 30 won per kWh | Base cashback |
| 20%+ savings | Up to 100 won per kWh | Base + bonus cashback (source: Korea Electric Power Corporation) |
Payouts are either deducted from the following month’s electricity bill or deposited into your account. Even a 4-person household cutting just 50kWh a month can accumulate 1,500~5,000 won every month.
Applications are per household, so single-person households and studios are eligible too. That said, if you just moved in and don’t have much usage history, you may not have enough of a baseline for comparison — it could be more advantageous to apply the following year.
Summer electricity savings checklist
One last check. These items can make a 5,000~15,000 won difference per month.
- Keep the AC set to 26~28℃
- Leave inverter ACs running on auto mode
- Run a fan or circulator alongside the AC
- Keep the outdoor unit shaded and clean the filter every 2~3 weeks
- Fill the fridge to 70% + keep it 10cm from the wall
- Cut standby power (power strip switch)
- Apply for Energy Cashback on KEPCO:ON
- Check your monthly usage in the app to stay under the 450kWh line
Staying under Tier 3 (over 450kWh) alone can lighten your monthly bill by 20,000~30,000 won.
FAQ - Frequently Asked Questions
Q. Is the summer progressive-tier expansion applied automatically every year?
A. Yes, it’s been permanent since 2022, so it applies automatically in July and August with no separate application needed.
Q. If I apply for Energy Cashback once, do I get it every year?
A. Yes, once you apply the first time, your savings are calculated automatically every year with no need to renew. However, if you move, you’ll need to reapply under your new address.
Q. Is there no separate cashback for shared electricity in apartment buildings?
A. Apartment complexes (the portion covered by maintenance fees) have a separate apartment complex cashback program. The management office applies for it in bulk.
Q. Where can I calculate my electricity bill?
A. You can run a simulation in advance using the “Bill Calculation” feature in the KEPCO:ON app. You can check your estimated bill for the month and adjust your usage accordingly.
Instead of just toughing it out this summer, get smart about saving on electricity by understanding the progressive tiers and claiming your cashback. Small habits can change the numbers on your bill.