The Ministry of Trade, Industry and Energy announced a legislative notice for the amendment of the Enforcement Decree of the Electrical Works Business Act.
The revision makes it mandatory for electrical contractors to obtain damage compensation insurance and limits the installation of electricity meters to qualified specialists.
Under the amendment, contractors awarded electrical works must provide the client with proof of liability insurance, either a policy or a certificate, before starting the project. Coverage must span from the beginning of construction to its completion, with limits set within the value of the contract.
The new rule is expected to affect around 21,000 electrical contractors nationwide, who will now be required to subscribe to either insurance or mutual aid schemes. The ministry noted that the measure aims to build a prompt and reliable compensation framework for property damage during electrical works, thereby strengthening trust in the industry.
A key change also concerns electricity meter installations. Previously classified as “minor projects,” meter installations could be carried out by the public, even without professional qualifications. This exception was first introduced in 1977, when the country had only about 1,600 licensed contractors and faced labour shortages in handling outages. Today, however, KEPCO manages meter installation and repair through its network of specialized distribution partners, resolving manpower constraints.
The amendment is expected to be finalised after a period of legislative notice and public opinion collection until the 22nd of next month.