▲ The Namsan Cable Car in Seoul operates on December 2 of last year. Chief of Staff to the President Kang Hoon-sik pointed out on the 1st that persistent complaints regarding the service quality of the Namsan Cable Car business stem from its monopolistic operation maintained for over 60 years.
Tramway businesses like the Namsan Cable Car and Seoraksan Cable Car, which could previously be operated virtually indefinitely once licensed, will now face a maximum license validity period of 20 years.
The move aims to strengthen the public interest and safety of tramway businesses through regular license renewal reviews.
The Ministry of Land, Infrastructure and Transport announced today (the 17th) that the revised Tramway Transportation Act, along with its enforcement decree and enforcement rules, which establish validity periods and renewal criteria for tramway business licenses, will take effect starting on the 18th.
The amended Tramway Transportation Act, revised in March, replaces the previous system where businesses could operate indefinitely after a single license by limiting the validity period to a maximum of 20 years and requiring license renewals.
Under the revised regulations, operators seeking a license renewal must apply to the competent local government between two years and one year prior to the expiration of their current validity period.
Seventeen businesses that have already exceeded 20 years of operation must obtain license renewals within two years from the effective date of the Act.
The Namsan Cable Car has been operated exclusively for 65 years across three generations by the family-owned company Hankuk Sador Ind. Co., which received its business license in 1961 and began operations the following year in 1962.
Although the Seoul Metropolitan Government attempted to install a gondola on Namsan, the project has faced setbacks after Hankuk Sador Ind. Co. filed an administrative lawsuit.
The Seorak Cable Car also began operations in 1971 after business rights were granted to the late Han Byung-ki, former Ambassador to the United Nations and eldest son-in-law of former President Park Chung-hee, and has been operated for 56 years with ownership stakes handed down through generations.
Under the revised tramway transportation laws and regulations, local governments can determine and grant appropriate validity periods after reviewing business objectives, operation plans, financing methods, and annual transport volume.
When granting or renewing licenses, local governments will also consider safety inspection results, operational performance, and plans for environmental conservation and the promotion of public welfare.
Cho Sung-kyun, Director-General for Railway Safety Policy at the Ministry of Land, Infrastructure and Transport, stated, "Until now, tramway facilities have been left largely to the operators' discretion after the initial business license, making management and supervision difficult," adding, "We expect this revision to the tramway transportation regulations to strengthen the safety, environmental sustainability, and contribution to public welfare of tramway businesses, while substantiating management and supervision."
(Photo: Yonhap News)