The Democratic Party of Korea and the government announced on Tuesday that they will "abolish in principle" the post-settlement system for gas stations.
Rep. Ahn Do-geol, the secretary of the committee, announced the decision was made at the second meeting of the "Special Committee on Economic Response to the Middle East War" held at the National Assembly Members' Office Building.
"An agreement has been reached to shorten the settlement cycle from the existing one month to within one week," Rep. Ahn said.
The post-settlement system is a practice in which oil refiners supply petroleum products to gas stations first and settle payments after a certain period based on international benchmark prices. The system has drawn criticism that gas stations are forced to purchase products without knowing the actual price.