TAIPEI (TVBS News) — Taiwan Power Co. (Taipower) could face a financial crisis by the end of the year if it doesn't receive governmental budgetary resources or achieve a rise in electricity prices, Minister of Economic Affairs Wang Mei-hua warned Tuesday (Feb. 20).
An electricity price review committee meeting is scheduled for mid-March. According to the direction set by the Ministry of Economic Affairs, rates for ultra-high-voltage electricity users are expected to increase from April, with the rise possibly exceeding 10 percent.
Wang stresses that there are no definite conclusions about electricity costs and insists they should be discussed in the electricity price review committee meeting.
She also acknowledged that large-scale electricity consumers will assuredly bear more obligations but also emphasized that the design would work on lessening the impacts on the general public. She added the planning of the relevant details will be discussed collectively.
The minister stated that Taipower has effectively avoided huge price raises in Taiwan and contributed to relieving inflation.
She conveyed that while her ministry would continue to seek financial support from the government for electricity price programs, plans are currently being framed.
The current electricity price for significant electricity consumers is around NT＄1.63, while the electricity generation cost for Taipower, excluding tax, is NT$3.93, which would exceed NT＄4 after tax.