Taiwan will raise electricity prices by 12.5% on average for large industrial users to reduce losses for the island’s state-owned power company, although most homes and small businesses will not incur any losses. increase, the economy ministry said on Monday.
The government is working to contain general price increases for consumers to limit the impact of inflation, including for energy. He already increased electricity prices in April.
The electricity price hike will take effect on October 16, the ministry said, adding that prices would remain lower than those in Japan or South Korea.
Taiwan’s state-owned refiner, CPC Corp, has kept gasoline and natural gas prices artificially low for consumers, although commodity prices have risen worldwide due to the invasion of China. Ukraine by Russia.
This generated significant losses for CPC Corp and state-owned power company Taipower, with the latter reporting cumulative losses of NT$386.2 billion ($12.18 billion) at the end of the year. last, according to the Ministry of the Economy.
“Currently, Taipower is incurring a loss of NT$0.4 for each unit of electricity sold, which must be reasonably and gradually reflected in electricity tariffs to enable the company to continue to develop and provide electricity in a stable manner,” the ministry said in a statement.
The government has repeatedly said that energy prices for Taiwanese consumers are already among the lowest in the world.
($1 = 31.6980 Taiwan dollars)
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