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Government noncommittal on LED subsidy proposal

Government noncommittal on LED subsidy proposal

Taipei, Nov. 7 (CNA) Ministry of Economic Affairs (MOEA) officials were unwilling Monday to agree to a proposal by LED manufacturers to have the government subsidize the purchase of their products to replace energy-wasting bulbs. Companies in the sector, led by Everlight Electronics Co., the world's largest supplier of LED lights, recently suggested that the government pay 50 percent of the cost of each energy-efficient LED light used to replace high energy consuming incandescent bulbs. But an official with the MOEA's Bureau of Energy described the subsidy plan as a "serious matter" and said it would have to be carefully planned before being implemented. Based on a price of NT$500 (US$16.67) for each 8W LED bulb, the cost of replacing incandescent lights nationwide under the plan would be staggering, the official said. Bureau of Energy officials will meet representatives from the LED sector Tuesday to discuss ways the government can help them get through their current difficulties, which have been caused by a sluggish global economy that has reduced demand for their products. Many of Taiwan's high-tech suppliers find themselves facing similar predicaments and have felt pressure to reduce their capacity usage and keep labor costs down to combat eroding profits. Everlight, for instance, announced Oct. 27 that it would ask workers to take furloughs, but it recanted a day later after facing heavy public criticism. Meanwhile, Duh Tyzz-jiun, director-general of the MOEA's Industrial Development Bureau, said that starting Tuesday, bureau officials would visit local companies that have recently instituted furloughs or laid off people to identify ways to help the affected enterprises. (By Lin Shu-yuan and Deborah Kuo)


Updated : 2021-07-28 05:12 GMT+08:00