TAIPEI (Taiwan News) — Minister of Economic Affairs Kung Ming-hsin (龔明鑫) said Thursday that Taiwan would consider activating coal-fired power generation as a “last resort” if the ongoing Middle East conflict disrupts natural gas supplies.
Kuo said decisions on raising electricity and natural gas prices will be determined through existing mechanisms, per CNA. He said that stabilizing prices remains a key government objective, and state-owned enterprises are responsible for maintaining price stability.
Taiwan currently has more than 100 days of oil reserves, while natural gas inventories exceed the legally required level of 11 days. Energy supply for March is therefore secure, and April’s situation will be monitored through daily meetings led by Vice Economics Minister Lai Chien-hsin (賴建信).
About 30 liquefied natural gas carriers arrive in Taiwan each month, around 10 from the Middle East. If conditions change, Taiwan will quickly seek alternative gas sources.
Three response measures are being planned simultaneously. These include coordinating with countries such as the US and Australia to advance long-term contract deliveries to April, arranging cargo redirection with Asian neighbors such as Japan and South Korea, and purchasing gas from the spot market.
"If natural gas supply scheduling faces difficulties, activating backup coal-fired generating units will be the last resort,” said Kuo. Since April is no longer in the seasonal air pollution control period, regulatory flexibility is greater, and “perhaps we can consider this issue then,” he added.
Regarding oil prices, Kuo said mechanisms such as the dual stabilization mechanism and the lowest-price principle among neighboring Asian economies will limit increases even if global crude rises. Electricity prices will ultimately be decided by the Electricity Price Review Committee, but the ministry’s position is to maintain price stability.
As for whether natural gas prices will be adjusted in April, Kuo said it is “not certain.” He said that state-owned enterprises are tasked with stabilizing prices, meaning rates will not fully reflect market fluctuations, and coordination will continue through communication between CPC Corp. and Taipower.
Kuo also said safety inspections for the potential restart of Nuclear Power Plants No. 2 and 3 will proceed under a contract with Westinghouse Electric Company. Personnel are expected to arrive soon, and the restart plan will be submitted to the Nuclear Safety Commission in March.
