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2025-05-05

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Taiwan Power Company is facing serious losses, why is it still freezing electricity prices? Tseng Wen-sheng candidly stated a major challenge: it will continue to seek subsidy measures from the government.

Taiwan Power Company is facing serious losses, why is it still freezing electricity prices? Tseng Wen-sheng candidly stated a major challenge: it will continue to seek subsidy measures from the government.
讀後心得
The Ministry of Economic Affairs' Electricity Price Review Committee announced at the end of March that there would be no adjustment to electricity prices starting in April. Taiwan Power Company Chairman Tseng Wen-sheng pointed out that Taiwan Power is a national asset that bears the responsibility of fighting inflation, but it also needs reinforcement. Despite the freeze on electricity prices, continuous investment is required to meet electricity demand and achieve net zero emissions targets. Tseng Wen-sheng will continue to seek government subsidies to ensure stable power supply and economic development. Compared to international subsidy amounts, Taiwan's subsidy scale is relatively small, only about hundreds of billions. Regarding power supply and the AI industry, Tseng Wen-sheng stated that there would be no power supply issues this year, and new power generation units will come online in the future. As for nuclear energy development, he emphasized the importance of safety and social consensus, and believes that the public must be fully informed before deciding whether to accept the application of nuclear energy.

The Ministry of Economic Affairs' Electricity Price Review Committee held a meeting at the end of March and announced that electricity prices will not be adjusted starting in April. Taiwan Power Company (Taipower) Chairman Tseng Wen-sheng stated that Taipower, as a national asset, is seen as a "breakwater" against inflation, but this "breakwater" also needs to be strengthened. Faced with increasing electricity demand, net-zero emissions, and multiple goals for an electrified society, Taipower needs to continue investing and assume social responsibilities to cooperate with the freeze on electricity prices. Tseng emphasized that Taipower will seek subsidies from the government to ensure financial stability, maintain stable domestic power supply, and support economic and livelihood development. He also hopes that future electricity prices can follow the review mechanism, adjusting reasonably based on fuel prices, generation costs, and user payment principles.

Regarding the impact of rising global energy prices on the electricity sector, Tseng pointed out that many countries have raised electricity prices due to skyrocketing fuel prices, with large-scale subsidies provided by their governments. For example, the subsidies in Germany and Japan exceed NT$500 billion, and France offers over NT$700 billion in subsidies. In contrast, the subsidy scale that Taiwan is currently seeking is relatively limited at around NT$100 billion.

Concerning the recent focus on power supply and the development of the AI industry, Tseng stated that the government has included the electricity growth associated with semiconductors and AI into its assessments and planning, stressing that "there is no problem with power supply this year." He added that new power generation units will continue to come online in the future, and Taipower will keep striving to ensure stable electricity supply to support industrial development and domestic electricity demand.

When discussing nuclear energy issues, Tseng responded that the government's position has always emphasized three major prerequisites: "safety, nuclear waste management, and public opinion support." He stated that these must pass the review of the Nuclear Safety Commission and be executed according to rigorous procedures. He indicated that if the nuclear waste issue is not properly resolved, it will involve issues of generational justice, and the disposal of high and low-level radioactive waste, including site selection referendums and relevant legal advances, still faces many challenges.

Tseng pointed out that various forms of energy have their advantages and disadvantages. Nuclear energy in Taiwan must face earthquake risks, and the public should fully understand this before deciding whether to accept its application, rather than pushing it forward in a forceful manner; otherwise, it will be difficult to gain social consensus.