Source: Xinhua News Agency
A traffic light on a street in Taipei cannot work due to a power outage (data picture). Photo by Xinhua News Agency reporter Zhou Mi
Industry rates will be increased by 15%, while small businesses and residential buildings with temperatures below 1,000 degrees Celsius will not be adjusted.
Taiwan’s power shortage problem has long received widespread attention. In recent years, power outages have occurred frequently in various parts of the island. In May last year, there were even two major blackouts across Taiwan. Since the beginning of summer this year, Taipei City's Datong District and Xinyi District have experienced power outages during peak power consumption hours. Some people on the island laughed at themselves, saying that power shortages and blackouts have become a norm in Taiwan.
The peak electricity consumption this summer has not yet arrived, but power supply warnings have been sounded repeatedly in Taiwan. Taiwan Electric Power Company (hereinafter referred to as "Taipower") recently stated that the peak load has refreshed the record for June for 4 consecutive days and hit a record high for electricity consumption for 2 consecutive days; on June 23, the orange light of the power supply signal came on for a time, signaling "Power Alert". Electricity consumption is increasing year by year, and Taipower estimates that the peak load of electricity consumption in July will exceed 40 million watts.
Can raising electricity prices solve the problem of electricity shortage? Some media on the island believe that "if the energy policy does not change, there will be no solution to the power supply crisis." Taiwan's "China Times" commented that the Democratic Progressive Party authorities advocated the so-called "non-nuclear homeland" and abandoned the four nuclear power plants, but the progress of green energy has been slow. Taiwan relies entirely on imported natural gas and other fuels for thermal power generation. In the end, costs skyrocketed, affecting the environment, and the Taiwanese people had to bear all the consequences.
It is understood that this year the Energy Administration, Taiwan’s economic affairs authority, has set a solar energy installation target of 3 billion watts. However, as of the end of May, the number of new installations was only 627 million watts. Industry players estimate that they may not even pass half of the threshold in the first half of this year, let alone complete the full-year target. This also exposes that the DPP authorities’ claim to use green energy to make up for power shortages is “just talk on paper.”
Taiwan's "United Daily News" commented that in recent years, power outages have continued to occur across Taiwan, showing that Taipower's management and dispatch are full of loopholes and that power transmission and distribution equipment are also fragile. To make matters worse, the DPP authorities have been hiding the truth and whitewashing the situation. In fact, since the frequent occurrence of nighttime power outages in early spring this year, we can imagine that this summer will be extremely difficult.
Whether raising electricity prices can solve the power supply crisis is still difficult to judge, but the impact on inflation may be on the way. Industry insiders pointed out that rising electricity prices will have an impact on economic growth, business operating costs and household economy.
Lin Bofeng, former chairman of the Taiwan Chamber of Commerce and Industry, said that raising prices only for large electricity consumers will punish electricity-consuming companies and will cause the manufacturing industry to flee. He also believes that Taiwan is facing inflation , and it is not a good time to increase prices now.
The "General Accounting Office" of the Taiwan authorities' administrative department previously announced that the annual growth rate of Taiwan's consumer price index (CPI) in May reached 3.39%, setting a new high in the past 10 years.
Taiwan's "United Daily News" published a commentary stating that the paranoid energy policy of the Democratic Progressive Party authorities will soon be stretched and unsustainable, and the Taiwanese people will pay a heavy price for this. Currently, many regions around the world are facing the risk of inflation. Only the Democratic Progressive Party is demanding "reasonable reflection of electricity prices" at this worst moment. Commentators believe that this counter-trend operation to increase the expenditures of Taiwanese people and industry and commerce is tantamount to adding oil to put out fires. (Source: Xinhuanet Xinhua News Agency reporters Yue Xitong, Qi Xianghui)
