To reflect rising fuel cost, the electricity and natural gas pricing committee yesterday approved state-run CPC Corp, Taiwan’s (CPC, 台灣中油) proposal to raise liquefied natural gas (LNG) prices by 8.09 percent.
The price hike is pending approval by the Ministry of Economic Affairs, a ministry statement said yesterday.
Because of price limits imposed by the government, CPC’s cumulative losses from LNG reached NT$2.2 billion (US$66.8 million) in the first five months of the year, the statement said.
CPC had proposed an increase of between 8.09 percent and 30.64 percent for LNG prices. The committee decided on 8.09 percent to minimize impact on households, the statement said.
Under the proposed adjustment, LNG 2 for industrial use, home use and electricity generation will increase by NT$1.09 per cubic meter, while LNG 1 will rise by NT$0.89 per cubic meter. For a typical domestic household, the average monthly bill for LNG is estimated to rise by about NT$27, the statement said.
The ministry added that effective today, CPC’s gasoline and diesel prices would rise by NT$0.30 and NT$0.60 per liter respectively. The prices for liquefied petroleum gas prices will also increase by NT$2.5 per kilogram, it said.
Formosa Petrochemical Corp (台塑石化) said it would match CPC’s price hikes on gasoline and diesel products.