A special panel has been formed to review the performance of the state-run oil and power companies following a much-criticized gasoline price hike, a Ministry of Economic Affairs official said yesterday.
The special panel, established to address public criticism of the recent fuel price increase, comprises 21 members, including CEOs, consumer group representatives, academics and government officials, said Liu Ming-chung (劉明忠), executive director of the ministry’s State-owned Enterprise Commission.
CPC Corp, Taiwan (CPC, 台灣中油) raised domestic fuel prices on April 2 by between NT$2.3 (US$0.078) and NT$3.6 per liter, or 7 to 11 percent, while Taiwan Power Co (Taipower, 台電) also plans to hike both domestic and industrial electricity rates.
The panel, which is meeting for the first time today with Minister of Economic Affairs Shih Yen--shiang (施顏祥) presiding, will address four major issues, Liu said.
It will discuss how to boost the two firms’ operating performance and lower their costs, as well as review their procurement systems, Liu said.
The panel will also examine the firm’s employment system, including salaries and benefits, which have also come under fire for being unreasonably generous, particularly as the two companies are in the red, Liu said.
It will also discuss the firms’ progress toward privatization, he added.
In related news, the ministry’s Energy Bureau said an advisory committee on electricity prices would hold a meeting tomorrow to discuss Taipower’s proposal to raise electricity rates.