The Fair Trade Commission (FTC) yesterday said it plans to uphold its punitive decision against nine independent power producers (IPPs), despite the Executive Yuan’s administrative appeals committee on Monday saying that the NT$6.32 billion (US$213.12 million) fine given to the companies is too high.
“We will hold a meeting to make a decision, but we are inclined to maintain our prior ruling,” FTC Vice Chairman Sun Lih-chyun (孫立群) said by telephone yesterday.
The committee on Monday said the nine IPPs were guilty of price renegotiation collusion with Taiwan Power Co (Taipower, 台電), but thought that the commission should reconsider the penalties it handed down within two months.
Sun said that before the Fair Trade Act (公平交易法) was amended in February, a company could only be fined NT$25 million, but the NT$6.32 billion fine for the IPPs falls in line with the new law, which states that a company can be fined by up to 10 percent of its annual revenue.
“We consulted with the Ministry of Justice and it said we can use the new law to fine the nine companies because they were still committing their wrongdoing after the law was amended,” Sun said.
According to Sun, the committee will review the case after receiving the FTC’s response, and the commission has to obey its final decision.