Taiwan Power Co (Taipower) was behind the refusal of nine independent power producers (IPPs) to renegotiate electricity prices with the state-run company, Taiwan Solidarity Union (TSU) lawmakers said yesterday.
Four of the nine IPPs — which were slapped with a NT$6.32 billion (US$212.5 million) fine on Wednesday for conspiring to refuse Taipower’s request to renegotiate electricity prices — are subsidiaries of Taiwan Cogeneration Corp (Taiwan Cogen), Taipower’s reinvestment company, TSU caucus whip Lin Shih-chia (林世嘉) told a press conference.
Among the 36 board members of the four IPPs, 21 were appointed by the government, including 13 from Taiwan Cogen and four each from the Taiwan Sugar Co (Taisugar) and CPC Corp, Taiwan (CPC), which means that Taipower knew that the companies would refuse, Lin said.
The chief executives of the four IPPs — Star Buck Power Corp, Sun Ba Power Corp, Star Energy Power Corp and Kuo Kuang Power Corp — are retired officials from Taipower or CPC.
According to a Fair Trade Commission report, minutes of past meetings showed that the nine companies held at least 20 meetings between August 2008 and October 2010 to discuss electricity prices and colluded to sabotage the negotiation process, TSU Legislator Hsu Chung-hsin (許忠信) said.
The commission’s report said that the IPPs, which signed individual contracts to sell electricity to Taipower, renegotiated prices with the state-run energy firm to reflect rising procurement costs in 2007 and 2008, but later turned down Taipower’s request for price adjustments to reflect lower interest rates. The refusal caused Taipower to spend NT$5.9 billion more on electricity purchases from 2007 to 2011.
“Not only was Taipower aware of the refusal, but its representatives participated in the process,” Hsu said.
The collusion may have been initiated by the four IPPs and was likely a coordinated effort between active and retired Taipower officials to gain illegal benefits, he said, adding that the Control Yuan, which said it may launch a probe into the matter, should also investigate officials at Taipower, Taisugar and CPC.
NATIONAL SECURITY: Authorities are working to confirm the identities of the military personnel involved and investigating possible illegal conduct and regulatory violations Authorities are probing possible national security implications after Kinmen police and immigration officers on Sunday found a Chinese woman allegedly posing as a tourist while engaging in prostitution involving more than 10 military personnel. The woman, surnamed Chen (陳), has since been deported, authorities said, adding that investigators are still working to confirm the identities of those implicated, as the records only listed code names and aliases. The case stemmed from a report received by the Kinmen District Prosecutors’ Office on Friday last week from the Jinhu Precinct of the Kinmen County Police Bureau. On Sunday, police, along with the National Immigration
REASONS FOR TRAVEL: An assistant professor said that proposed amendments to penalize drivers if they used drugs overseas would not deter people from traveling People who operate a motor vehicle under the influence of marijuana would have their driver’s license revoked, even if they used the substance while overseas, the Ministry of Transportation and Communications said yesterday, citing proposed amendments to the Road Traffic Management and Penalty Act (道路交通管理處罰條例). The amendments would also authorize the government to revoke the licenses of people determined to have used Category 1 or Category 2 narcotics, even if they were not operating a vehicle while under the influence of drugs, as well as ban them from taking the license test for three years, the ministry said. People aged 18 or
GLOBALGIVING: ‘ Caving to external pressure is not acceptable for an organization that has cultivated justice reform and human rights for 30 years,’ one NGO said A slew of non-government organizations (NGOs) have withdrawn from the GlobalGiving fundraising platform after it announced it would use “Chinese Taipei” instead of “Taiwan” from next month. The Taiwan Good Rice Association wrote on Facebook on Friday that it was informed on April 28 via a teleconference call of the change, which was made because the platform wanted to operate in China. Taiwan Good Rice is to terminate all cooperative relationships with GlobalGiving in response to the platform’s “unilateral and non-negotiable” decision to remove references to Taiwan, the NGO said. “Taiwan is in the official name of Taiwan Good Rice Association and the
HEAVY WEATHER: Typhoon Jangmi is due to crash straight into the Ryukyus as airlines look to shift flights to larger aircraft or cancel flights to Okinawa entirely Taiwan’s international air carriers announced flight adjustments over the weekend as Typhoon Jangmi is forecast to hit the Ryukyu Islands today and tomorrow. The Central Weather Administration (CWA) upgraded Jangmi from a tropical storm to a typhoon at 8am yesterday, with the eye located 580km south of Naha city. It was moving north at 19kph. Today, China Airlines’ CI-120, CI-121, CI-122 and CI-123 flights between Taoyuan and Naha, Okinawa, have been canceled as well as CI-132 and CI-133 between Kaohsiung and Naha. EVA Air’s BR-112, BR-113, BR-186 and BR-185 flights between Taoyuan and Naha are also canceled. Low-cost carrier Tigerair Taiwan canceled IT-230,
RSS