Three of the four state-run enterprises under the supervision of the Ministry of Economic Affairs (MOEA) yesterday reported net profits for the first half of the year, with Taiwan Power Co (Taipower, 台電) leading with net profit of NT$18.7 billion (US$667.93 million), while Taiwan Water Corp (台灣自來水) brought up the rear with net losses of NT$1.36 billion.
Taipower spokesman Chang Ting-shu (張廷舒) attributed the results to an annual increase in electricity consumption of 5.1 percent, far above what the company had anticipated.
‘HOT SUMMER’
Photo: Lin Jin-hua, Taipei Times
“The hot summer combined with people working from home and Taiwan’s increased industrial production led to a much higher use than we expected,” Chang said.
The Bureau of Energy had estimated that electricity use would increase 2.6 percent year-on-year, up from 2.1 percent last year.
Over the past 10 years, the average increase in electricity use was below 2 percent, the bureau said.
Yesterday’s peak electricity usage broke another record at 2:59pm, when power use reached 38.60 gigawatts.
The high electricity use, along with a relatively moderate energy price in Taiwan in the first half of the year, generated profit for Taipower, Chang said, but added that as global prices for coal, oil and natural gas have been rising, the second half of the year might be different.
“We need to keep a close eye on fuel prices,” Chang said, describing Taipower’s outlook for the second half of the year as “conservative.”
CPC Corp, Taiwan (CPC, 台灣中油) reported net profit of NT$15.05 billion in the first six months, as the refiner benefited from strong demand for petroleum products.
RISING LNG PRICES
However, the surging price of liquefied natural gas (LNG) internationally has become “a burden” for the company.
In the past, the price of LNG would dip in the summer, affording CPC a profit, but in the first half of this year, CPC’s LNG unit accrued heavy losses, which “might get worse” as the year continues, it said.
THE DROUGHT
Taiwan Sugar Co (Taisugar, 台糖) reported net profit of NT$685 million, but Taiwan Water was in the red due to a drought earlier this year, the ministry’s State-owned Enterprise Commission said.
As the drought affected farmers’ first and second rice harvests, Taiwan Water and the Water Resources Agency paid compensation of NT$1.22 billion each to the farmers, the commission said.
The domestic unit of the Chinese-owned, Dutch-headquartered chipmaker Nexperia BV will soon be able to produce semiconductors locally within China, according to two company sources. Nexperia is at the center of a global tug-of-war over critical semiconductor technology, with a Dutch court in February ordering a probe into alleged mismanagement at the company. The geopolitical tussle has disrupted supply chains, with some carmakers reportedly forced to cut production due to chip shortages. Local production would allow Nexperia’s domestic arm, Nexperia Semiconductors (China) Ltd (安世半導體中國), to bypass restrictions in place since October on the supply of silicon wafers — etched with tiny components to
Singapore-based ride-hailing and delivery giant Grab Holdings Ltd has applied for regulatory approval to acquire the Taiwan operations of Germany-based Delivery Hero SE's Foodpanda in a deal valued at about US$600 million. Grab submitted the filing to the Fair Trade Commission on Friday last week, with the transaction subject to regulatory review and approval, the company said in a statement yesterday. Its independent governance structure would help foster a healthy and competitive market in Taiwan if the deal is approved, Grab said. Grab, which is listed on the NASDAQ, said in the filing that US-based Uber Technologies Inc holds about 13 percent of
Taiwan is open to joining a global liquefied natural gas (LNG) program if one is created, but on the condition that countries provide delivery even in a scenario where there is a conflict with China, an energy department official said yesterday. While Taiwan’s priority is to have enough LNG at home, the nation is open to exploring potential strategic reserves in other countries such as Japan or South Korea, Energy Administration Deputy Director-General Chen Chung-hsien (陳崇憲) said. While the LNG market does not have a global reserve for emergencies like that of oil, the concept has been raised a few times —
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday received government approval to deploy its advanced 3-nanometer (3nm) process at its second fab currently under construction in Japan, the Ministry of Economic Affairs said in a news release. The ministry green-lit the plan for the facility in Kumamoto, which is scheduled to start installing equipment and come online in 2028 with a monthly production capacity of 15,000 12-inch wafers, the ministry said. The Department of Investment Review in June 2024 authorized a US$5.26 billion investment for the facility, slated to manufacture 6- to 12nm chips, significantly less advanced than 3nm process. At a meeting with
RSS