State-run Taiwan Power Co (Taipower, 台電) will hike summer electricity prices by 10 to 27 percent starting June 1, depending on the amount of power consumed.
For the ordinary household, which on average consumes 330 kilowatt-hours of electricity per month, Taipower estimated that electricity bills will jump from NT$759 (NT$2.3 per kilowatt-hour) to NT$891 (NT$2.7 per kilowatt-hour) per month this summer -- or a 17.4 percent increase.
For what Taipower considers excessive household use -- or above the average 330 kilowatt-hours per month -- those electricity bills will jump from NT$2.6 per kilowatt-hour to NT$3.3 per kilowatt-hour -- or a 27 percent increase over the four-month period through Sept. 30, Taipower said on Monday.
If usage is kept below 110 kilowatt-hours, the unit price will rise slightly from NT$2/per kilowatt-hour to NT$2.2/per kilowatt-hour -- or a 10 percent increase, Taipower added.
Commercial users, such as offices, stores or restaurants, will face a flat 27 percent raise from NT$2.6 to NT$3.3 per kilowatt-hour. Ironically, while 65 percent of Taiwan's energy consumption is eaten up by industry, Taipower has no plans to raise their rates this summer.
In spite of rising prices, Taipower's vice president Lee Ziin-tyan (
"Barring any accidents, power rationing will not be necessary this year," Lee said, adding the company has been practicing the summer price hike measure since 1989.
Since the company hasn't raised prices in 17 years, former Taipower chairman Lin Wen-yuan (林文淵) said last month that an 8 percent price hike was reasonable. Taipower's Lee, however, yesterday shrugged off the concern, saying raising prices was not within the company's authority and that the government had dropped the plan due to the economic downturn.
Taipower said that electricity prices will return back to normal in October.
To avoid excessive use of electricity in summer's peak hours, Taipower urged the public not to turn on their air conditioners unless the temperature hits 28 degrees Centigrade or higher.
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