The Legislative Yuan's Finance Committee on Wednesday began joint review of the 2026 central government supplementary budget (NT$607.6 billion in spending). The size of support for state energy firms that absorbed oil and gas price increases linked to the Middle East situation became the main point of contention. Only the question-and-answer stage took place, and the budget has not passed.
According to the United Daily News, items under the Ministry of Economic Affairs total NT$421.769 billion, including NT$233.834 billion in capital injections for CPC Corp. and NT$101.431 billion in subsidies for CPC, together NT$335.265 billion, or about 55 percent of the supplementary budget. Opposition parties say that share is too large and are considering cuts.
광고 문의 · 300×250The ministry explains that the CPC subsidy covers costs CPC absorbed when oil and gas prices rose because of the Middle East situation, helping stabilize prices and supply and freezing household natural gas and bottled gas prices until year-end. The capital injection is for infrastructure to secure natural gas supply; CPC's debt ratio reached 94 percent at the end of September, and the ministry estimates a stronger equity base would save about NT$4.2 billion a year in interest.
NT$71.1 billion for Taipower
The budget also includes NT$71.104 billion for Taipower and NT$8.4 billion for oil companies to keep household LPG prices frozen through the end of the year. Taipower chairman Tseng Wen-sheng told legislators that the company absorbed a large share of electricity price increases, widening its accumulated losses; he said household tariffs are below 2004 levels and over 90 percent of electricity use falls in the band of 330 kilowatt-hours or less.
Tseng said Taipower had three times sought roughly NT$100 billion each, about NT$300 billion in all, and none passed budget review; accumulated losses now exceed NT$300 billion, so this year's NT$71.1 billion is only a small part. Legislator Wu Ping-jui questioned the request and noted that Formosa Petrochemical is profiting handsomely this year; CPC chairman Fang Cheng-jen confirmed an estimate that the company will earn more than NT$100 billion.
Opposition concerns and the review ahead
The United Daily News reported that opposition parties intend to cut the CPC capital and subsidy items; legislator Lin Te-fu raised nuclear power, and Tseng explained how the Maanshan and Kuosheng shutdowns came about, saying blame should not rest entirely on Taipower. The supplementary budget now moves into formal review, and whether it will be cut or adjusted, and by how much, has not been confirmed.
