Economy

Hormuz Strait Peace Lets CPC Trim Taipower's Natural Gas Price

Published

By TaiwanPlus

Open in App

Taiwan's state-run CPC Corporation has lowered liquefied natural gas prices by 4.7% for national utility Taipower, which relies on gas-fired plants to generate electricity. The cut comes as tensions ease between the US and Iran, though prices remain above pre-conflict levels. Taipower has posted significant losses this year amid high fuel costs and the rate reduction offers some relief. Prices for private natural gas users in Taiwan will remain unchanged.

LNG Price Drops

 

REPORTER:

Taiwan’s CPC Corporation has made power generation cheaper by lowering natural gas prices. The state-run refinery lowered prices of liquified natural gas by 4.7 percent when selling to the national energy utility Taipower, which generates electricity at gas-fired power plants. The drop comes as tensions ease between the US and Iran, though prices remain higher than pre-conflict levels. Higher prices have meant big losses for Taipower so far this year, and the current rate cut offers some relief. Natural gas prices for private users in Taiwan will remain unchanged.

CPC Lowers Natural Gas Price

 

REPORTER:

Taiwan's state-run refiner has lowered natural gas prices for power generation as tension eases in the US-Iran war. CPC Corp. on Tuesday lowered natural gas prices by 4.72 percent for utility users, easing costs for gas-fired plants as the Strait of Hormuz reopens. But Taiwan Power Company is still bearing higher gas prices since the Middle East war broke out earlier this year, adding to the state utility's mounting losses. Gas rates for residential, industrial and commercial users remain unchanged, as the government already froze prices to ease pressure on the public and prevent inflation.