High Wholesale Price Rate for Offshore Wind Power Energy: Blue Calls on Gov’t Not to Leave Future Generations in Debt
2018/12/12
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High Wholesale Price Rate for Offshore Wind Power Energy: Blue Calls on Gov’t Not to Leave Future Generations in Debt
Source: China Times
December 12, 2018
In a press conference held yesterday, the KMT legislative caucus stated that the Control Yuan had clearly pointed out that the Economics Ministry's policy of offshore wind power energy was not adequately planned and the wholesale price rate was excessively high, while installation capacity was massively increased in a short term, carrying hidden risks for the locally-manufactured goal and a financial crisis. The KMT caucus hoped that Economics Minister Shen Jong-chin (沈榮津) would think twice in order not to saddle the next generation with debt.
Tseng Ming-chung (曾銘宗), KMT deputy caucus whip, pointed out that when the Economics Ministry was selecting among foreign firms in the first-stage invitation for offshore wind power generation, it stipulated a wholesale price rate of NT$5.8 per kWh, while in the second-stage tender, the base wholesale price rate was set at an undisclosed NT$2.5 per kWh, meaning that the rates for the two stages were NT$3.3 per kWh apart. Tseng went on to say that as the government planned to sign a 20-year-long contract with the operators, if 13.8 billion kWh of electricity was generated per year, Taipower had to pay an extra NT$910 billion (approx. US$30 billion) over a period of 20 years. In fact, the electricity bill would be paid with taxpayers’ money, so the rights and interests of consumers and the national coffers would be impacted greatly, Tseng concluded.
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