TAIPEI, Taiwan, May 22 (UPI) -- Taiwan's economics minister refuted a report saying the government, faced with soaring oil prices, planned to sharply raise domestic gasoline and diesel prices.
Yiin Chii-ming, however, said the government hopes to be able to fully reflect on the domestic front the costs prevailing on the international markets, the Taipei Times reported.
The minister was responding to a Chinese-language newspaper report that the state-owned oil refiner CPC Corp. had planned to raise domestic gasoline prices by about 20.4 U.S. cents per liter and diesel prices by 22.7 U.S. cents per liter from next month, but that the government had rejected it, the Times report said. One U.S. gallon is equal to 3.78 liters.
"Whoever came up with this information was being very irresponsible," Yiin was quoted as telling reporters.
"The exact price hike in domestic fuel prices next month will not be determined until we have calculated the average international crude oil costs this month," he said.
The minister, a member of the new administration of President Ma Ying-jeou, said the government will not make any official announcement prior to June 1.
He noted, however, that without fuel and electricity price adjustments, CPC and Taiwan Power Co., which is also state-owned, together could be hit with losses totaling up to (U.S.) $3.95 billion this year, adding, "No large enterprises can afford such losses."
The minister said Taiwan's Vice Premier Paul Chiu is in charge of the government's domestic fuel and electricity prices, which are decided by the Cabinet.
Separately, Taiwan's gas station owners have been told they face hefty fines if they violate regulations against hoarding fuel in anticipation of price hikes or if they allow others to do so.
