International Crude Oil Prices Soar; CPC: Cooperating with Policy to Stabilize Oil Prices, No Overcharging

From the outbreak of the war until April 5, CPC has absorbed a total of over NT$9.06 billion for gasoline and diesel.

CPC explained in a press release that from February 28 to April 2, Dubai crude oil prices rose by 69.37%, and Brent crude oil prices rose by 77.81%. In contrast, in Taiwan, taking CPC's 95 unleaded gasoline retail price as an example, the adjustment during the same period was only 17.3%, which is not only much lower than the international crude oil price increase but also much lower than the price increases in other neighboring Asian countries.

CPC pointed out that the main reason is that CPC, through the "lowest price in neighboring countries" policy, and in cooperation with the government's priority to stabilize prices, immediately activated a special stabilization mechanism during the US-Iraq war to absorb a large portion of the increase, making the increase in domestic gasoline and diesel retail prices relatively moderate. Furthermore, prices will not be adjusted from April 6 to April 12, which not only reduces the burden on consumers but also helps stabilize domestic prices.

CPC stated that to ensure an adequate supply of domestic oil products, CPC immediately launched an "emergency dispatch" plan after the outbreak of the war, including early procurement, inter-company exchanges, and spot market purchases.

CPC emphasized that the additional transportation costs, insurance premiums, and premiums incurred by these emergency purchases are not included in the current oil price formula and are borne by CPC itself. These costs are not reflected in the policy absorption amount, nor is there any so-called "overcharging" as claimed by outsiders.

CPC reiterated that the ongoing Middle East conflict has led to continuous fluctuations in international oil prices. The current priority remains to stabilize domestic oil and gas supply and cooperate with government policies to stabilize prices. As for the adjustment of the floating oil price mechanism, CPC will commission scholars and experts to conduct careful evaluation and review, urging the public to view it rationally. CPC will continue to communicate with all sectors with a transparent and responsible attitude to ensure the stability and resilience of Taiwan's energy supply. (Edited by Lin Ke-lun) 1150408