Cabinet proposes typhoon, heavy rain aid package for southern Taiwan

Taipei, Aug. 7 (CNA) Taiwan's Executive Yuan on Thursday approved a draft bill that would allow the government to allocate up to NT$56 billion to support reconstruction in southern regions hit hard by a recent typhoon and torrential rain.

The proposed special act, which awaits legislative approval, covers areas affected by Typhoon Danas and subsequent downpours in early July, including Tainan, Kaohsiung, Chiayi and Pingtung counties.

Under the bill, the NT$56 billion (US$1.87 billion) in funding would be allocated for the repair and reconstruction of infrastructure, electricity systems, telecommunications and cable TV networks, cultural heritage sites and other public facilities.

The proposed funds would also support private sector recovery -- including agriculture, fishery, tourism and cultural industries -- as well as individual households that suffered financial losses, through subsidies, compensation and other relief measures, according to the bill, which would be effective until the end of 2027.

The recent inclement weather has claimed two lives and injured more than 700 across Taiwan, with thousands of others forced to evacuate. More than one million households experienced power outages, while 70,000 were cut off from the water mains, according to government data.

In the southern regions where agriculture and fisheries are the main economic activities, those working in the two fields sustained an estimated NT$3.28 billion in losses, the data shows.

Once the bill clears the Legislature, the Cabinet will need to submit a separate appropriation bill to access the funding.

The bill is the second special act, which is usually funded through surplus tax revenues and borrowing, that the current government has proposed this year.

An earlier act, which earmarks $530 billion for strengthening Taiwan's security infrastructure and providing relief to businesses and individuals likely to be affected by U.S. tariffs and their broader economic impact, was passed by the Legislature in July and signed into law by President Lai Ching-te (賴清德) on Aug. 1.