Gas supply secure through March, minister says amid rationing fears

Taipei, March 3 (CNA) Taiwan has secured sufficient natural gas supplies for March, Minister of Economic Affairs Kung Ming-hsin (龔明鑫) said Tuesday, amid concerns that escalating hostilities in the Middle East could trigger rationing.

"The issue for March has already been resolved, and there will absolutely be no power rationing due to insufficient natural gas," Kung said at the Legislature, responding to questions from opposition Kuomintang lawmaker Lin Pei-hsiang (林沛祥).

Kung said gas shipments for early March have already passed through the Strait of Hormuz, while supplies for the second half of the month have been secured from "alternative markets."

Pressed on the government's contingencies beyond March, Kung said he hoped the conflict would be short-lived, adding that coal-fired power generation would be "a last resort."

Following the legislative session, the MOEA issued a news release outlining a "three-stage plan" for ensuring fuel supplies in the event of "extreme conditions," including a long-term Iranian blockade.

Under the plan, state-run CPC Corp., Taiwan would first redirect cargoes from non-Middle Eastern sources such as the U.S. and Australia, then seek supply swaps with Asian buyers such as Japan and South Korea, and finally procure additional spot cargoes if necessary to ensure uninterrupted domestic supply.

The ministry added that Taiwan is increasing liquefied natural gas procurement from the U.S. to strengthen energy resilience.

CPC signed a roughly 25-year purchase agreement with U.S.-based Cheniere Energy on Feb. 10, with deliveries set to begin in June and annual purchases reaching up to 1.2 million metric tons starting next year, the ministry said.