CPC to leave gasoline, diesel prices unchanged for next week

Taipei, April 4 (CNA) Despite soaring international crude oil prices amid military conflict in the Middle East, CPC Corp. Taiwan said on Saturday that it will leave domestic gasoline and diesel prices unchanged next week, with benchmark 95-octane unleaded gasoline to stay at NT$33.9 (US$1.06) per liter.

State-owned oil supplier CPC said the decision was made based on a price stabilization mechanism introduced by the Cabinet after the U.S.-Israel war against Iran started at the end of February.

After the decision, retail gasoline prices will stay at NT$32.4, NT$33.9 and NT$35.9 per liter for 92, 95 and 98-octane unleaded gasoline, respectively, from midnight Monday through April 12, while premium diesel will continue to be priced at NT$31.0 per liter.

Speaking with reporters, CPC spokeswoman Lin Ke-ju (林珂如) said the decision not to adjust domestic retail oil prices came as the average price of international crude oil this week remained below that of last week, but she emphasized that crude oil prices continue to hover at high levels amid geopolitical unease.

After taking into account the subsidies provided by neighboring countries on retail oil prices to limit the impact of a surge in international crude oil prices, Lin said, CPC decided to follow the government's instruction to stabilize consumer prices.

From April 6-12, CPC's domestic retail gasoline and diesel prices are expected to remain the cheapest among neighboring countries as CPC will absorb NT$6.8 per liter in gasoline prices and NT$8.8 per liter in diesel prices.

According to CPC, as of Sunday, it is estimated the company will have absorbed more than NT$9.06 billion through subsidies on domestic retail gasoline prices since the war in the Middle East started on Feb. 28.