Taiwan to formally adopt floating fuel price

Taiwan will formally adopt a floating fuel price mechanism from January 1, 2007 with the state-run CPC Corp. (formerly Chinese Petroleum Corp.) adjusting its prices every week in line with international crude oil price movements, the government said in a statement. The new system will involve reviewing domestic prices every week and announcing changes based on price movements in the New York Mercantile Exchange. CPC started operating a trial run of the system in September, whereby it would make regular price reviews and adjustments every Tuesday. Fuel price adjustments by CPC had previously been subject to approval by the government. (December 29, 2006)