Funds frozen by the Legislative Yuan might mean that the Ocean Affairs Council (OAC) cannot take delivery of two coast guard ships, harming its credibility with contractors for future purchases, OAC Minister Kuan Bi-ling (管碧玲) said in an interview yesterday.
Even though the OAC’s fiscal 2025 funding is greater than the previous year — despite the Legislative Yuan freezing or cutting NT$1 billion (US$30.54 million) for it and its subsidiary agencies — the cuts would still affect many of its medium and long-term projects, as they require higher payments in the later stages, Kuan said.
The increase in funding indicates that projects are due, but with the cuts, the OAC would be unable to make payments, she said.
Photo courtesy of the Ocean Affairs Council
For example, payments for the two patrol vessels — which are completed — would not be made because of the budget cuts, she said, adding that it would have to wait until next year to collect the ships.
The budget cuts would undermine national security, as the Coast Guard Administration (CGA) would not have enough ships to deal with threats posed by China Coast Guard vessels and “gray zone” tactics, including possible attempts to sever undersea cables near Taiwan, she said.
Foreign research and reports show that the line between what ships are Chinese research vessels and what are part of the Chinese People’s Liberation Army Navy fleet has blurred, Kuan said, adding that the OAC believed the so-called research vessels are not purely for research, but also play a role in China’s grand strategy, as undersea geography and topography, as well as hydrographic surveys, are strategic information.
The CGA would deploy its own vessels to chase Chinese research ships out of Taiwanese waters if incursions occur, Kuan said.
However, the budget issues must be resolved, either through inter-caucus discussions at the legislature or by the Executive Yuan authorizing additional funds, she said.
Budget freezes are typically used to bring agencies to the legislature to explain their funding proposals, but the actions this year would underfund agencies, she said.
The OAC plans to contract ship builders this year, but they would have to determine whether they want to take the risk, as the council would have only 70 percent of its funding, she said.
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