Taiwan's government is moving to subsidize state-run oil and power companies to keep consumer prices from rising, a move that's good news for households but a political fight for lawmakers.

• President Lai Ching-te, who also heads the ruling Democratic Progressive Party, asked the party's legislative caucus to work with the opposition Kuomintang to pass a supplementary budget that includes subsidies for state oil company CPC and state utility Taipower, aimed at keeping prices stable.
• He pointed to recent street protests in France and Italy as a warning sign, saying public anger in those countries stemmed largely from rising prices and inflation, and framed the subsidies as a way to avoid similar unrest in Taiwan.
• Separately, next year's central government budget sets aside funds to shore up the national health insurance fund, with the goal of avoiding a hike in health insurance premiums.
• The party's secretary general urged members to avoid mistakes as a close election approaches, while a party spokesperson pushed back on increasingly sharp criticism from China's Taiwan Affairs Office.

Outlook: The budget still needs cross-party support in the legislature, so whether the energy subsidies and price relief actually go through depends on whether the two rival parties can reach a deal.