TAIPEI, Dec 15 (Reuters) - Taiwan's premier said on Monday he would not enact local government spending plans passed by the opposition-controlled parliament, saying they were fiscally unsound and that lawmakers were welcome to try and remove him in a no confidence vote.
While Lai Ching-te won the presidential election last year, his Democratic Progressive Party (DPP) lost its parliamentary majority to the Kuomintang (KMT) and its much smaller ally the Taiwan People's Party.
Since the DPP controls the presidency it also runs the government in Taiwan's system, but the opposition has used its parliamentary majority to pass its own legislation and stymie government plans.
The current standoff between the government and opposition stems from opposition-passed amendments last month to a revenue allocation law, which granted more funds to local governments.
Speaking to reporters in Taipei, Premier Cho Jung-tai said if the changes were to be enacted the government would need to borrow an unsustainable T$264.6 billion ($8.44 billion) next year to cover it, and that the opposition had forced the legislation through without proper consultation.
Lawmakers could pass a no confidence motion to remove him if they wanted, Cho said, announcing he would not enact the legislation.
"As premier, if I am brought down by a parliament and political parties that trample on the constitution and throw governance into chaos, that will be the democratic medal of honour of my life," he said.
Were such a motion to be passed, Cho would have 10 days to submit his resignation to Lai, or Cho could instead ask the president to dissolve parliament, which would lead to new elections within 60 days.
OPPOSITION ANGERED
The KMT and TPP say the government is acting dictatorially by refusing to enact the legislation and is trampling on rule of law.
"Lai and Cho have set a bad precedent of unconstitutionality and will go down in history as criminals," the KMT said in a statement.
But KMT lawmakers, speaking earlier on Monday, signalled a vote of no confidence was not something they were considering.
"Bringing down the premier and dissolving parliament creates costs for society. It does not resolve the constitutional government deadlock," lawmaker Yeh Yuan-chih told a news conference held by the party's parliamentary caucus.
($1 = 31.3420 Taiwan dollars)
(Reporting by Ben Blanchard and Jeanny Kao; Editing by Kate Mayberry)
