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TAIWAN'S ruling Kuomintang (KMT) reacted nervously yesterday to discussions between two parties that might lead to a coalition cabinet - putting the ruling party into opposition for the first time.

Legislators from the pro-independence Democratic Progressive Party (DPP) and the smaller pro-unification New Party held surprise talks at the Legislative Yuan's coffee shop on Thursday.

The dialogue ended by discussing possible co-operation over voting for the president's nomination for premier, and the elections for speaker and vice-speaker of the new Legislative Yuan in February.

The New Party's Chen Kui-miao said yesterday the alliance could result in a 'clean and efficient coalition cabinet' between the two parties and 'clean' members of the KMT, despite sharp ideological differences on Taiwan's future.

With the DPP's 54 seats, the New Party's 21 and four non-partisans, an alliance could control 79 of the Legislative Yuan's 164 seats and would only need the defection of five KMT legislators to block the approval of any premier nominated by President Lee Teng-hui.

The KMT reaction was swift and negative. Spokesman Chien Han-sheng said that for the 'pro-Taiwan independence DPP and the pro-rapid unification New Party to ally would completely betray their voters'.

It would be an alliance between 'cheats and crass politicians', he said.

But the New Party's Mr Chen said such an alliance could usher in 'an era of clean government'.

'The distribution of seats among the three parties is such that any group of three corrupt KMT legislators can blackmail the KMT to advance their own interests,' he said.

'Two divided opposition parties only makes things easy for the ruling party.' Mr Chen said if the DPP and New Party put their ideological differences aside temporarily, 'we can do many things together, including passing 'sunshine' laws to clean up the Government and measures to help the disadvantaged'.

'The local financial bosses and thugs in the KMT can form the largest opposition party,' New Party Secretary-General Jaw Shao-kang said.



Opposition holds talks on coalition