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Currently, the number of manufacturers in the natural gas energy industry in several regions is stagnant. However, to improve operating efficiency, it is necessary to review the current optimum number of public gas fuel utilities. Therefore, using the manufacturers of Taiwan’s natural gas energy industry and the number of natural gas energy users as a network variable from 1995 to 1999 as panel data, the consideration of network effects of the translog cost function model is incorporated in this study in order to understand the difference from the previous research.