Reliable access to low-carbon and zero-carbon energy has become a top priority for companies investing in manufacturing facilities in Taiwan. With rising global pressures to combat climate change, manufacturers are increasingly required to meet green energy standards to produce environmentally friendly products for their customers. Taiwan's energy mix is now a critical focus for the industrial sector.
In a report to the Legislative Yuan, the Ministry of Economic Affairs (MOEA) outlined the country's renewable energy strategy, which centers on solar, wind, and geothermal power. Marine current energy (Kuroshio) was excluded due to the high risks associated with its underdeveloped technology.
As of 2023, Taiwan's power generation is dominated by coal (42.2%), natural gas (39.5%), nuclear (6.3%), and renewables (9.5%), with solar (4.6%) and wind (2.2%) making up the bulk of renewables. The government's 2030 target is to shift to 50% natural gas, 30% renewables, and 20% coal.
To boost solar capacity, the government is prioritizing "fishery-solar symbiosis" projects and accelerating approval processes to reach 20 GW of solar power by 2026. Offshore wind power is also expanding, with 372 turbines installed and a grid-connected capacity of 2.94 GW, ranking Taiwan seventh globally. The aim is to increase offshore wind capacity to 7.9 GW by 2028.
In geothermal energy, Taiwan is focusing on deep geothermal reserves, with an estimated potential of 40 GW. The country's first 4,000-meter geothermal well, drilled by CPC Corporation and Academia Sinica, will begin operations later this month in Yilan, northeastern Taiwan.
Large hydropower projects have been shelved in favor of small-scale systems with lower environmental impact. To manage the intermittency of renewables, the government is implementing quick-start natural gas units as a transitional energy source.
Taiwan Power Company (Taipower) is moving forward with a "low-carbon first, zero-carbon later" strategy to meet the country's net-zero goals. This includes scaling up renewable energy projects, storage solutions, and advanced technologies.
From 2030 to 2050, Taipower plans to expand solar and wind capacity and introduce commercialized zero-carbon technologies. In preparation for rising electricity demand driven by AI and electric vehicles, Taipower is adding 17.86 GW of large-scale generation capacity and upgrading the grid to support renewable energy integration.
