Minister claims power grid able to support 6 AI data centers by end of 2025

Taipei, June 5 (CNA) Economics Minister J.W. Kuo (郭智輝) on Wednesday claimed that Taiwan's electricity grid would be able to support at least six artificial intelligence (AI) data centers by the end of next year.

Addressing a legislative committee session, Kuo said the government was assessing the growing electricity requirements of the AI industry, with a report expected by mid-July.

Kuo made the remarks in response to lawmakers' concerns about a possible power shortage after U.S.-based AI chip designer Nvidia Corp. hinted at a new research and development center in Taiwan.

On Tuesday, Nvidia CEO Jensen Huang announced plans to build a second supercomputer in Taiwan, where the company is already setting up its first AI research and development center in Asia.

Kuo said that Taiwan's AI industry did not currenly consume a significant amount of electricity, but as the industry develops, its power usage could exceed initial growth estimates.

According to data from the Ministry of Economic Affairs cited by lawmakers, the development of the AI industry is expected to cause an annual increase in Taiwan's electricity consumption of about three percent.

Kuo admitted the electricity supply could become tighter if six AI data centers are built by the end of 2025.

In addressing the need for additional power, priority will be given to solar power generation as it is the quickest solution, along with options such as energy storage and hydroelectric power, Kuo said.

However, Kuo said Taiwan would "not build any more coal-fired power plants."

Nationwide, the power supply is expected to remain stable until at least 2030, Kuo told reporters on the sidelines of the session.

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