Emissions cuts key to Taiwan's future business orders: President

Taipei, Oct. 14 (CNA) President Lai Ching-te (賴清德) said Wednesday that companies' ability to cut emissions will affect their future orders and Taiwan's industrial competitiveness, and pledged financial and policy support for their transition.

Speaking at the opening of the Energy Taiwan and Net-Zero Taiwan exhibitions in Taipei, Lai said increasingly stringent emissions requirements in international supply chains meant businesses needed to build net-zero goals into their operating decisions.

"The ability to cut carbon affects future orders and directly influences the international competitiveness of Taiwan's industries," the president said.

To support that transition, the government will use carbon fee revenue to help industries go green and to fund technological innovation, he said, adding that Taiwan has completed its first round of carbon fee declarations and payments, putting a price on emissions.

Other measures included the Taiwan Green Growth Fund, which seeks to attract private investment into net-zero industries, and plans to invest an additional NT$100 billion (US$3.11 billion) over eight years to help micro, small and medium-sized enterprises pursue digital and net-zero transitions, Lai said.

The president reiterated Taiwan's targets of cutting greenhouse gas emissions by 28 percent, plus or minus two percentage points, by 2030 and 38 percent, with the same margin, by 2035, compared with 2005 levels.

Reliable power supplies are also essential as artificial intelligence (AI) drives up electricity demand, he said.

Taiwan's renewable energy capacity has risen from 4.7 gigawatts (GW) in 2016 to 25 GW, and its cumulative offshore wind capacity ranks fifth in the world, Lai said, adding that the government will continue developing a mix of renewable sources, energy storage, energy conservation and grid resilience.

Taiwan External Trade Development Council (TAITRA) Chairman Huang Chih-fang (黃志芳) linked energy supply to the pace of technological change.

"As AI changes our world, energy will determine how far the transformation can go," Huang said, emphasizing that no single technology could meet the challenge alone.

Lucas Lin (林雍堯), chairperson of SEMI's Green Energy and Sustainability Alliance, said companies needed to translate customers' renewable energy commitments into everyday production and supply-chain decisions, making the net-zero transition a source of industrial upgrading and competitiveness.

The exhibitions, organized by TAITRA and the alliance, feature more than 400 companies and run through Friday in Hall 1 of the Taipei Nangang Exhibition Center.

Displays cover renewable energy, energy storage, energy efficiency, carbon management and green finance, offering businesses technologies and services for reducing emissions.