Energy Management Act Amendment Relaxes Requirements: Power-Intensive Users May Choose Between Installing Power Generation or Energy Storage Equipment

The Economics Committee of the Legislative Yuan preliminarily approved amendments to the Energy Management Act, easing regulations for power-intensive users to install self-use power generation or energy storage equipment. New or expanded users may now choose to install either type of equipment, reducing the burden on businesses. The Ministry of Economic Affairs stated that the amendments balance power system resilience with industrial development needs, though final approval by the Legislative Yuan is still required.

Editorial Team8/9/2026Updated 8/9/2026

Key Amendment: Relaxed Installation Requirements for Power-Intensive Users

The Economics Committee of the Legislative Yuan preliminarily approved partial amendments to the Energy Management Act on August 6, adjusting regulations for power-intensive users installing self-use power generation and energy storage equipment. Under the revised provisions, new or expanded power users may choose to install either self-use power generation equipment or energy storage equipment, rather than being required to install both. The Ministry of Economic Affairs stated that the amendments aim to enhance the resilience of the power system while accommodating the needs of businesses for factory construction and investment.

According to the draft amendment, the original version proposed by the Executive Yuan required power-intensive users with a certain contract capacity to install both self-use power generation and energy storage equipment, without distinguishing between new and existing users. Following the preliminary review by the Economics Committee, the word "and" in Article 10, Paragraph 4 of the Energy Management Act was amended to "or," applying only to new or expanded power users. The Ministry of Economic Affairs emphasized that this change will reduce the investment pressure on businesses and prevent delays in factory construction due to mandatory dual installations.

Renewable Energy Obligations and Industrial Demand Proceed in Parallel

Under the current Renewable Energy Development Act, power-intensive users with a contract capacity of 5 megawatts (MW) or more are required to fulfill a renewable energy obligation equivalent to 10% of their average contract capacity from the previous year within a specified period. Businesses may meet this requirement by installing rooftop solar, energy storage equipment, purchasing green electricity, or acquiring renewable energy certificates. This regulation has also become a critical foundation for businesses aligning with international sustainability initiatives such as RE100.

In recent years, the expansion of AI data centers and the semiconductor industry has driven rapid growth in electricity demand. The government hopes that by encouraging large power users to install self-use power generation or energy storage equipment, power system resilience will be enhanced, and the burden on the grid will be reduced. The Ministry of Economic Affairs noted that the amendments will simplify equipment installation choices for power-intensive users, lower compliance costs, and ensure a balance between power supply and demand.

New Rooftop Solar Regulations Take Effect

To expand renewable energy supply, the revised Standards for Installing Solar Photovoltaic Power Generation Equipment on Buildings officially took effect on August 1. The new regulations require new, expanded, or renovated buildings with a floor area of 1,000 square meters or more to install 1 kilowatt (kW) of solar photovoltaic capacity for every 20 square meters. The government estimates that this measure will add approximately 660,000 kW of solar photovoltaic installation capacity annually, helping to increase the share of distributed energy sources and support the green electricity needs of high-tech industries and businesses.

The Ministry of Economic Affairs stated that as domestic electricity demand continues to rise, the government will persist in adjusting regulations and guiding policies to encourage businesses to invest in self-use power generation and energy storage equipment while ensuring the stability of the power system. The preliminary approval of the Energy Management Act amendments marks a balance between energy transition and industrial development, though final implementation still requires approval by the Legislative Yuan.

0
0

Log in to comment and like articles.

Comments

No public comments yet.