taiwan’s energy conservation
TRANSCRIPT
Prepared by Dr. Kuo, Po-Yao
Chung-Hua Institution for Economic Research, Taipei, Taiwan
Prepared for The 17th AIM International Workshop, Tsukuba, Japan
February 17th-February 19th, 2012
Taiwan’s Energy Conservation
and Carbon Reduction
2
In the 2009 Taiwan final energy consumption, transportation sector, housing sector, and service sector (commercial sector) consist 13.2%, 11.6%, and 11.5% respectively.
In the 2009 Taiwan's electric power consumption, industrial sector consists 51% of the total power consumption. Housing and commercial sectors consist 23% and 17% respectively.
2009 Energy Consumption Percentage
bySector
(nationwide energy consumption was 113.1
million kiloliter equivalents)
2009 Electrical Power
Consumption by Sector
1. Taiwan's Current State of Energy and Green House
Gas Emission
Transportation Sector
Housing Sector Energy Sector
Service Sector
Non-Energy Consumption
Industrial Sector
Agricultural Sector
Industrial Sector
Housing Sector
Commercial Sector
Others
3
Taiwan's energy-intensity is comparatively higher than
other nations.
Comparison of the Nations (without adjusting purchasing power)
Source：IEA/OECD, KEY WORLD ENERGY STATISTICS, 2008.
Japan UK Italy Germany France USA Taiwan Australia S. Korea Canada
4
Taiwan's CO2 emission from fuel combustion between 1990~2008.
111120
129
219
140148
156165
176188
197
237227
214
269257
249257
265
-50
0
50
100
150
200
250
300
350
400
450
1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
(年)
能源
部門
CO
2排放
(百
萬公
噸二
氧化
碳)
0
50
100
150
200
250
300
燃料
燃燒
CO
2排放
(百
萬公
噸二
氧化
碳)
工業 運輸 住宅
能源業 其他 商業
農林漁牧 燃料燃燒CO2總排放
CO2 emission between 1990~2008 increased by 132.3%.
Taiwan's annual CO2 emission growth rate from fuel combustion for
2008 became negative for the first time (-4.4%). This can be attributed
to: Global financial crisis created an economic recession.
After reasonably adjusting Taiwan's energy prices, decreased energy demand is reflected.
Government is actively promoting relevant measures on carbon reduction and energy conservation.
4
CO
2 E
mis
sio
n in
Eco
no
mic
al S
ecto
rs
(Mill
ion t
ons C
O2)
Industry Transportation
Others
Housing
Commerce Energy
Agriculture, forestry, fishery, animal husbandry
Total CO2 emissions from fuel combustion
CO
2 E
mis
sio
n f
rom
Fu
el C
om
bu
stio
n
(Mill
ion
to
ns C
O2)
year
5
Since taking the office, President Ma has been promoting Taiwan
to be a low carbon society as a priority policy. The Sustainable Energy Policy Guideline was raised in June 2008.
The third National Energy Conference was convened in April 2009.
The amendment draft of Energy Management Law was announced on
7/8/2009 to promote energy efficiency regulation and create an energy
efficiency classification system to promote energy saving technology
and products.
Statute for Renewable Energy Development was promulgated in
7/8/2009 to promote the development of renewable energy.
Greenhouse Gas Reduction Act is currently in the Legislative Yuan, and
the Energy Tax Statute is being drafted in the Executive branch.
Executive Yuan established the cross-ministry Energy-Saving and
Carbon-Reducing Promotion Committee and New Energy Development
Promotion Committee in the end of 2009.
2. Taiwan's Policy on Energy Conservation
and Carbon Reduction
6
Improve Energy
Efficiency Develop Clean
Energy
Ensure Stable
Energy Supply
Sustainable Energy Policy Framework
(2008 /6 / 5)
Stable Efficient Clean
Energy efficiency
raised annually by
2% for the next 8
years; energy
intensity reduced by
20% by 2015 from
2005.
Reduced by more
than 50% via
technical
breakthrough and
complementary
measures
CO2 emission reduced
to 2008 level between
2016~2020, reduced to
2000 by 2025, and
reduced to 2000's 50%
by 2050
Among power
generators, low carbon
energy increased from
40% to over 55% by
2025.
Establish a safe
energy supply
system for future
economic
development
Increase dependence
on domestic energy
sources
7
Sustainable
Energy Policy
Framework
Supply Side
The 2 Highs and 2 Lows Energy Consumption
Model and Energy Supply System
Increase
energy
utilization and
generation
efficiency
High Efficiency
Increase added
value in energy
utilization
High Value
Pursue low-
carbon and low-
pollution
energy supply
and
consumption
Low Emission
Reduce
reliance on
fossil and
imported
energy
Low Reliance
Demand Side
Clean Source
Reduce Consumption
8
International Climate Negotiation History and Developmental Trend
1988
1992
1997
2005
2007
2009
2010
2011
2012
United Nations Framework Convention on Climate Change (Berlin 1992)
Kyoto Protocol
Passed (Kyoto 1997)
Intergovernmental Panel on Climate Change (IPCC)
founded.（Geneva）
Kyoto Protocol became
effective (Montreal 2005)
Bali Plan of Action
(Bali 2007)
Copenhagen Accord
(Copenhagen 2009)
IPCC's first assessment report（1990）
IPCC's second assessment report（1995）
IPCC's third assessment report（2001）
IPCC's fourth assessment report（2007）
The Stern Review
（2006）
COP16/CMP6
（Cancun, 2010）
COP17/CMP7
（South Africa, 2011）
COP18/CMP8
（Asia, 2012）
Year Evidence Negotiation Taiwan's Response
IPCC's SRREN（2010）
IPCC's SREX
（2011）
IPCC's fifth assessment report（2014）
The cross-ministry Global Environmental Change Task Force（1992）
Energy Saving and Carbon
Reduction Promotion Committee/
New Energy Development
Promotion Committee （2009 ）
Voluntary reduction based
on Copenhagen Accord
（2010 ）
First National Energy Conferenc（1998 ）
Second National Energy Conference（2005 ）
Third National Energy Conference
（2009 ）
Climate Change and Water Resource Report（2008）
Sustainable Energy Policy Framework（2008 ）
9
Taiwan's 2010 Announcement of CO2
Reduction Target by 2020
EPA estimates under the condition of business as usual (BAU),
CO2 emission by 2020 will reach 467 million tons.
Government has announced that 2020 CO2 emission will be
maintained at 2005 level of 257 million tons. Thus, Taiwan's
actual CO2 emission needs to be reduced by 210 million tons by
2020, approximately 45%.
South Korea and Singapore, both Taiwan's main competitors,
have carbon reduction targets of 30% and 16% respectively. And
IPCC recommends 15~30% reduction for developing nations.
Thus, Taiwan voluntarily promised to reduce by over 30%
according to UNFCCC in June 2010.
10
The ministries could only promise energy saving plans which would reduce CO2
emissions equal to 3% of the reduction target by 2020.
467
257
Returning to 2005 emission level by 2020
Green House Gas
Emission Baseline
445 440
411
375
Mil
lion
ton
s C
O2
2000 2005 2010 2015 2020
200
250
300
350
400
450
500
407
461
257
269 265 257
243
Generator Efficiency up by 1.2%；Forestation
0.5%
年
Energy Saved
3% Natural Gas 7.6%
Renewable Energy
2.5% Nuclear Power
13.7%
Carbon Right 15.4% 56% short of the
total target
reduction
Taiwan's Challenge in Energy Conservation and Carbon Reduction
year
11
Organization of the Energy Conservation and Carbon
Reduction Promotion Committee
Secretariat (MOEA)
Convener (Vice Premier) Deputy Convener (Secretary General, Minister without Portfolio)
Energy Conservation and Carbon
Reduction Promotion Committee
Members of
Conference
Committee Members (14 government agency
representatives)
Lo
w-C
arb
on
En
erg
y S
ys
tem
Div
isio
n
（MO
EA
）
Lo
w-C
arb
on
Co
mm
un
ity a
nd
So
cie
ty
Div
isio
n
（EP
A
）
Lo
w-C
arb
on
Ind
us
trial S
tructu
re
Div
isio
n
（MO
EA
)
Gre
en
Tra
nsp
orta
tion
Pro
mo
tion
Div
isio
n
（MO
TC
）
Gre
en
Sc
en
ery
an
d C
on
stru
ctio
n
Div
isio
n
（MO
I, CO
A）
En
erg
y C
on
se
rva
tion
an
d C
arb
on
Red
uc
tion
Te
ch
no
log
y D
ivis
ion
（NS
C）
Lo
w-C
arb
on
Infra
stru
ctu
re D
ivis
ion
（PC
C
）
En
erg
y C
on
se
rva
tion
an
d C
arb
on
Red
uc
tion
Ed
uc
atio
n D
ivis
ion
（MO
E
）
Pro
mo
tion
an
d C
om
mu
nic
atio
n
Div
isio
n
（MO
FA
、GIO
）
Pro
jec
t an
d In
dic
ato
r Ma
na
ge
me
nt
Div
isio
n
（CE
PD
）
12
4. P
rom
ote
Gre
en T
axatio
n (M
OF
)
3. C
reate
Sub-L
aw
s fo
r Renew
able
Energ
y Develo
pm
ent S
tatu
te
and E
nerg
y Managem
ent L
aw
Am
endm
ents
(MO
EA
) 2. D
raft S
usta
inable
Energ
y Basic
Law
(MO
EA
)
1. Im
pro
ve G
reen H
ouse G
as M
anagem
ent R
egula
tions (E
PA
)
8. P
rom
ote
Assessm
ent o
f Valid
Nucle
ar P
ow
er U
se
(AE
C)
7. P
rom
ote
Sm
art G
rid P
roje
ct (M
OE
A)
6. R
educe C
arb
on E
mis
sio
n fro
m P
ow
er G
enera
tion (M
OE
A)
5. P
rom
ote
Renew
able
Energ
y New
Centu
ry P
lan
(MO
EA
)
12. P
rom
ote
Gre
en L
ifestyle
Socia
l Movem
ent (E
PA
, MO
EA
) 11. B
uild
the L
ow
-Carb
on Is
land
(EP
A, M
OE
A, M
OT
C)
10. F
org
e L
ow
-Carb
on C
ity (E
PA
)
9. B
uild
Low
-Carb
on C
om
munitie
s (E
PA
)
16. P
rom
ote
Gre
en A
gric
ultu
re (C
OA
)
15. P
rom
ote
the S
unris
e P
roje
ct fo
r Gre
en In
dustrie
s (M
OE
A)
14. E
nviro
nm
enta
l Assessm
ent fo
r Energ
y-In
tensiv
e In
dustria
l
Polic
ies (M
OE
A)
13. P
rom
ote
Gre
en In
dustie
s (M
OE
A, N
SC
)
21. C
om
pre
hensiv
ely
Upgra
de N
ew
Cars
‘ Effic
iency (M
OE
A)
20. B
uild
Hum
an-O
riente
d T
raffic
Enviro
nm
ent (M
OI)
19. B
uild
Inte
lligent R
oad S
erv
ices (M
OT
C)
18. P
rom
ote
and B
uild
Convenie
nt M
ass R
ailw
ay N
etw
ork
(MO
TC
)
17. B
uild
Seam
less G
reen H
ighw
ay N
etw
ork
(MO
TC
)
25. P
rom
ote
Fo
resta
tion P
roje
cts
(CO
A)
24. P
rom
ote
Gre
en D
esig
natio
n fo
r Build
ings (M
OI)
23. P
rom
ote
Inte
lligent G
reen B
uild
ings (M
OE
A, M
OI)
22. P
rom
ote
Gre
en B
uild
ings a
nd M
ate
rials
(MO
I)
27. P
rom
ote
Cro
ss-th
e-B
oard
Energ
y Technic
al P
rofe
ssio
nals
Tra
inin
g P
rogra
m (N
SC
)
26. P
rom
ote
Natio
nal E
nerg
y Technolo
gy P
rogra
m (N
SC
)
30. S
trength
en G
reen M
echanis
m in
Govern
ment P
rocure
ment
Pro
cedure
s a
nd R
egula
tions (P
CC
)
29. P
rom
ote
Gre
en Q
uality
Contro
l for In
frastru
ctu
re's
Life
Cycle
(PC
C)
28. E
sta
blis
h R
egula
tions a
nd M
echanis
m fo
r Susta
inable
Gre
en
Infra
stru
ctu
re (P
CC
)
33. S
trength
en G
reen E
ducatio
n (M
OE
) 32. B
uild
Susta
sin
able
Cam
pus a
nd G
reen A
ssessm
ent fo
r
Schools
(MO
E)
31. Im
ple
ment G
reen P
rogra
ms in
Agencie
s a
nd S
chools
under
MO
E (M
OE
)
35. P
rom
ote
Inte
rnatio
nal G
reen E
nviro
nm
ent D
iplo
macy (M
OF
A,
EP
A)
34. N
atio
nal G
reen C
om
munic
atio
n a
nd P
rom
otio
n P
lan
(GIO
,
RE
DC
, CP
A, M
OE
A, e
tc.)
National Energy-Saving and Carbon-Reducing General Plan:
10 Major Benchmark Projects/35 Benchmark Plans
MOEA raised the National Energy-Saving and Carbon-Reducing General
Plan in the Promotion Committee in March 2010.
(1)Im
pro
ve
Regu
latio
ns’
Rob
ustn
ess
(2)R
em
ake
Lo
w-C
arb
on
En
erg
y
Syste
m
(3)C
rea
te
Lo
w-C
arb
on
Co
mm
unitie
s
an
d S
ocie
ty
(4)E
sta
blis
h
Lo
w-C
arb
on
Ind
ustria
l
Stru
ctu
re
(5) B
uild
Gre
en
Tra
nsp
orta
tion
Ne
two
rk
(6) C
on
stru
ct
Gre
en
Sce
ne
ry a
nd
Bu
ildin
g
(7)E
xp
an
d th
e
Gre
en
Te
ch
nolo
gy's
Mo
me
ntu
m
(8) P
rom
ote
Gre
en
Infra
stru
ctu
re
(9) D
ee
pe
n
Gre
en
Ed
uca
tion
(10
)Stre
ngth
en
Gre
en
Pro
mo
tion a
nd
Com
mu
nic
atio
n
13
1. Energy Conservation
Energy efficiency increased by over 2% annually for the
next 8 years; energy intensity reduced by over 20% from
2005 level in 2015; reduced by over 50% by 2025 via
technical breakthroughs and complementary measures.
2. Carbon Reduction
The national CO2 emission will return to the 2005 level
between 2016~2020 and return to 2000 level by 2025.
Objectives
Target and Structure of National Energy-Saving and Carbon-Reducing
General Plan
14
1. Since taking the office, President Ma has actively promoted energy
conservation and carbon reduction. As a result, Taiwan's annual energy
intensity average was reduced by 2.68% between 2007~2010.
2. Growth of national demand for electrical power has been negative for the
past 3 years, a 7% save.
3. 2010 is the Year of Energy Conservation and Carbon Reduction; 2010’s
energy intensity was a record low, a 3.97% drop from 2009.
4. President promoted the 4-Saves Movement in 2011, saving electricity, oil,
water, and paper.
Result of Taiwan's Current Energy Conservation and Carbon
Reduction
Annual Change（%）
1980-1999 -1.91
1999-2007 -0.01
2007-2009 -2.03
2007-2010 -2.68
Taiwan's Energy Intensity Fluctuations between 1980~2010
15
1. On 10/6, Taiwan's government announced the Sustainable Environment
vision of its Golden Decade planning. 4 green energy and carbon reduction
objectives were raised:
(1) Nationwide CO2 emission to return to 2005 level by 2020.
(2) Energy efficiency raised by over 2% annually; energy intensity reduced by
12% of the 2010 level by 2016 and by 18.3% of the 2010 level by 2020.
(3) Renewable energy deployment capacities for 2016 and 2020 will be 4580,000
kw and 6040,000 kw respectively. Annual generations will be 12.2 and 16.1
billion kwh (approximately the annual consumption of 4030,000
households).
(4) Promote low-carbon homes and push for green new lifestyle and
consumption.
Primary strategies for CO2 emission reduction are:
(1) Efficient use of Taiwan's natural resources, expand the promotion of various
renewable energy, and develop sustainable energy.
(2) Popularize wind power, develop land wind fields first, and then expand to
offshore.
(3) Methodically expand photovoltaic deployment under the principles of slow first
and quick second as well as roof first and ground second.
(4) Encourage valid low-carbon natural gas utilization.
The Golden Decade: the Sustainable Environment
Chapter
16
The End
Thank You!
17
Key Information regarding
Taiwan’s LCS Taiwan’s CO2 emissions is about ¼ of Japan’s
CO2 emissions.
Taiwan’s energy intensity is 2.5 times of Japan’s energy intensity.
CO2 emission in 2010 was about 255 million metric tonnes.
CO2 emission has increased by 130% from 1990 to 2010, but has no significant increase from 2005 to 2010.
CO2 emissions will reach 467 million metric tonnes by 2020 under the condition of BAU.
18
Key Information regarding
Taiwan’s LCS (Kyoto Protocol announced-1997)
First National Energy Conference - 1998 (Kyoto Protocol became effective-2005 )
Second National Energy Conference - 2005 (Bali Action Plan-2007 )
Sustainable Energy Policy Guideline - 2008
Third National Energy Conference - 2009
﹝develop Low carbon, sustainable homeland plan﹞ (Copenhagen Accord-2009 )
Energy Saving and Carbon Reduction Promotion Committee (chaired by Vice Premier) - 2009
Carbon Reduction Target (over 30% by 2020) - 2010
National Energy-Saving and Carbon-Reducing General Plan in the Promotion Committee (10 major benchmark projects/ 35 benchmark sub-projects) - 2010
The Sustainable Environment Chapter of the Goden Decade Vision: Green energy and carbon reduction objectives - 2011
19
Key Information regarding
Taiwan’s LCS Taiwan’s Low Carbon, Sustainable Homeland
Plan developed since 2009
Establish 50 low-carbon communities in 2011.
Establish 6 low-carbon cities (including 2 low-
carbon islands) in 2014.
Establish 4 low-carbon, sustainable life-cycles
cover the whole Taiwan in 2020.
20
Taiwan’s Model Activities
Dynamic Generalized Equilibrium Model of Taiwan (DGEMT)
Developed by Dr. Liang, Chi-Yuan (Chairman, CIER)
DGEMT consists of the following four sub-models: (1) the producer’s
model; (2) the consumer’s model; (3) the macroeconomic model
developed by Directorate-General of Budget, Accounting and
Statistics; and (4) ITRI’s MARKAL engineering energy model.
Several CGE models for energy research have been
developed by Taiwan’s universities
MARKAL engineering energy model
ITRI
INER
21
Taiwan’s Model Activities
Dynamic Generalized Equilibrium Model of Taiwan (DGEMT)
22
Taiwan’s Model Activities
Taiwan’s two bottom-up GHG abatement cost curve projects in 2011
The Chun-Hua Institution for Economic Research (CIER) has cooperated with the McKinsey Co. to develop a 2030 GHG abatement cost curve including 113 technological measures.
The Industrial Technology Research Institute (ITRI) has also developed a 2030 GHG abatement cost curve including 79 technological measures.
All measures did not include the measures for behavior changes
Less than 1/3 of measures were studies by both research groups, thus their works should be reviewed and updated in the future.