Major Emitters to Pay Carbon Fees for First Time in May, Ministry of Environment Estimates Total Amount Around NT$4.5 Billion
Taiwan's Ministry of Environment estimates that the first year's carbon fee revenue, to be collected from major emitters starting this May, will be approximately NT$4.5 billion. About NT$4.05 billion of this will be allocated to subsidize carbon reduction technologies, local greenhouse gas reduction, and climate adaptation measures. 430 factories submitted voluntary reduction plans, with 403 approved.
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Digital transformation is already underway in industries, and artificial intelligence and net-zero emissions are the two major challenges faced by governments and enterprises, which are crucial for Taiwan's future competitiveness. The Central News Agency's frontline reporting team deeply reports on how governments and various industries utilize AI to optimize production processes and drive green innovation, witnessing Taiwan's industrial leap once again.
(Central News Agency reporter Chang Hsiung-feng, Taipei, 20th) The carbon fee system was launched last year, and this May will be the first time major emitters pay carbon fees. The Ministry of Environment estimates that the first year's carbon fee revenue will be approximately NT$4.5 billion, with an estimated NT$4.05 billion to be used to subsidize carbon reduction technologies, local greenhouse gas reduction, and climate adaptation, among other uses.
According to the "Carbon Fee Collection Regulations," electricity, gas supply, and manufacturing industries with annual greenhouse gas emissions exceeding 25,000 metric tons should pay carbon fees based on their total emissions last year by the end of May this year. The carbon fee system was launched last year, and this year is the first year for payment.
According to the regulations, the general carbon fee rate is NT$300 per metric ton of carbon. The Ministry of Environment provides preferential schemes: if operators submit voluntary reduction plans and these are approved by the Ministry of Environment, they can apply for preferential rate A (NT$50 per metric ton of carbon) or preferential rate B (NT$100 per metric ton of carbon).
According to statistics, a total of 430 factories applied for voluntary reduction plans, with 403 factories approved. Among these, 64 factories applied for preferential rate A, and 339 factories applied for preferential rate B. Another 27 factories withdrew their applications or were rejected.
Tsai Ling-yi, Director-General of the Ministry of Environment's Climate Change Administration, told the Central News Agency that in voluntary reduction plans, for steel mills with boilers, achieving the specified reduction targets usually requires converting coal-fired boilers to natural gas or biomass fuel. In addition to fuel conversion, investments are also made in process improvement and energy efficiency enhancement, such as improving power equipment and replacing chillers.
Tsai Ling-yi pointed out that based on total carbon emissions and the status of voluntary reduction plan applications, and by estimating with corresponding preferential rates, this year's carbon fee revenue is approximately NT$4.5 billion, with estimated expenditures of about NT$4.05 billion.
Tsai Ling-yi explained that the carbon fee's uses mainly include five directions: promoting the operations of the Ministry of Environment's Climate Change Administration; subsidizing carbon reduction technologies and local greenhouse gas reduction; coordinating, formulating, and promoting climate change adaptation matters; implementing just transition-related work; and finally, handling net-zero transition loan interest subsidies, credit guarantees, or other related matters. Subsequent carbon fee subsidy regulations will be drafted.
The Ministry of Environment added that in response to rising international fuel prices due to the Middle East situation, if business units cooperate with the Executive Yuan to stabilize prices, they can apply for carbon fee deferral and installment payments before the end of May. The current carbon fee system has already achieved concrete carbon reduction results and will not rashly increase the rate. (Editor: Chen Ching-fang) 1150420
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Central News Agency
Digital transformation is already underway in industries, and artificial intelligence and net-zero emissions are the two major challenges faced by governments and enterprises, which are crucial for Taiwan's future competitiveness. The Central News Agency's frontline reporting team deeply reports on how governments and various industries utilize AI to optimize production processes and drive green innovation, witnessing Taiwan's industrial leap once again.
(Central News Agency reporter Chang Hsiung-feng, Taipei, 20th) The carbon fee system was launched last year, and this May will be the first time major emitters pay carbon fees. The Ministry of Environment estimates that the first year's carbon fee revenue will be approximately NT$4.5 billion, with an estimated NT$4.05 billion to be used to subsidize carbon reduction technologies, local greenhouse gas reduction, and climate adaptation, among other uses.
According to the "Carbon Fee Collection Regulations," electricity, gas supply, and manufacturing industries with annual greenhouse gas emissions exceeding 25,000 metric tons should pay carbon fees based on their total emissions last year by the end of May this year. The carbon fee system was launched last year, and this year is the first year for payment.
According to the regulations, the general carbon fee rate is NT$300 per metric ton of carbon. The Ministry of Environment provides preferential schemes: if operators submit voluntary reduction plans and these are approved by the Ministry of Environment, they can apply for preferential rate A (NT$50 per metric ton of carbon) or preferential rate B (NT$100 per metric ton of carbon).
According to statistics, a total of 430 factories applied for voluntary reduction plans, with 403 factories approved. Among these, 64 factories applied for preferential rate A, and 339 factories applied for preferential rate B. Another 27 factories withdrew their applications or were rejected.
Tsai Ling-yi, Director-General of the Ministry of Environment's Climate Change Administration, told the Central News Agency that in voluntary reduction plans, for steel mills with boilers, achieving the specified reduction targets usually requires converting coal-fired boilers to natural gas or biomass fuel. In addition to fuel conversion, investments are also made in process improvement and energy efficiency enhancement, such as improving power equipment and replacing chillers.
Tsai Ling-yi pointed out that based on total carbon emissions and the status of voluntary reduction plan applications, and by estimating with corresponding preferential rates, this year's carbon fee revenue is approximately NT$4.5 billion, with estimated expenditures of about NT$4.05 billion.
Tsai Ling-yi explained that the carbon fee's uses mainly include five directions: promoting the operations of the Ministry of Environment's Climate Change Administration; subsidizing carbon reduction technologies and local greenhouse gas reduction; coordinating, formulating, and promoting climate change adaptation matters; implementing just transition-related work; and finally, handling net-zero transition loan interest subsidies, credit guarantees, or other related matters. Subsequent carbon fee subsidy regulations will be drafted.
The Ministry of Environment added that in response to rising international fuel prices due to the Middle East situation, if business units cooperate with the Executive Yuan to stabilize prices, they can apply for carbon fee deferral and installment payments before the end of May. The current carbon fee system has already achieved concrete carbon reduction results and will not rashly increase the rate. (Editor: Chen Ching-fang) 1150420
Choose to stand with the facts. Every sponsorship you provide is a force to protect press freedom.
Download the Central News Agency "First-hand News" APP to stay updated with the latest news.
Text, images, and videos on this website may not be reproduced, publicly broadcast, publicly transmitted, or utilized without authorization.