TAIPEI (Taiwan News) — Economics Minister Kuo Jyh-huei (郭智輝) reaffirmed Taiwan’s interest in importing green energy from the Philippines in an interview Wednesday.
Kuo cited the move as a potential solution for major exporters affected by the EU’s carbon border adjustment mechanism, per RTI. He said green energy imports could help reduce the carbon footprint of Taiwanese industries and hoped the cost could remain under NT$5 (US$0.17) per kilowatt-hour.
He explained that generating power in the Philippines and transmitting it, whether by battery-equipped ships or high-voltage direct current (HVDC) undersea cables, could cost around NT$4 per kilowatt-hour, roughly equivalent to Taipower’s current rates. He stressed that minimizing energy costs, especially for renewables, is a priority.
The Ministry of Economic Affairs published a report on March 16 assessing the feasibility of shipping power from the Philippines. While the Philippines shows high potential for solar energy development, the report said the biggest hurdle lies in transporting the power across the Luzon Strait.
Initial transmission would involve battery ships until HVDC cables are laid. The Luzon Strait, however, poses significant technical challenges, with depths reaching up to three kilometers. In comparison, the deepest undersea cable in Europe runs at 1.65 kilometers.
Taiwan lacks experience in HVDC cable systems, and the undersea terrain between Taiwan and the Philippines further complicates efforts. Still, officials noted Taiwan can conduct seabed surveys to chart the most feasible routes.
The report suggested that future cable-laying vessels, capable of operating at 3-kilometer depths, are expected to enter the market by 2027, per UDN. In the meantime, shipping electricity by vessel could drive costs up to NT$5.5 per kilowatt-hour.
An energy official said on March 16 that operating costs may fall as battery storage technology matures, per CNA. Using container ships retrofitted with storage units may also lower the price of transported electricity, the official added.
National Central University Professor Hsu Shu-kun (許樹坤) suggested on March 24 that routing cables through the Babuyan Islands, north of Luzon, would be less complex geographically and politically than laying them near the Manila Trench, per Business Today. He warned that using the trench route could risk Chinese interference due to its proximity to the disputed nine-dash line.
Kuo also addressed broader energy issues, noting that expanding green energy use would improve Taiwan’s air quality. Regarding the decommissioning of Taiwan’s last nuclear reactor, he said the country faces no risk of power shortages through 2032.
Kuo reiterated that any future decision to restart or build new nuclear plants would require public consensus, strict safety standards, and a viable solution for waste disposal.
