John Liu writes in the China Post about mandatory energy efficiency measures that will come in place next year in Taiwan. While the main focus is on the textile industry, the article also considers what is happening in the other energy-intensive industrial sectors.
Textile industry to face mandatory energy caps
Starting next year, mandatory energy conservation will be imposed on the textile industry, saving the nation 39,600 kiloliters of oil equivalent per year, the Ministry of Economic Affairs (MOEA, 經濟部) said.
The MOEA has issued directives governing textile industry’s energy consumption in attempt to improve Taiwan’s energy use efficiency.
A regulation draft stipulates that in the future, textile companies will have to keep a close watch on plant evaporators’ water outflow, water temperature, condenser water outflow, etc.
In addition, there are rules governing steam’s temperatures and oxygen content. All these measures aim to save energy consumption on the manufacturing floor.
Six Industries with Heavy Energy Use
Textile, steel, paper, cement, petrochemical and electronics sectors together use 80 percent of total industrial consumption. As such, they are categorized as “heavy energy users” under the Energy Administration Act.
They are ordered by the MOEA to implement mandatory energy consumption.
Starting Jan. 1 this year, the cement, steel and paper industries were ordered to implement compulsory energy conservation. The restriction is expected to save 22,000, 78,000 and 11,800 kiloliters of oil equivalent per year.
Energy rationing is forced on the petrochemical industry in July, which is expected to save 81,000 kiloliters of oil equivalent annually.
The Electronics Sector
The electronics sector will carry out mandatory energy conservation in November, saving 127,000 kiloliters of oil equivalent.
Companies focus on making electronics parts and components, computer and electronics products, and optical instruments are obliged to comply.
Fans are required to have automatic speed adjustment installation, while the air compressor system must have load adjustment installation. Evaporator water outflow, and water temperatures also need to be continuously monitored.
The electronics sector plays a pivotal role in Taiwan’s GDP. As such, some suggested that it should be exempted from the mandatory energy conservation list.
Taiwan Semiconductor Manufacturing Co. (台積電) reportedly objected the idea at the energy conference held earlier this year, claiming that energy conservation is well practiced at the company and mandatory conservation should not be a problem.
Electronics businesses can be fined between NT$20,000 and NT$100,000 if they fail to comply.
Incentives that Encourage Energy Conservation
According to the 2015 energy report tendered by the European Chamber of Commerce Taiwan, both public and private sectors have been slow in pushing for energy conservation.
In response, the MOEA proposed measures to cut energy use. Besides “sticks” that aim to rein in energy consumption, the government also has “carrots” that encourage business invest in energy conservation equipment.
Companies that invest in renewable energy, or make building renovation to reduce energy consumption will get a cut on business tax.
