Taiwan Court Rejects Appeal Over Renewable Energy Rules

Environmental groups have suffered a setback after Taiwan’s highest administrative court dismissed an appeal in the island’s 1st climate lawsuit, which challenged renewable energy regulations for large electricity users. 

The case was brought by environmental groups, including Greenpeace and the Environmental Jurists Association (EJA). These organizations argued that Taiwan’s renewable energy requirements for large electricity users, under Renewable Energy Development Act, were too weak to drive meaningful emissions reductions. 

Under the act, large electricity users in Taiwan with a minimum contracted capacity of 5,000 kW are required to invest in renewable energy systems equivalent to 10% of the contracted capacity. The other options are purchasing renewable electricity certificates or deploying energy storage, for a period within 5 years. Refusing to comply with these regulations invites payment of fee.  

The current regulations exempt certain sectors from compliance to this regulation including the education industry, healthcare, and social work services industry, transportation, government agencies, thermal power plants, and government research institutions.  

Earlier in September 2024, The Ministry of Economic Affairs amended the corporate green energy power purchase agreements (PPA) rules relaxing the need for green energy users to purchase entire output from projects. Offtakers could procure as much as they require (see Taiwan Tweaks Rules To Accelerate Green Energy Uptake).  

Calling the Large Electricity Consumer Clause ‘too lenient’, environmental groups had called for stricter requirements, arguing that the current rules do not do enough to reduce emissions from energy-intensive industries. They said stronger measures are needed to help Taiwan meet its climate goals while addressing rising electricity demand from the semiconductor and AI sectors. 

Greenpeace Climate and Energy Program Director Lin Liankai said that as AI-driven electricity demand rises, companies should go beyond minimum renewable energy requirements and take greater responsibility for their power use. While AI data centers create economic opportunities, businesses can support renewable energy, grid upgrades, energy storage, long-term clean energy agreements, and local green energy projects. Liankai added that stronger corporate action and government support are needed to limit environmental impacts. 

Nevertheless, the court in an early-June 2026 judgement that closed a 5-year legal challenge upheld previous rulings. As per local media reports, the court determined that while citizens and advocacy groups may propose policy changes, they do not have the legal authority to compel regulatory revisions.  

Following the ruling, campaigners expressed disappointment and said they would continue advocating for stronger corporate decarbonization measures.  

In a joint statement, Greenpeace and EJA said they would continue pushing for stronger renewable energy obligations as Taiwan works toward its climate and net-zero goals.  

Recently, Taiwan's Ministry of Environment reported that its net greenhouse gas (GHG) emissions fell to 251.4 million metric tons of CO₂ equivalent in 2024, down 1.92% from 2023 and 6.59% from 2005, marking the 3rd consecutive year of decline. The energy sector, which produces over 90% Taiwan's emissions, recorded emissions below 2005 levels for the first time.  

However, Environment Minister Peng Chi-ming said Taiwan is unlikely to meet its 2025 goal of cutting emissions by 10% from 2005 levels, with current estimates showing only about a 9% reduction. Local media said he attributed the shortfall largely to strong economic growth, factory expansion, and rising electricity demand. 

Taiwan targets to become a net zero carbon emissions economy by 2050, aiming for up to 60% to 70% of its total electricity generation to come from renewable energy, and 20% to 27% from thermal power generation. This will entail 30 GW of solar PV capacity by 2030, and 40 GW to 80 GW by 2050. Wind power capacity will contribute 13.1 GW by 2030, and between 40 GW to 55 GW by 2050, according to the Ministry of Environment.  

State-owned utility Taiwan Power Company (Taipower) data shows that at the end of 2025, Taiwan’s total installed renewable energy capacity had reached 22.87 GW of which solar power had the largest share with 15.47 GW.    

Pointing at the Ministry of Environment’s admission of Taiwan likely missing the 2025 carbon reduction target, Greenpeace and EJA stated, “Faced with high-carbon-emission, large-electricity-consuming enterprises, the government should actively address existing legal loopholes, strengthen carbon reduction obligations, and prevent climate governance from remaining merely a slogan and declaration.”