CNFI Calls for Overhaul of Energy Policy to Avoid Power Shortage

published: 2018-07-31 9:51 | editor: | category: News

To supplement green power which will become an increasingly important power source, the government has planned capacities of pumped-storage hydroelectricity and natural gas-fired thermal power, which will boost rate of reserve power capacities to over 10% in 2019, reports the Ministry of Economic Affairs.

The remark has been made, in response to the warning by the Chinese National Federation of Industries (CNFI) in its 2018 whitepaper for possible power shortage caused by the energy policy of the DPP government, which uses green energy as base-load power.

The CNFI stresses that green energy, such as wind power and solar energy, cannot be used as base-load power capacities, since it is susceptible to changes in weather conditions, overshadowing stability of power supply. The consequence is grave risk of power shortage, which threatens the survival of enterprises, thwarting investments and disrupting economy.

The CNFI believes that the government should overhaul its energy roadmap, revising the 2025 power output target. It hopes the government to make renewable energy a secondary power source, supplementing nuclear power, natural gas-fired thermal power, and coal-fired thermal power which form the backbone of power supply. It suggests the government to incorporate nuclear power into the power supply system again and formulate emission indicators for coal-fired generators, as the basis for pushing the development of clean coal-fired thermal power.

The MOEA points out that that the government has planned complete countermeasures for the possible problems raised by the CNFI, including pumped-storage hydroelectricity capacities, rapid natural gas-fired generators, and chemical power-storage batteries. In line with increased share of natural gas-fired thermal power, the government will diversify supply sources, expand natural-gas receiving stations, and increase safety stock.

The government will continue striving to attain the targeted power-supply mix of "20% renewable energy, 30% coal, and 50% natural gas."

The MOEA notes that with shift to renewable energy having become a key measure for energy transformation for every nation, the targeted 20% share for renewable energy is in line with the international trend. It points to the major inroads made by Taiwan in energy transformation over the past two years, as the accumulated installation capacities of renewable energy had topped 5,276 MW as of the end of 2017, double the level of 2015, representing average annual growth of 46%.

The MOEA is confident of power supply outlook in 2019, predicting rate of reserve power will top 10% then, thanks to addition of 4.786 GW capacities in 2018, following grid-connection power generation of a number of new generators, including
Talin new 1, Talin new 2, Tatan 7, Tunghsiao 1, Tunghsiao 2, and Linkou new 3.

Shen Jung-chin, economics minister, will meet with representatives of the CNFI in mid-August to explain the government's power policy, as part of his schedule carrying out in-person communications with business organizations to address their concern on the shortage of water supply, power supply, industrial land, and labor and explain the ministry's policy on industrial upgrading.

(Written by Daisy Chuang; Image credit: Clyde Robinson via Flickr CC BY 2.0)   

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