The President Announces the Revision of “Greenhouse Gas Management Act” into “Climate Change Response Act” and the Amendment of Articles

On February 15, 2023, the President announced the amendment to revise the Greenhouse Gas Management Act as the Climate Change Response Act. The revised Act includes 7 chapters and 63 articles, thus completing the nation’s legal framework with the aims of addressing global climate change, setting up climate change adaptation strategies, reducing and managing greenhouse gas emissions, delivering generational justice, environmental justice and just transition.

With this Act, the nation fulfils its shared responsibility in jointly protecting the Planet and the environment, ensuring the sustainable development of our nation.

The Environmental Protection Administration (EPA) explained that the purpose of the amendment is to respond to the severity of global climate change, and the increased requirements for global industries to reduce carbon emissions in their supply chains. Internationally, with the imminent imposition of carbon emissions control measures and the tightening of regulations, facilitating the nation’s net-zero transition and enhancing industrial competitiveness have become imperative.

The key elements of the amendment includes: incorporating the 2050 net-zero emissions target, establishing authority and responsibility among agencies, adding the section of just transition, strengthening emissions control and incentive mechanisms to enable emissions reduction, introducing carbon fee with dedicated usage of revenues, adding a chapter on climate change adaptation, incorporating carbon footprint and product labelling management scheme, as well as improving information transparency and citizen participation mechanisms. The said amendment was passed by the Legislative Yuan on January 10, 2023.

Climate Change Response Act

pdf

How Taiwan promote climate actions

The Act establishes a hierarchical promotion structure for the central government, ministries, departments and local governments. The EPA will discuss with the Bureau of Energy of Ministry of Economic Affairs, the Industrial Development Bureau of Ministry of Economic Affairs, the Ministry of Transportation and Communications, the Ministry of the Interior, and the Council of Agriculture of Executive Yuan to develop a national-level “Climate Change Action Guideline” and “Greenhouse Gas Reduction Action Plan”, which are then submitted to the Executive Yuan for approval, formulating the principles and policies for Taiwan’s greenhouse gas reduction. The implementation of the Action Plan needs to be further carried out through the “Emission Control Action Programs” of the six major sectors, including the energy sector, manufacturing sector, transportation sector, residential and commercial sector, agriculture sector and environment sector, as well as the “Greenhouse Gas Control Implementation Plan” formulated by local governments based on regional characteristics to propose specific reduction policies and measures.

Yongan Fish Harbor

National Climate Change Action Guideline

The EPA formulated the "National Climate Change Action Guideline " (hereinafter referred to as the "Action Guideline") in accordance with Paragraph 1, Article 9 of the Act, which was approved by the Executive Yuan on February 23, 2017, serving as the principles for promoting Taiwan's greenhouses gas mitigation and climate change adaptation policies. The Action Guideline takes into account the Paris Agreement and the United Nations Sustainable Development Goals for 2030. It upholds the spirit of taking both mitigation and adaptation into consideration, and sets out 10 basic principles for Taiwan to respond to climate change. The policy includes 6 major sectors of greenhouse gas reduction, 8 major areas of climate change adaptation, and supporting measures. It also launched cross-departmental response actions, hoping to gradually improve Taiwan’s capability in coping with climate change, and striving to achieve Taiwan’s long-term greenhouse gas reduction goals to ensure sustainable development of the nation.

10 Basic Principles

Wind/Solar Photovoltaic Power

The development of renewable energies will be based mainly on wind power and photovoltaic power. The development of wind power will focus on large-scale, floating offshore wind turbines. The installed capacity of offshore wind power is expected to reach 13.1 GW by 2030 and 40-55 GW by 2050. As for photovoltaic power, expansion of installed capacity will be achieved through diverse land applications. The installed capacity of solar photovoltaic power is expected to reach 30 GW by 2030 and 40–80 GW by 2050.
Hydrogen Energy

With hydrogen energy as the main option to achieve net-zero emissions, it will be used as the raw material for zero-carbon processes in the industry, and carbon-free fuels for transportation and power generation. By using imported green hydrogen as the main source and combining it with domestic hydrogen production via renewable energy, hydrogen reception, transportation, and storage infrastructure, as well as hydrogen utilization systems will be gradually constructed.
Innovative Energy

To increase renewable energy options, the development of forward-looking energy will focus on base-load geothermal energy and ocean energy, promoting demo verification and block development, while boosting the development of green energy industries. In addition, the use of biomass energy will be increased. The source of materials will be stabilized through domestic resource recycling and imports. Moreover, advanced biomass energy technologies will be developed. It is expected that the installed capacity of forward-looking energy will reach 8–14 GW by 2050.
Power System and Energy Storage

Promote distributed power grids and strengthen power grid resilience. Promote the digitization and operational flexibility of power grid to improve power grid adaptability, and use the IoT (Internet of Things) as well as information and communication technology to promote system integration. Increase the installation of energy storage systems, develop key technologies for energy storage and build incentives for energy storage business models.
Energy Saving and Efficiency

Expand the application of well-developed technologies in manufacturing, homes, and business services, transportation, and cross-sectoral aspects as soon as possible to improve energy efficiency; accelerate market penetration rates for high-efficiency equipment through measures such as economic incentives, education and guidance, and mandatory regulations. Develop innovative energy technologies, and gradually introduce forward-looking technologies to comprehensively improve energy efficiency from the demand side, achieving the goal of net-zero emissions.
Carbon Capture, Utilization and Storage (CCUS)

Use carbon capture, utilization, and storage technologies to remove carbon emissions from industries and energy facilities; give priority to the development of carbon capture and utilization technologies that can serve as the source for chemical raw materials and building materials; establish a carbon cycle value chain. Furthermore, develop local potential sites for carbon storage and implement a safety verification site program.
Carbon-free and Electric Vehicles

Develop the upstream and downstream industries related to electric vehicles, set the future market share target of motorcycles/motor-scooters, passenger cars, and buses based on technology maturity; integrate the technological R&D and construction of infrastructure for energy storage, charging stations, and building charging safety. As for the development of large electric buses and trucks for long-distance travel, introduction and promotion of such will depend on the availability of relevant technologies.
Resource Recycling with Zero Waste

The action plans for this key area are improving source reduction, promoting green design and green consumption. Besides, strengthen the sustainable reutilization of resources of waste recycling. Link upstream, mid-stream, and downstream industry to form industry chains for resource recycling, invest in technology R&D and system innovation, and improve resource recycling efficiency. Create an era of sustainable resource recycling with zero waste, based on four aspects: Product design, resource regeneration, industry chains, and technological innovation.
Carbon Sinks

Through the implementation of afforestation and management measures for such, reduce atmospheric carbon dioxide concentrations. Establish carbon-negative farming methods, as well as marine habitats and animal- and plant-conservation techniques to protect biodiversity, avoid soil loss, conserve forests, and restore carbon sink ecosystems to enhance carbon absorption.
Green Lifestyle

Achieving net-zero emissions by 2050 will require lifestyle transitions for all people, and the promotion of “net-zero green living”. In terms of food, clothing, housing, and transportation, and via public consensus through social communication, education, promotion, and behavioral changes, build low-carbon business models, creating the green living industry chain.
Green Finance

Use the power of financial markets to guide the economy toward net-zero emissions, improve financial sector and industry climate resilience, build a sound and sustainable financial ecosystem, promote listed companies’ completion of greenhouse gas inventories and verification according to schedule, strengthen information disclosure, and continue to improve Taiwan's taxonomy regulations, serving as guidelines for enterprise transformation.
Just Transition

With the goal of "doing the utmost to leave no one behind" in carrying out just transition, strive to pursue a balance of policy goals, fairness of social distribution, and inclusiveness of interests in the process of the net-zero transition.

Laomei Green Reef

National Greenhouse Gas Reduction Action Plan

The EPA formulated the "Greenhouse Gas Reduction Action Plan" (hereinafter referred to as the "Action Plan") in accordance with Paragraph 1, Article 9 of the Greenhouse Gas Management Act. The Action Plan sets up the division of authority and responsibilities, policy guidelines, and the evaluation indicators of implementation effectiveness for cross-departmental reduction strategies (8 major cross-departmental supporting measures including cap, environmental tax system, green finance and green energy industry, impact analysis and technology R&D, information diffusion and subsidies, climate talent cultivation and awareness enhancement, regulation review and amendment, and sound mitigation finance mechanisms) and the reduction policies of the six major sectors (including energy sector, manufacturing sector, transportation sector, residential and commercial sector, agriculture sector and environment sector), hoping to integrate the capacities of various ministries and departments to jointly carry out the carbon reduction work. In addition, a rolling review mechanism is adopted every 5 years, serving as a strengthening measure to help achieve the carbon reduction target year by year. The First Action Plan (2016-2020) was approved by the Executive Yuan on March 22 2018, while the Second Action Plan (2021-2025) was approved on January 10 2022.