Taiwans Energy Conservation and Carbon Reduction Prepared by Dr. - PowerPoint PPT Presentation

Taiwan’s Energy Conservation and Carbon Reduction Prepared by Dr. Kuo, Po-Yao Chung-Hua Institution for Economic Research, Taipei, Taiwan Prepared for The 17th AIM International Workshop, Tsukuba, Japan February 17th-February 19th, 2012

1. Taiwan's Current State of Energy and Green House Gas Emission In the 2009 Taiwan final energy consumption, transportation sector, housing  sector, and service sector (commercial sector) consist 13.2%, 11.6%, and 11.5% respectively. In the 2009 Taiwan's electric power consumption, industrial sector consists 51%  of the total power consumption. Housing and commercial sectors consist 23% and 17% respectively. Non-Energy Consumption Energy Sector Housing Sector Others Service Sector Commercial Sector Industrial Sector Agricultural Sector Housing Sector Transportation Industrial Sector Sector 2009 Electrical Power 2009 Energy Consumption Percentage Consumption by Sector bySector ( nationwide energy consumption was 113.1 million kiloliter equivalents ) 2

 Taiwan's energy-intensity is comparatively higher than other nations. Comparison of the Nations ( without adjusting purchasing power ) Australia Taiwan S. Korea Japan Germany France Canada UK Italy USA Source ： IEA/OECD, KEY WORLD ENERGY STATISTICS, 2008. 3

 Taiwan's CO2 emission from fuel combustion between 1990~2008. CO2 emission between 1990~2008 increased by 132.3%. Taiwan's annual CO2 emission growth rate from fuel combustion for 2008 became negative for the first time (-4.4%). This can be attributed to:  Global financial crisis created an economic recession.  After reasonably adjusting Taiwan's energy prices, decreased energy demand is reflected.  Government is actively promoting relevant measures on carbon reduction and energy conservation. 450 300 Industry 工業 運輸 Transportation 住宅 Housing 400 CO 2 Emission in Economical Sectors 能源業 Energy 其他 Others 商業 Commerce 265 269 CO 2 Emission from Fuel Combustion 257 Agriculture, 農林漁牧 燃料燃燒 CO2 總排放 250 257 Total CO 2 emissions from 249 forestry, fishery, 350 fuel combustion 237 animal husbandry 能源部門CO2排放 (百萬公噸二氧化碳) 227 燃料燃燒CO2排放 (百萬公噸二氧化碳) 219 (Million tons CO 2 ) 214 300 (Million tons CO 2 ) 200 197 188 250 176 165 156 200 150 148 140 129 150 120 111 100 100 50 50 0 -50 0 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 4 4 year (年)

2. Taiwan's Policy on Energy Conservation and Carbon Reduction  Since taking the office, President Ma has been promoting Taiwan to be a low carbon society as a priority policy.  The Sustainable Energy Policy Guideline was raised in June 2008.  The third National Energy Conference was convened in April 2009.  The amendment draft of Energy Management Law was announced on 7/8/2009 to promote energy efficiency regulation and create an energy efficiency classification system to promote energy saving technology and products.  Statute for Renewable Energy Development was promulgated in 7/8/2009 to promote the development of renewable energy.  Greenhouse Gas Reduction Act is currently in the Legislative Yuan, and the Energy Tax Statute is being drafted in the Executive branch.  Executive Yuan established the cross-ministry Energy-Saving and Carbon-Reducing Promotion Committee and New Energy Development Promotion Committee in the end of 2009. 5

Sustainable Energy Policy Framework (2008 /6 / 5) Stable Efficient Clean Improve Energy Develop Clean Ensure Stable Efficiency Energy Energy Supply  Energy efficiency  CO2 emission reduced  Establish a safe raised annually by to 2008 level between energy supply 2% for the next 8 2016~2020, reduced to system for future years; energy 2000 by 2025, and economic intensity reduced by reduced to 2000's 50% development 20% by 2015 from by 2050  Increase dependence 2005.  Among power on domestic energy  Reduced by more generators, low carbon sources than 50% via energy increased from technical 40% to over 55% by breakthrough and 2025. complementary measures 6

The 2 Highs and 2 Lows Energy Consumption Model and Energy Supply System High Efficiency Low Emission High Value Low Reliance Pursue low- Increase Reduce carbon and low- energy Increase added reliance on pollution utilization and value in energy fossil and energy supply generation utilization imported and efficiency energy consumption Sustainable Energy Policy Framework Clean Reduce Source Consumption Demand Side Supply Side 7

 International Climate Negotiation History and Developmental Trend Year Evidence Negotiation Taiwan's Response Intergovernmental Panel on 1988 Climate Change (IPCC) founded. （ Geneva ） IPCC's first assessment The cross-ministry Global report （ 1990 ） Environmental Change Task United Nations Framework Force （ 1992 ） 1992 Convention on Climate Change (Berlin 1992) IPCC's second assessment report （ 1995 ） First National Energy Conferenc Kyoto Protocol （ 1998 ） 1997 Passed (Kyoto 1997) IPCC's third assessment report （ 2001 ） Kyoto Protocol became Second National Energy 2005 effective (Montreal 2005) Conference （ 2005 ） The Stern Review （ 2006 ） Sustainable Energy Policy Bali Plan of Action IPCC's fourth assessment 2007 Framework （ 2008 ） report （ 2007 ） (Bali 2007) Climate Change and Water Third National Energy Conference Copenhagen Accord Resource Report （ 2008 ） 2009 （ 2009 ） (Copenhagen 2009) IPCC's SRREN Energy Saving and Carbon （ 2010 ） COP16/CMP6 Reduction Promotion Committee/ 2010 （ Cancun, 2010 ） New Energy Development Promotion Committee （ 2009 ） IPCC's SREX COP17/CMP7 2011 （ 2011 ） （ South Africa, 2011 ） Voluntary reduction based on Copenhagen Accord 2012 COP18/CMP8 （ 2010 ） IPCC's fifth assessment （ Asia, 2012 ） report （ 2014 ） 8

 Taiwan's 2010 Announcement of CO2 Reduction Target by 2020  EPA estimates under the condition of business as usual (BAU), CO2 emission by 2020 will reach 467 million tons.  Government has announced that 2020 CO2 emission will be maintained at 2005 level of 257 million tons. Thus, Taiwan's actual CO2 emission needs to be reduced by 210 million tons by 2020, approximately 45%.  South Korea and Singapore, both Taiwan's main competitors, have carbon reduction targets of 30% and 16% respectively. And IPCC recommends 15~30% reduction for developing nations. Thus, Taiwan voluntarily promised to reduce by over 30% according to UNFCCC in June 2010. 9

Taiwan's Challenge in Energy Conservation and Carbon Reduction   The ministries could only promise energy saving plans which would reduce CO2 emissions equal to 3% of the reduction target by 2020. Energy Saved Green House Gas 500 3% Natural Gas 7.6% Emission Baseline 467 461 450 445 Renewable Energy 440 Million tons CO 2 2.5% 411 Nuclear Power 407 400 13.7% Generator Efficiency up by 1.2% ； Forestation 375 0.5% 350 Carbon Right 15.4% 56% short of the 300 total target 269 265 reduction 257 257 243 257 250 Returning to 2005 emission level by 2020 200 年 year 2015 2020 2000 2005 2010 10

Project and Indicator Management Division （ ） CEPD Secretariat (MOEA) Promotion and Communication Organization of the Energy Conservation and Carbon Division （ 、 ） MOFA GIO Energy Conservation and Carbon Reduction Education Division Deputy Convener (Secretary General, Minister without （ ） MOE Reduction Promotion Committee Committee Members (14 government agency Low-Carbon Infrastructure Division Energy Conservation and Carbon Reduction Promotion Committee （ ） PCC Energy Conservation and Carbon representatives) 11 Reduction Technology Division （ ） NSC Green Scenery and Construction Convener (Vice Premier) Division （ ） MOI, COA Green Transportation Promotion Division Portfolio) （ ） MOTC Members of Conference Low-Carbon Industrial Structure Division （ MOEA) Low-Carbon Community and Society Division （ ） EPA Low-Carbon Energy System Division （ ） MOEA