Multiple foreign media outlets questioned the viability of Taiwan’s power supply especially as Nvidia announced plans to build a second research and development center in Taiwan. Speaking before the Legislative Economic Committee today, Economic Minister J.W. Kuo (郭智輝) emphasized that the supply should be able to meet demand after more accurate calculations and an ESCO energy saving plan.
Foreign news outlets expressed doubts about Taiwan’s energy supply, citing April’s recent blackouts, and concern about Taiwan’s ability to meet the global demand. Many worried about the effect that disruption to Taiwan’s chip manufacturing would have on the global economy. Minister Kuo acknowledged these fears, but affirmed that Taiwan’s energy supply is adequate.
Kuo based his statement on the capacity calculations Taipower made just last week. He also reminded the Legislature that Nvidia’s latest chips can actually help reduce energy consumption. Kuo stated that with an annual growth of 3%, Taiwan’s power should suffice until at least 2028, depending on the success of the AI industry.
The Economic Ministry is also planning to review the ESCO energy-saving plan, which has the potential to meet power demands and save providers energy costs from 2025 to 2028.
Kuo additionally clarified his previous comments regarding nuclear power, stating that the government’s position on a nuclear-free nation remains unchanged. Kuo said that nuclear power currently only accounts for 6% of Taiwan’s overall energy consumption, and were it to be entirely replaced with alternatives, the costs would be small as more than 90% of energy costs are already fixed. Kuo acknowledged that there is still more work to be done to ensure Taiwan has a stable, more efficient power supply in the future.