Taiwan's second energy transition focuses on diversified green energy, deep energy saving, technical power storage and resilient power grid to ensure a stable power supply and to reduce carbon emissions and air pollution.

1.Diversified Green Energy
To promote the development of renewable energy, the Ministry of Economic Affairs (MOEA) has set a target of 30% renewable energy by 2030. The strategy involves active deployment of mature technologies such as solar PV and offshore wind power, while accelerating the development of innovative energy sources, including geothermal, small hydropower, biomass energy, ocean energy, and hydrogen energy.

2.Deep Energy Saving
To continue upgrading energy use efficiency, expanding energy saving efforts, and encouraging companies to invest in energy-saving processes, the main measures include:
(1)For large energy users: Through regulatory requirements, raise the annual energy-saving target from 1% to 1.5% for large energy users that reserve a capacity of 10,000 kilowatts (kW) or more. Foster collaboration between large manufacturers and smaller firms along the supply chain to improve energy-saving processes. Offer tax incentives for investing in energy saving, thus encouraging lower energy consumption.
(2)For medium and small energy users: The MOEA formed an Inter-Agency Energy Saving Service team to facilitate the integration of Energy Service Companies (ESCOs) into business operations by providing specialized, cost-effective solutions for electricity-saving and carbon emissions reduction. MOEA also aims to expand ESCO service capacity by injecting funds from financial institutions, backed by a government credit guarantee program for ESCO industry loans.
(3)For residential energy users: Continue to promote a subsidy program that encourages people to replace old home appliances by purchasing new ones that meet Taiwan's highest energy efficiency labeling standards.

3.Technical Power Storage and Resilient Power Grid
Promote the establishment of power storage at the grid level, generation site, and Behind-the Meter. Provide various ancillary services to ensure the stability of the power system. Strengthen grid infrastructure to enhance grid resilience, improve resource regulation capabilities to increase the system's power supply flexibility. Promote grid digitization to facilitate flexible resource planning such as energy storage requirements to manage variability in renewable energy.