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PH51004 Foundation in Renewable PH51004 Foundation in Renewable EnergyEnergy

Group Project (2010/11)Group Project (2010/11)

TaiwanTaiwanFrank Duggan, Louis Barclay, Jennifer Scott, Frank Duggan, Louis Barclay, Jennifer Scott,

McGregor Snow & Christian OnweMcGregor Snow & Christian Onwe

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OutlineOutline

1.1. IntroductionIntroduction

2.2. Attitude of the Taiwanese governmentAttitude of the Taiwanese government

3.3. Imports/exports vs. rise in energy consumptionImports/exports vs. rise in energy consumption

4.4. Mitigation and control measuresMitigation and control measures

5.5. ConclusionsConclusions

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1. Introduction1. Introduction

Located across the Located across the Taiwan Strait from ChinaTaiwan Strait from China

Population ~ 22.8 billionPopulation ~ 22.8 billion

Area ~ 135,980 kmArea ~ 135,980 km22

High energy consumerHigh energy consumer

Lacks sufficient domestic Lacks sufficient domestic energy sourcesenergy sources

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Political historyPolitical history

Taiwan is politically known as the ROCTaiwan is politically known as the ROC Not part of the United Nations, UNFCCC and Not part of the United Nations, UNFCCC and

IPCCIPCC Participation rejected by the PRCParticipation rejected by the PRC

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2. Attitude of the Taiwanese 2. Attitude of the Taiwanese governmentgovernment

And the reasons for their stanceAnd the reasons for their stance

Taiwan’s president - Ma Ying-Jeou

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““Since assuming power in 2008, Since assuming power in 2008, Taiwan’s new administration has set Taiwan’s new administration has set energy conservation, carbon energy conservation, carbon reduction and response to climate reduction and response to climate change as a major policy…change as a major policy…””

- Taiwan Environmental Protection - Taiwan Environmental Protection AdministrationAdministration

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What are the reasons for this stance?What are the reasons for this stance?

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1980 1985 1990 1995 2000 2005

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Taiwan World Asia & Oceania China

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Some figuresSome figures

In 2008, Taiwan’s per capita carbon footprint was In 2008, Taiwan’s per capita carbon footprint was 13.17 tCO13.17 tCO22e – 3 x world average of 4.55 tCOe – 3 x world average of 4.55 tCO22ee

Taiwan’s COTaiwan’s CO2 2 emissions grew by 260.7% between emissions grew by 260.7% between 1980 & 2007 – compared to ~65% globally1980 & 2007 – compared to ~65% globally

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Energy in TaiwanEnergy in Taiwan

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1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007

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Environmental concernsEnvironmental concerns

More extreme weather patternsMore extreme weather patterns

Rising sea levels – estimated 272kmRising sea levels – estimated 272km22 flooded by flooded by 21002100

Temperature increase – greater number of pests Temperature increase – greater number of pests & diseases& diseases

Longer & more regular dry periodsLonger & more regular dry periods

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Economic concernsEconomic concerns

41.3million USD insurance payouts due to floods 41.3million USD insurance payouts due to floods and typhoons between 2003 & 2006 – looks set to and typhoons between 2003 & 2006 – looks set to rise dramatically rise dramatically

Not in UNFCCC – so industries cannot reduce cost Not in UNFCCC – so industries cannot reduce cost of cutting emissions through CDMof cutting emissions through CDM

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Increase in energy consumption can primarily be put Increase in energy consumption can primarily be put down to increase in industry in recent decades – down to increase in industry in recent decades –

correlates with greater emissionscorrelates with greater emissions

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3. Import/Exports vs. Rise in Energy 3. Import/Exports vs. Rise in Energy ConsumptionConsumption

Correlation?Correlation?

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ExportsExports

Due to high foreign demand Due to high foreign demand An increase in exports occurredAn increase in exports occurred

Exports included:Exports included: SteelSteel Electronic products such as computer monitorsElectronic products such as computer monitors SemiconductorsSemiconductors

Taiwan joined world trade organisation in 2002Taiwan joined world trade organisation in 2002

This gave rise to higher production demandThis gave rise to higher production demand

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Rise in energy demandRise in energy demand

High demand in foreign trade gave rise to high High demand in foreign trade gave rise to high production demand within Taiwanproduction demand within Taiwan

This gave rise to higher energy usageThis gave rise to higher energy usage

Taiwan’s industrial sector rose by 19% in Taiwan’s industrial sector rose by 19% in November 2010November 2010

This lead to a 2.8% rise in electricity demandThis lead to a 2.8% rise in electricity demand

This greater demand had to be met with supplyThis greater demand had to be met with supply

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Meeting the demandMeeting the demand

Taiwan needed to have security of supplyTaiwan needed to have security of supply

Taiwan imports 99% of their energy sources to meet this Taiwan imports 99% of their energy sources to meet this demanddemand

The country uses an average of 950,000 barrels of oil/dayThe country uses an average of 950,000 barrels of oil/day

Just over 1% of this is produced at homeJust over 1% of this is produced at home

Hence, large scale importing of fuelHence, large scale importing of fuel

This had a knock on effect on transportation emissionsThis had a knock on effect on transportation emissions

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ImportsImports

Importation of fuel supply lead to a average Importation of fuel supply lead to a average growth of imports of 13.5% between 2002 and growth of imports of 13.5% between 2002 and 20062006

105.5

84.3

252.5

160

22.1

0 50 100 150 200 250 300

Carbon Footprint ofexports

Carbon footprint ofimports

Total carbon footprint

Household indirect

Householddirect(transport & heat)

National Carbon Footprint (Million Tonnes C02 equivalent)

MtC02 Footprint

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This chart shows us that importation of goods to Taiwan has This chart shows us that importation of goods to Taiwan has lead to a carbon footprint of 84.3 million tonnes of COlead to a carbon footprint of 84.3 million tonnes of CO22

High carbon emissions can be seen to come from High carbon emissions can be seen to come from transportation of importstransportation of imports

We can see there is a correlation between imports/exports We can see there is a correlation between imports/exports and rise in energy demandand rise in energy demand

A correlation is evident between imports/exports and carbon A correlation is evident between imports/exports and carbon footprint alsofootprint also

A correlation can said to be present between Exports & GDP A correlation can said to be present between Exports & GDP growthgrowth

The period of 2002-2006 yielded a 4.7% average growth rateThe period of 2002-2006 yielded a 4.7% average growth rate

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Economic IndicatorsEconomic Indicators

Economic Indicators 2002-2006 avg. 2007 2008 2009

GDP (% growth, real) 4.7 5.7 4.1 4.6

Inflation (%, year-end) 0.8 1.8 3.1 2.0

Fiscal Balance (% of GDP) -2.1 0.1 -1.9 2.2

Exports (% growth, BOP goods) 12.1 10.1 7.9 10.4

Imports ((% growth, BOP goods) 13.5 7.3 14.3 9.9

Current Account (% of GDP) 7.0 8.6 5.2 5.6

Reserves (month of imports) 13.8 11.9 11.9 11.4

External Debt (% of GDP) 21.8 25.5 24.8 23.9

Debt Service ratio 2.9 3.2 3.2 3.2

Exchange rate (year-end, per USD) 33.2 32.4 30.3 29.4

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How Taiwan compares with other How Taiwan compares with other NationsNations

0500

10001500200025003000350040004500500055006000

Nations

MtCO2e Yearly Emissions

2005

2007

2005 542.2 5842 272

2007 530.2 5826.7 285.6

UK USA Taiwan

There is a 5% increase in Taiwan’s emissions for this periodThere is a 5% increase in Taiwan’s emissions for this period

This is compared to a decrease in emissions elsewhereThis is compared to a decrease in emissions elsewhere

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Taiwan’s increase in COTaiwan’s increase in CO2 2 emissionsemissions

There is a sizeable increase in Taiwan’s emissions in this periodThere is a sizeable increase in Taiwan’s emissions in this period

This can be attributed to the industrial growth hat this timeThis can be attributed to the industrial growth hat this time

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Correlation?Correlation? There is an apparent correlation between the industrial upturn & Taiwan’s There is an apparent correlation between the industrial upturn & Taiwan’s

Carbon footprintCarbon footprint

The rise in foreign demand was followed by a rise in exportsThe rise in foreign demand was followed by a rise in exports

The resulting rise in exports caused an increase in energy usageThe resulting rise in exports caused an increase in energy usage

The energy usage needed to be meet with security of supplyThe energy usage needed to be meet with security of supply

This brought an increase in importation of fuel supplies This brought an increase in importation of fuel supplies

This resulted in higher GHG emissionsThis resulted in higher GHG emissions

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4. Mitigation and control measures4. Mitigation and control measures

Taiwan EPATaiwan EPA

MOEMAMOEMA

Greenhouse Gas Reduction ActGreenhouse Gas Reduction Act

Renewable Energy Development Act Renewable Energy Development Act 20092009

Legislative YuanLegislative Yuan

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Taiwan Environmental protection Administration established in 1987 began carbon emission reduction efforts in 1998

The National Energy conference meetings set out plan to return carbon emission level 2000 level

Blue line shows the BAU scenario

The red line shows the return of carbon emission to 2000 level (219.4Mt) by 2025, and half of that level (109.7Mt) by 2050

COCO22 emissions reduction scenarios emissions reduction scenarios

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Air Quality ImprovementAir Quality Improvement

Natural Gas Vehicle

Clean Diesel Vehicle

Hydrogen Vehicle

Fuel vehicle

Electric Vehicle

Fuel Cell Vehicle

(Gasoline)

Present Future

EPA targets to lower Sulphur content from current 50ppmw to 10ppmw in 2011

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Clean Vehicle projectClean Vehicle project

10 zones around the Island will be used to test the 10 zones around the Island will be used to test the initiative; each zone will get up to 300 electric vehicles. initiative; each zone will get up to 300 electric vehicles. This plan is to be subsidized by the Government about This plan is to be subsidized by the Government about NT$2.2billion has been budgeted for the projectNT$2.2billion has been budgeted for the project

Motorbikes are a commonly used means of Motorbikes are a commonly used means of transportation in Taiwan and are a great contribution transportation in Taiwan and are a great contribution to the generation of emissionsto the generation of emissions

Carbon monoxide emissions from these motorbikes Carbon monoxide emissions from these motorbikes accounts for about 10% of Taiwan’s total annual accounts for about 10% of Taiwan’s total annual emissionsemissions

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EPA also forced motorbike manufacturers to start developing low emission Fuel Injection Engines to reduce emissions 50% lower than

former carburettor engines and 18% more fuel efficient

Kwang Yang Motor Co (KYMCO)San Yan MotorsMotor power CoYamahaTai Ling Motor

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71% 16% 6.7% 6.6%

As of July 2009, the percentage of seriously polluted river section in Taiwan has decreased from 13.6% in 2001 to

6.6% in 2009

River Quality ImprovementRiver Quality Improvement

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Feed in tariffs for renewablesFeed in tariffs for renewables

Aim to have 10GW of installed renewable energy Aim to have 10GW of installed renewable energy in place in next 20 yearsin place in next 20 years

Supported through a feed-in tariff systemSupported through a feed-in tariff system

Nuclear & fossil fuel utilities obliged to pay into Nuclear & fossil fuel utilities obliged to pay into the fundthe fund

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Feed in tariffs for renewablesFeed in tariffs for renewables

Type of Renewable Energy Feed-in Tariff (NT$/kWh)

PV System: 1-10 kWp 11.1883

PV System: 10-500 kWp 12.9722

PV System: over 500 kWp 11.119

On-shore Wind Power System 1-10 kW 7.2714

On-shore Wind Power System Over 10 kW 2.3834

Off-shore Wind Power System 4.1982

Streamflow Hydropower 2.0615

Geothermal Power Generation 5.1838

Biomass Power Generation 2.0615

Waste Power Generation 2.0879

Others 2.0615

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Taipower plans to encourage and Taipower plans to encourage and incorporate renewable energy incorporate renewable energy

developmentdevelopmentRenewable

Energy

Currently installed(MW)

Year 2015 (MW)

Year 2020 (MW)

Year 2025 (MW)

Hydro 1,938 2,050 2,110 2,500

On-shore wind

252 806 956 1,156

Off-shore wind

- - - 1,000

Solar 5.6 320 1,000 1,000

Bio-Energy 739 850 954 1,500

Ocean - 1 30 200

Geothermal - 10 150 150

•The state owned ‘Taipower’ is the major power supplier in Taiwan.

•They are considered to be a significant emitter of greenhouse gases and have therefore adopted a solution to reduce CO2 emissions company-wide.

•Hydro electricity will hit 2,500MW by the year 2025 and 2,156MW is expected to come from onshore and offshore wind by the same year

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Taiwan Carbon Foot-Print LabellingTaiwan Carbon Foot-Print Labelling

Carbon label has become an international trend Carbon label has become an international trend and it can enable consumers to practice and it can enable consumers to practice environmental responsible consumptionenvironmental responsible consumption

Taiwan is aware that Carbon labeling can create Taiwan is aware that Carbon labeling can create various benefits for companies, such as carbon various benefits for companies, such as carbon reduction, product differentiation and reputation. reduction, product differentiation and reputation. In order to be geared into this international trend, In order to be geared into this international trend, Taiwan EPATaiwan EPA

Has also commissioned projects to study this Has also commissioned projects to study this issue and EPAissue and EPA

Has implemented carbon labeling in 2010Has implemented carbon labeling in 2010

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The number stands for “carbon footprint,” and is the CO2 emission equivalence calculated based on the materials and energy consumed during the life cycle of the product.

A heart that loves the nature; CO2 reduction for a “cool” planet; and green consumption for low-carbon society

Green leaf stands for health and environmental friendliness

Taiwan Carbon Footprint LabellingTaiwan Carbon Footprint Labelling

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Also, Taiwan EPA is working with 10 industrial associations on the development of product category rules (PCR) and carbon footprint

Selected out of 11 demonstrated for products carbon footprint, they will complete the verification review and obtain the Taiwan Carbon Footprint Label by the end of 2010

Hot Cathode Fluorescent Lamp

Butterfly orchid

Uncoated paper Aerated Water

Household Paper Hair conditioner

Printed of paper products

Fruit Juices

Spun lace Nonwoven

Needle Punched Nonwoven

LED Light _

Products using carbon footprint label

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ConclusionsConclusions

Foreign trade led to a growth in industry in Foreign trade led to a growth in industry in Taiwan leading to high energy demandTaiwan leading to high energy demand

This saw a dramatic rise in carbon footprintThis saw a dramatic rise in carbon footprint

Created a motivation to change due to these Created a motivation to change due to these circumstances, and the resultscircumstances, and the results

Government put in place various plans & Government put in place various plans & mitigation measures to tackle the effects of rising mitigation measures to tackle the effects of rising GHG emissionsGHG emissions