On October 21, 2021, Climate Change Office, Environmental Protection Administration Executive Yuan, Taiwan, issued a notice of amendments to “Greenhouse Gas Reduction and Management Act” and published the proposed amendments. The comment period is until 60 days after the notice date. The amendment is expected to change the Act name to “Climate Change Response Law”. The main amendments are as follows.
Net Zero Target for 2050
Article 4 of the proposed amendment clearly states that the goal is to achieve net zero (virtually zero greenhouse gas emissions) by 2050.
Strengthening emission management and promoting reduction
In order to strengthen greenhouse gas emission reduction operations, Article 23 of the proposed amendment adds a provision that greenhouse gas emissions from apparatus, equipment, manufacturing processes or factories that have been publicly notified by the central competent authority must meet energy efficiency standards.
In addition, Article 23 requires that the manufacture, import, sale, and use of vehicles and the planning, design, construction, structure, and equipment of buildings meet the allowable or reduced greenhouse gas emission regulations set by the central authority.
It is stipulated that the relevant standards and regulations above shall be determined by the central competent authority in consultation with the central competent authority for the project.
The additional clause in Article 24 of the proposed amendment stipulates that when a business operator establishes a new emission source that has been publicly notified by the central lead agency, BAT (best available technology) should be applied, and the increase emission should be offset.
Article 25 of the proposed amendment states that business operator can submit a voluntary greenhouse gas emission reduction plan. If they implement the plan, they can obtain quota for the reduction. According to the Environmental Protection Administration, this framework will promote the reduction of greenhouse gas emissions.
Collection of Carbon Fee
In order to achieve greenhouse gas reduction targets, article 26 of the proposed amendment stipulates that a “carbon fee” shall be collected from direct and indirect emission sources. The fee will be collected and used for operations such as greenhouse gas reduction. The collection target and the specific charges will be determined by the central government.
Regulation of carbon content of specified products
Article 27 of the proposed amendment indicates that the calculation and identification method for carbon content of specified products will be specified. For products with high carbon content, a carbon fee will be collected from importers.
The original text of the above proposed amendment can be viewed at the following URL (in traditional Chinese).