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Taiwan’s carbon fee rates under domestic scrutiny

  • 11 October, 2024
  • Joey Chou
Taiwan’s carbon fee rates under domestic scrutiny
Taiwan’s carbon fee rate review committee approved to set the general rate as discussed with multiple ministries. (Photo: CNA)

Taiwan’s carbon fee rate review committee recently approved to set the general rate at NT$300 (US$9.32) per ton, with preferential rates at NT$50 (US$1.55) and NT$100 (US$3.11). A trial reporting phase is planned for next year, with formal collection starting in 2026.

During a legislative session on Friday, KMT Legislator Ko Chih-en (柯志恩) raised concerns about the impact of the carbon fee on Taiwan’s economy. She noted that the Economic Ministry believes Taiwan's carbon fees should not exceed those of Japan and South Korea to avoid impeding competitiveness. Ko further questioned whether the fee would eventually be passed on to consumers or whether the carbon fee would increase construction costs, potentially driving up housing prices.

Premier Cho Jung-tai (卓榮泰) responded that he had discussed the issue multiple times between the economic, environmental, and other ministries. He emphasized that the aim is to minimize the impact on industries while contributing to environmental sustainability, which requires a balanced approach. Cho stated that on the path of global sustainability, we all need to shoulder some responsibility.

Economics Minister Kuo Jyh-huei (郭智輝) added that the ministry has established a task force to observe fluctuations in relevant indices, and the current proposed rate is mainly in response to European regulations, encouraging carbon reduction.

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