Climate Change Administration

To accelerate Taiwan’s progress toward net-zero emissions by 2050, Taiwan entered an era of carbon pricing in 2025. Pursuant to the “Climate Change Response Act,” NT$4.97 billion in carbon fees collected this year has been incorporated into the Greenhouse Gas Management Fund and is dedicated to greenhouse gas reduction and climate change adaptation.

To maximize the effectiveness of the Fund, the Ministry of Environment (MOENV) has formally promulgated the “Regulations Governing Subsidies for Greenhouse Gas Reduction Technologies and Climate Change Adaptation,” supporting enterprises and academic and research institutions in developing innovative technologies and advancing public-private partnership toward the 2050 net-zero emissions target while building a sustainable and climate-resilient Taiwan.

The MOENV stated that following the preannouncement of the draft “Regulations Governing Subsidies for Greenhouse Gas Reduction Technologies and Climate Change Adaptation” in June, the MOENV promptly convened consultation meetings with relevant ministries and agencies, industry associations, civil society organizations, and local governments to solicit views from various sectors. After extensive communication and incorporation of stakeholder recommendations to further refine the regulations, the Regulations were formally promulgated and entered into force on July 14.

The MOENV explained that the Regulations consist of 15 articles, with the key provisions as follows:

1. Targets for subsidy: All statutory enterprises are included, including corporations, business entities, factories, private institutions, and administrative agencies or institutions, as well as public and private colleges and universities and academic research institutions
2. Focus on mitigation and adaptation projects: Eligible projects include the conversion to low-carbon or carbon-free fuels and processes, energyy-saving measures, carbon capture, utilization and storage (CCUS), negative emissions technologies, measures responding to the Carbon Border Adjustment Mechanism (CBAM), and research and development of innovative greenhouse gas reduction and climate change adaptation technologies.
3. Clearly defined ineligible activities: To ensure the effective use of resources, subsidies will not be provided for statutory obligations of enterprises, such as accounting of emission sources and registration, activities covered by approved voluntary reduction plans of entities subject to carbon fees, greenhouse gas emission offset, and mandatory carbon footprint requirements.
4. Subsidy ceiling and information disclosure: Subsidies may cover up to 50% of the total project cost. Subsidized projects are required to cooperate with effectiveness evaluations, and related information will be disclosed quarterly on the Ministry of Environment’s website.

The MOENV emphasized that, for the subsidy items specified in Article 3 of the Regulations, the Ministry will, pursuant to Paragraph 2 of the same article, separately announce on its website the specific subsidy programs, application periods, eligible expenditure categories, and other relevant details for eligible applicants. Detailed regulatory information is available for download from the Ministry of Environment’s News Center or the Executive Yuan Gazette Online.