Business
Taiwan Mandates Environmental Impact Assessments for Carbon Storage
The Ministry of Environment in Taiwan has announced a new requirement for environmental impact assessments (EIA) for all carbon storage projects, regardless of their size. This initiative aims to ensure that such projects adhere to environmental standards and mitigate potential adverse impacts.
On March 15, 2024, the ministry released draft amendments to several articles of the Standards for Determining Specific Items and Scope of Environmental Impact Assessments for Development Activities. These revisions align with changes made to Article 5 of the Environmental Impact Assessment Act, which recently passed its third reading in the legislature and was promulgated by President William Lai.
Under the updated regulations, Articles 29 and 46 specify the clauses relevant to EIA review criteria for solar facility projects. Notably, Article 42 now includes carbon storage as a construction project type subject to EIA review. This inclusion reflects the government’s commitment to addressing environmental concerns associated with carbon capture and storage methods.
Hsu Su-chih, Director-General of the Department of Environmental Protection, emphasized the importance of carbon capture and storage as a pivotal technology in achieving national greenhouse gas reduction targets. She noted that these projects are part of the flagship carbon reduction initiatives for six major sectors.
Given the potential environmental risks of carbon storage, including leakages, groundwater pollution, and geological safety concerns, the ministry has determined that EIA reviews are essential. Hsu stated, “Carbon storage projects must undergo EIA review to prevent adverse impacts caused by such development activities,” highlighting the government’s proactive approach to environmental protection.
In addition to the EIA requirements, the ministry has revised its List of Industries Required to Conduct Inventory and Registration of Greenhouse Gas Emissions. Starting next year, more than 460 additional businesses and entities will fall under this regulation. These include various sectors, primarily healthcare institutions, colleges, universities, and businesses from the service and transportation industries.
The ministry reassured that the inventory reporting process would be straightforward. Unlike major greenhouse gas emitters, these smaller entities will not be required to hire third parties for verification of their greenhouse gas inventories. Furthermore, they will be exempt from carbon fees, making compliance less burdensome.
The new regulations demonstrate Taiwan’s ongoing commitment to addressing climate change while balancing economic growth and environmental sustainability. By mandating EIAs for carbon storage projects and expanding the greenhouse gas emissions inventory, the government aims to foster a responsible approach to environmental management, ultimately benefiting the health of the ecosystem and the well-being of its citizens.
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