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Industrial News

Taiwan Power Producers to Promote Use of Biomass Pellets

Taiwan is considering the use of wood pellets to help boost its use of renewable energy, according to a report filed with the USDA Foreign Agricultural Service’s Global Agricultural Information Network. The opportunity could translate into a $300 million opportunity for wood pellet producers. 

The GAIN report, filed in November, indicates Taiwan aims to expand its use of renewable energy by 20 percent by 2025 and reach net zero emissions by 2050. Currently, renewables account for less than 10 percent of total energy output in the country. The use of wood pellets is one green energy option being explored by Taiwan to boost its renewable energy production. 

According to the report, Taiwan aims to have 778 megawatts (MW) of biomass energy capacity in place by 2025, enabling 4.1 billion kilowatt hours (kWh) of generation. 

The state-owned power enterprise Taiwan Power Company (Taipower) in 2022 decided to convert a 500 MW coal-fired boiler at its Kaohsiung Hsinta Power Plant to wood pellets. The report states this is the first project in Taiwan that aims to convert a decommissioned coal-fired unit to biomass energy. The new wood pellet heat boiler is set to begin operations in 2025 or 2026. According to Taipower, the converted biomass facility will consume approximately 1.7 million metric tons of industrial grade wood pellets annually.