Taiwan · Carbon fee + domestic credits

Taiwan: a NT$300 carbon fee, cut to NT$50–100 for plants with approved reduction plans

Taiwan charges large power, gas and manufacturing plants for their emissions from 2025. In the first year, 461 plants paid, and 402 of them had reduction plans approved that let them pay a lower rate. A review of the NT$300 rate ended without agreement on 2 November 2026.

Taipei skyline at dusk, seen from Elephant Mountain
Taipei skyline at dusk, seen from Elephant Mountain. Photo: Debjyoti Bardhan, CC BY 2.0, source. Resized only; no other change.
Summary

In brief

Plants in power, gas supply and manufacturing whose direct plus electricity emissions reach 25,000 tCO2e a year pay NT$300 per tonne; plants with an approved voluntary reduction plan that meet their targets pay NT$50 or NT$100.

The fee started with 2025 emissions. By May 2026 all 461 first-year plants (240 companies) had paid, and 402 had approved plans covering 45.2 MtCO2e of cuts by 2030.

Domestic carbon credits can cover up to 10% of chargeable emissions and recognised foreign credits up to 5%; high carbon-leakage firms pay on only 20% of emissions in phase 1 but cannot use foreign credits.

The rate committee suggested NT$1,200–1,800 for 2030 onward and rises every 2 years, but its 2 November 2026 review ended with no consensus.

Data

The rate, the plants and the plans in charts

One rate so far, with a much higher benchmark suggested for 2030. Most payers chose to cut emissions in return for a lower rate.

Carbon fee rates by emissions year, with the committee's suggested 2030 range (NT$ per tCO2e)

General ratePreferential rate BPreferential rate A05001,0001,5002,000202520262027202820292030Suggested 2030+ range NT$1,200–1,8003003001001005050

Source: Ministry of Environment (MOENV); Climate Change Administration (CCA), Ministry of Environment. Checked 2026-11-12. Solid: rates set by the 21 Oct 2024 notice and still unchanged after the 2 Nov 2026 review. No rate is set for 2027 onward; the wedge only shows the committee's suggested benchmark for 2030 and after.

Table of the same figures
PeriodGeneral ratePreferential rate BPreferential rate A
202530010050
202630010050
2027———
2028———
2029———
2030———

From estimate to payment: plants and reduction plans

plants0150300450600Est. payers (pre-launch)Plan applications 2025Cleared by 6 Feb 2026First-year payersPlans approved (Nov 2026)500430190461402

Source: Climate Change Administration (CCA), Ministry of Environment; Ministry of Environment (MOENV). Checked 2026-11-12. Bars come from different dates and stages; read each label.

Table of the same figures
PeriodplantsSource (checked)
Est. payers (pre-launch)500Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Plan applications 2025430Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Cleared by 6 Feb 2026190Climate Change Administration (CCA), Ministry of Environment 2026-11-12
First-year payers461Ministry of Environment (MOENV) 2026-11-12
Plans approved (Nov 2026)402Ministry of Environment (MOENV) 2026-11-12

Where the planned cuts come from (MtCO2e a year at full operation, 2030 vs 2025)

MtCO2e/yr07.51522.530Low-carbon fuelsProcess & efficiencyRenewable energy26.3118.822.32

Source: Climate Change Administration (CCA), Ministry of Environment. Checked 2026-11-12.

Table of the same figures
PeriodMtCO2e/yrSource (checked)
Low-carbon fuels26.31Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Process & efficiency18.82Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Renewable energy2.32Climate Change Administration (CCA), Ministry of Environment 2026-11-12

Share of emissions charged for high carbon-leakage firms, by phase

coefficient00.3750.751.1251.5Phase 1Phase 2Phase 3Other firms0.20.40.61

Source: Laws & Regulations Database of the ROC (Ministry of Justice). Checked 2026-11-12. High-leakage firms also get K = 0 (no 25,000 t deduction). Phase dates are not yet set.

Table of the same figures
Chronology

Timeline

Red dates are still ahead.

From the 2023 Act to the 2030 targets

  • 2023-02-15Climate Change Response Act amended, giving a legal basis for carbon fees.
  • 2024-03-01Carbon Fee Rate Review Committee formed.
  • 2024-08-29Three implementing regulations issued.
  • 2024-10-21Rates announced: NT$300 general, NT$50 and NT$100 preferential.
  • 2025-01-01Rates take effect; 2025 emissions are the first charged.
  • 2025-04Trial filing from April to June, without payment.
  • 2026-01-12Review principles for high carbon-leakage firms issued.
  • 2026-05All 461 first-year plants pay.
  • 2026-08-27UK lists Taiwan's carbon fee as a qualifying scheme for its CBAM.
  • 2026-09-01Fee and plan regulations amended.
  • 2026-11-02Rate review ends with no consensus; more data requested.
  • 2027-05-31Payment deadline for 2026 emissions (rule: end of May).
  • 2030Target year for reduction plans; committee's suggested NT$1,200–1,800 benchmark.

Source: Laws & Regulations Database of the ROC (Ministry of Justice); Climate Change Administration (CCA), Ministry of Environment; Ministry of Environment (MOENV).

Mechanism

How it works

The yearly cycle for a plant that pays the fee.

How the fee is paid

  1. Step 1

    Claim leakage status

    By 31 January of the payment year, if the firm seeks high carbon-leakage treatment.

  2. Step 2

    Report plan progress

    Plants with a reduction plan report the previous year's progress by 30 April.

  3. Step 3

    Calculate

    (Annual emissions − 25,000 t) × adjustment coefficient × rate; K is 0 for high-leakage firms.

  4. Step 4

    Deduct credits

    Domestic credits up to 10% and recognised foreign credits up to 5% of chargeable emissions.

  5. Step 5

    File and pay by end of May

    Self-assessed fee paid into the designated account for the previous calendar year.

Source: Laws & Regulations Database of the ROC (Ministry of Justice).

Coverage

Scope

One threshold, three sectors, and two ways to pay less.

Who is covered

Source: Laws & Regulations Database of the ROC (Ministry of Justice); Climate Change Administration (CCA), Ministry of Environment; Ministry of Environment (MOENV). Checked 2026-11-12.

Table of the same figures
ItemRule
Threshold25,000 tCO2e a year, direct plus electricity-indirect emissions
SectorsPower, gas supply and manufacturing
Deduction (K)First 25,000 t not charged; K = 0 for high carbon-leakage firms
Payers461 plants (240 companies) in the first year; about 500 estimated before launch
Covered emissionsAbout 155 MtCO2e, about 54% of the national total (pre-launch estimate)
High-leakage adjustmentCharged on 20%, 40%, then 60% of emissions by phase; others 100%
High-leakage industries17 industries by sector test, plus firm-level tests
Rate A targetSector cuts by 2030 vs 2021: steel 25.2%, cement 22.3%, others 42%
Rate B targetTechnology benchmarks against the 2018–2022 average
Offsets

Credits and offsets

Credits can trim the bill: domestic credits up to 10% and recognised foreign credits up to 5%. Domestic credits trade only on TCX.

Carbon credits and the exchange at a glance

Source: Laws & Regulations Database of the ROC (Ministry of Justice); Ministry of Environment (MOENV); Taiwan Carbon Solution Exchange (TCX). Checked 2026-11-12.

Table of the same figures
ItemRule or status
Domestic credit limitUp to 10% of chargeable emissions
Project creditsEach tonne of voluntary or offset project credit deducts 1.2 t
Early-action creditsDeduct at 0.3 (0.1 for high-leakage firms); only in the first 3 years
Early-action stockEven 44 Mt of these credits could deduct at most 4.4 Mt at 0.1
Foreign credit limitUp to 5%, MOENV-recognised only; not for high-leakage firms
ExchangeTaiwan Carbon Solution Exchange (TCX), set up by TWSE and the National Development Fund
Domestic tradingTCX is the exclusive platform under Article 36 of the Act
Reference

All figures

78 figures with numbers, each linked to the official text with the date we checked it.

ItemValueSource (checked)
General carbon fee rateNT$300 per tCO2eMinistry of Environment (MOENV) 2026-11-12
Preferential rate A (sector-specific reduction target)NT$50 per tCO2eClimate Change Administration (CCA), Ministry of Environment 2026-11-12
Preferential rate B (technology-benchmark reduction target)NT$100 per tCO2eClimate Change Administration (CCA), Ministry of Environment 2026-11-12
Rate notice issued and effective dateRates announced 21 Oct 2024; effective 1 Jan 2025Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Rate Review Committee formed; 6 meetings in 2024Committee formed 1 Mar 2024; 6 meetings Mar–Oct 2024Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Committee's suggested rate range for 2030 and afterNT$1,200–1,800 per tCO2e (suggested benchmark, not set)Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Committee's recommended step period for rate risesRates to rise in stages, every 2 yearsClimate Change Administration (CCA), Ministry of Environment 2026-11-12
Rate review completedCommittee completed the rate review on 7 Oct 2024Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Rate pre-announcementMOENV pre-announced the rates on 8 Oct 2024Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Three implementing regulations issued3 carbon fee sub-regulations issued 29 Aug 2024Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Threshold and sectorsPlants with direct + electricity-indirect emissions ≥25,000 tCO2e/yr in power, gas supply and manufacturingLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Estimated payers (pre-launch, 2022 inventory)About 500 plants (281 companies, 141 listed)Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Emissions of fee payers (pre-launch estimate)About 155 MtCO2eClimate Change Administration (CCA), Ministry of Environment 2026-11-12
Share of national emissions (pre-launch estimate)About 54% of national totalClimate Change Administration (CCA), Ministry of Environment 2026-11-12
First-year payers461 plants (240 companies), all paid by May 2026Ministry of Environment (MOENV) 2026-11-12
Plants with approved voluntary reduction plans402 of 461 first-year plantsMinistry of Environment (MOENV) 2026-11-12
Expected reduction from approved plans by 203045.2 MtCO2e by 2030Ministry of Environment (MOENV) 2026-11-12
Green investment planned in approved plansAbout NT$738.2 billionMinistry of Environment (MOENV) 2026-11-12
Filing and payment deadlineBy end of May each year, for the previous calendar year's emissionsLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Chargeable emissions formula and K value(Annual emissions − K) × adjustment coefficient; K = 25,000 tCO2e, K = 0 for high carbon-leakage firmsLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Emission adjustment coefficient, high-leakage, phase 10.2Laws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Emission adjustment coefficient, high-leakage, phase 20.4Laws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Emission adjustment coefficient, high-leakage, phase 30.6Laws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Emission adjustment coefficient, other firms1Laws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Domestic credit offset limitUp to 10% of chargeable emissionsLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Deduction ratio for voluntary / offset project credits1 credit deducts 1.2 tLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Deduction ratio for early-action project credits0.3 (other firms) or 0.1 (high-leakage firms); usable only in first 3 yearsLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Foreign credit offset limitUp to 5% of chargeable emissions; MOENV-recognised credits; not for high-leakage firmsLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Voluntary reduction plan progress report deadlineBy 30 April each year, for the previous yearLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Plan application cut-off for same-year preferential rateApply by 30 June to get the preferential rate from the year of applicationLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Plan review periodDecision within 3 monthsLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Sector reduction target, steel (rate A)25.2% by 2030 vs 2021Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Sector reduction target, cement (rate A)22.3% by 2030 vs 2021Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Sector reduction target, other industries (rate A)42% by 2030 vs 2021Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Technology-benchmark target base years (rate B)Base = average of 2018–2022Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Overpayment refund thresholdRefund on request if overpayment ≥ NT$2,000Laws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Record retention6 yearsLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Instalment threshold for back paymentsBack payment ≥ NT$5 million may be paid in instalmentsLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Late payment surcharge0.5% of unpaid amount per day; enforcement after 30 daysLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Penalty for under-reportingFee recalculated at 2× the rate; back-collection up to 5 yearsLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Climate Change Response Act amended15 Feb 2023Laws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Long-term target in the ActNet-zero GHG emissions by 2050 (ROC year 139)Laws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Longer-term planGradually develop a cap-based emissions trading system (Act Art. 34)Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Future ETS shortfall penalty in the Act3× carbon market price per tonne, capped at NT$1,500/tLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Voluntary reduction plan applications, 2025430 plants (67 chose sector targets, 363 technology benchmarks)Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Applications withdrawn or lapsed24 plantsClimate Change Administration (CCA), Ministry of Environment 2026-11-12
Plans cleared by review panel, as of 6 Feb 2026190 plants (185 more past first review; 31 in first review)Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Reduction measures in submitted plans2,781 measuresClimate Change Administration (CCA), Ministry of Environment 2026-11-12
Annual reduction at full operation (2030 vs 2025), submitted plansAbout 47.45 MtCO2e a yearClimate Change Administration (CCA), Ministry of Environment 2026-11-12
Reduction from low-carbon fuel switching26.31 MtCO2e/yr (55.4%), 123 measuresClimate Change Administration (CCA), Ministry of Environment 2026-11-12
Reduction from process improvement & energy efficiency18.82 MtCO2e/yr (39.7%), 2,282 measuresClimate Change Administration (CCA), Ministry of Environment 2026-11-12
Reduction from renewable energy2.32 MtCO2e/yr (4.9%), 376 measuresClimate Change Administration (CCA), Ministry of Environment 2026-11-12
High carbon-leakage review principlesIssued 12 Jan 2026; 17 industries qualify by sector (leakage risk value > 0.2%)Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Feb 2026 committee resolutionRecommends phased rate rises with 2030 as the horizonClimate Change Administration (CCA), Ministry of Environment 2026-11-12
Nov 2026 rate review2 Nov 2026: 3 options (no change / general rate only / both); 19 members; no consensusMinistry of Environment (MOENV) 2026-11-12
Members attending the Nov 2026 review19 members (first meeting of the 2nd committee)Ministry of Environment (MOENV) 2026-11-12
Committee meetings listed by CCA (Mar 2024–Feb 2026)8 meetingsClimate Change Administration (CCA), Ministry of Environment 2026-11-12
Sept 2026 amendments1 Sep 2026: first-time entrants pay from the year after their first verified inventoryMinistry of Environment (MOENV) 2026-11-12
Unused early-action credits and maximum deductionEven at 44 Mt of credits, ratio 0.1 allows at most 4.4 MtMinistry of Environment (MOENV) 2026-11-12
UK CBAM recognitionListed 27 Aug 2026 as a UK CBAM qualifying carbon pricing scheme, one of 16Ministry of Environment (MOENV) 2026-11-12
UK CBAM first filing and payment deadline31 May 2028Ministry of Environment (MOENV) 2026-11-12
NDC 3.0 targets−28±2% by 2030; −38±2% by 2035Ministry of Environment (MOENV) 2026-11-12
Estimated 2025 net emissions vs 2005−8.7%Ministry of Environment (MOENV) 2026-11-12
Carbon exchange foundersTCX set up by the Taiwan Stock Exchange and the National Development FundTaiwan Carbon Solution Exchange (TCX) 2026-11-12
TCX role in domestic creditsExclusively entrusted by MOENV under Act Art. 36 to run domestic credit tradingTaiwan Carbon Solution Exchange (TCX) 2026-11-12
Trial filing yearApr–Jun 2025 trial filing, no paymentClimate Change Administration (CCA), Ministry of Environment 2026-11-12
Plan deadline for preferential rate in first paymentApply for a voluntary reduction plan by 30 Jun 2025Climate Change Administration (CCA), Ministry of Environment 2026-11-12
First payment windowApr–May 2026, for 2025 emissionsClimate Change Administration (CCA), Ministry of Environment 2026-11-12
High-leakage application deadlineBy 31 January of the payment yearLaws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Worked example: non-leakage plant at general rate100,000 t emitted: (100,000 − 25,000) × 1 × NT$300 = NT$22.5 million (calc from f01, f20, f24)Laws & Regulations Database of the ROC (Ministry of Justice) 2026-11-12
Rate committee meetings by year2024: 6; 2025: 1; 2026: 2 (calc from f57 list plus the 2 Nov 2026 meeting, f55)Climate Change Administration (CCA), Ministry of Environment 2026-11-12
Draft rules for recognising foreign credits pre-announced12 Nov 2026: MOENV pre-announced the draft Foreign Emission Reduction Credit Recognition Rules, under Act Art. 27Ministry of Environment (MOENV), Climate Change Administration 2026-11-12
Who may apply for recognition (draft)3 groups: carbon fee payers, cap-and-trade entities, and bodies designated by the central financial authorityMinistry of Environment (MOENV), Climate Change Administration 2026-11-12
Earliest vintage of recognisable foreign credits (draft)Generated in 2021 or laterMinistry of Environment (MOENV), Climate Change Administration 2026-11-12
Project types excluded (draft)3 excluded: nuclear, controversial logging/forestry projects, measures extending fossil fuel useMinistry of Environment (MOENV), Climate Change Administration 2026-11-12
Host authorisation and corresponding adjustment (draft)Host-country authorisation and a completed corresponding adjustment are requiredMinistry of Environment (MOENV), Climate Change Administration 2026-11-12
Use restriction on recognised credits (draft)Only for statutory obligations (carbon fee deduction or cap-and-trade offset); not for ESG or product carbon-neutral claimsMinistry of Environment (MOENV), Climate Change Administration 2026-11-12
Public comment period on the draft30 days from the day after publication in the Executive Yuan GazetteMinistry of Environment (MOENV), Climate Change Administration 2026-11-12
Disclosure of recognised credits (draft)Project source, type, recognised quantity and cancellation to be published on a government platformMinistry of Environment (MOENV), Climate Change Administration 2026-11-12
Real GDP growth set against emissions, 2015–2025 (MOENV comparison)Real GDP +47.6% over 2015–2025, alongside an 8.7% emissions reductionMinistry of Environment (MOENV) 2026-11-12
Net emissions trend since 2021Net emissions down 4 consecutive years from 2021; average annual fall above 2%Ministry of Environment (MOENV) 2026-11-12
Electricity share of final energy use, 202534.8%Ministry of Environment (MOENV) 2026-11-12
NDC 3.0 implementation programmes20 flagship programmes across 6 sectorsMinistry of Environment (MOENV) 2026-11-12
Questions

Frequently asked questions

How much is Taiwan's carbon fee?

NT$300 per tonne of CO2e at the general rate, from 1 January 2025. Plants that meet the targets of an approved voluntary reduction plan pay NT$100 (rate B) or NT$50 (rate A).

Who has to pay?

Power, gas supply and manufacturing plants whose direct plus electricity-related emissions reach 25,000 tCO2e a year. In the first year that meant 461 plants owned by 240 companies.

How is the fee calculated?

(Annual emissions − 25,000 t) × adjustment coefficient × rate. For a plant emitting 100,000 t at the general rate: 75,000 × NT$300 = NT$22.5 million. High-leakage firms get no 25,000 t deduction but are charged on only 20% of emissions in phase 1.

When is it paid?

By the end of May each year for the previous calendar year. The first payment, for 2025 emissions, was completed in May 2026; the 2026 bill is due by end-May 2027.

Can carbon credits be used?

Yes. Domestic credits can cover up to 10% of chargeable emissions (project credits count 1.2 t each) and MOENV-recognised foreign credits up to 5%, but high-leakage firms cannot use foreign credits.

Will the rate go up?

Not decided. The committee suggested NT$1,200–1,800 per tonne for 2030 onward, with rises every 2 years, but the 2 November 2026 review weighed three options and reached no consensus.

What happens if a plant pays late or under-reports?

Late payment adds 0.5% of the unpaid amount per day, with enforcement after 30 days. Under-reporting is charged at twice the rate, with back-collection for up to 5 years.

Does the UK CBAM recognise Taiwan's carbon fee?

Yes. On 27 August 2026 the UK listed it as one of 16 qualifying carbon pricing schemes. Relief still depends on the effective carbon price actually paid; the first UK CBAM payment is due 31 May 2028.

Gaps

Not listed yet

Items we could not confirm in an official text are left out on purpose.

  • Total carbon fee revenue for 2025 emissions: no official figure found.
  • Actual chargeable emissions in the first year: only the pre-launch 155 Mt (54%) estimate is published.
  • Number of firms recognised as high carbon-leakage, and the dates of each coefficient phase.
  • Date of the next rate review meeting.
  • Total carbon fee revenue collected for 2025 emissions — No official figure found on CCA/MOENV pages checked (only that all 461 plants paid).
  • Actual chargeable emissions in the first year — Not published in the sources opened; only pre-launch 155 Mt / 54% estimate.
  • Date of the next rate review meeting — MOENV says the review continues at the next meeting but gives no date.
  • Number of firms recognised as high carbon-leakage — Only applications were mentioned by a member in Feb 2026 minutes; no official approved count found.
  • Length of each high-leakage coefficient phase — Regulation sets 0.2/0.4/0.6 by phase but no phase dates; Nov 2026 MOENV asks for a phasing plan.
  • Rate Review Committee minutes for 2 Nov 2026 — Not yet posted on the CCA review-status page (list ends 12 Feb 2026); MOENV press release used.
  • English versions on law.moj.gov.tw/Eng and moenv.gov.tw/en — Chinese official texts used; the earlier English MOENV press release returned a bot-check (403) and was not retried.
  • TCX founding date and international credit trading volumes — Not stated on the TCX pages opened.
Record

Sources