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Data centers in Taiwan face power supply challenges

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桃園以北不再核供5MW以上資料中心用電

Taiwan's power grid is under scrutiny as no more electricity is approved for data centres above 5 MW north of Taoyuan. (Photo: iStock)

As international companies increasingly establish artificial intelligence (AI) and cloud data centers in Taiwan, concerns are rising over the country’s power supply. Following a series of recent power outages, Taiwan Power Company (Taipower) delivered a shocking announcement in early August: it would no longer supply over 5 megawatts (MW) of electricity to data centers north of Taoyuan. With the shutdown of the No. 1 reactor at the Third Nuclear Power Plant in July, the scrutiny on Taiwan's electricity capacity and transmission has intensified, raising questions about the future of the power supply.

The 5 MW threshold equates to the electricity consumption of approximately 3,500 households. Taipower is encouraging data centers to relocate to central and southern Taiwan, where the power supply is more stable.

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