Taiwan's energy storage market is becoming increasingly risky and difficult to promote. Pictured is the energy storage system installed at the Luyuan Substation, which is Taiwan Power Company's first energy storage project. (Photo: TPE Energy)
Taiwan has recently witnessed a wave of cancellations in energy storage projects. Notable companies like Tung Ho Steel, North Star Petroleum, and Chia Hsin Cement have halted their storage plans within just over a month. What is driving this trend in Taiwan’s storage market?
Taiwan’s energy storage boom stumbles amid supply-demand imbalance
In April 2023, Tung Ho Steel, Taiwan’s largest rebar manufacturer, announced a NT$5.7 billion investment to build a 100 MW energy storage system in Miaoli. However, rising market risks led the company to cancel the project in late July 2024.
The following month, Green Free Energy, a subsidiary of North Star, canceled its NT$3.5 billion energy storage project in Taoyuan, and scrapped its procurement plan for storage equipment from Delta Electronics.