Taiwan Cabinet Approves Energy Law Amendments Targeting Storage at AI Data Centers and Other Major Users

Rapid growth in electricity demand from AI data centers and semiconductor plants is putting pressure on power-supply stability and peak-load management. Taiwan’s Executive Yuan is therefore pursuing amendments to the Energy Administration Act that would regulate major users above a specified contracted-capacity threshold. Those users would be required to install power-generation and energy-storage equipment for their own use, strengthening corporate energy resilience and improving grid efficiency.

As of July 20, 2026, the Executive Yuan had approved the draft amendments, which will next be submitted to the Legislative Yuan for review. The bill authorizes the competent authority to set the applicable threshold based on contracted capacity, potentially covering both AI data centers and semiconductor companies. The capacity threshold, required investment, equipment ratio and formal implementation date have not yet been announced.