Boosting AI and Wind Power! Kung Ming-hsin Announces Upward Revision of Long-Term Electricity Demand: Annual Growth Rate to Exceed 2.5%

Economic Minister Kung Ming-hsin held a press briefing today (27) ahead of the Ministry of Economic Affairs' regular meeting, addressing key topics including Taiwan's long-term power supply planning, the recent offshore wind turbine fire incident, and the supplementary budget proposals for Taipower and CPC Corporation for fiscal year 2026.

In response to the explosive growth driven by the AI industry, Kung stated that the annual compound growth rate of electricity demand has been revised upward from 1.7% to 2.5%. With the rapid development of the AI sector expected to further increase power consumption, the Ministry of Economic Affairs will prepare based on a higher projection scenario. The revised annual growth rate is anticipated to exceed 2.5%, with details to be announced promptly once finalized. Current power supply capacity remains sufficient to support electricity demand even under the high-projection scenario.

Regarding the recent offshore wind turbine fire, Kung explained that this was the first such incident since over 500 offshore wind turbines have been installed in Taiwan. As the affected turbine was still in the 'testing grid connection' phase, technical adjustments were permitted and expected during this period. Preliminary investigations confirmed the incident was caused by a technical failure in a single unit, with no impact on the operation of other turbines. Damage was limited to the nacelle and blades, preventing further escalation. The Ministry has instructed the Bureau of Energy to continue investigating the root cause.

Finally, on the progress of the supplementary budgets for Taipower and CPC for FY2026, Kung noted that the Ministry has held multiple discussions with the Directorate General of Budget, Accounting and Statistics (DGBAS) and submitted numerical updates. However, the overall timeline still requires cross-agency coordination and respect for DGBAS and other relevant ministries. Supplementary budgets are typically proposed only after the annual budget is approved by the Legislative Yuan, if funding gaps are identified. Should the main budget pass smoothly, the follow-up supplementary budget process will accelerate accordingly.