Supporting Taiwan’s renewable energy transition

Solar energy has grown rapidly, driven by government incentives and subsidies for rooftop installations and large-scale solar farms. However, energy storage is still in its early stages, with efforts underway to modernise the grid and develop storage solutions for renewable energy variability.

Offshore wind has emerged as a linchpin of Taiwan's renewable energy strategy, establishing the nation as a leader in Asia’s offshore wind market outside China.

Several large-scale projects are under development, although challenges such as rising supply chain costs and strict local content requirements have prompted some developers to explore opportunities in Korea. In response, the government is revisiting its local content policies and is set to release the Zonal 3.3 tender in early 2025, potentially opening the market to more international developers.

“The expansion of the green energy sector is expected to drive economic growth, create new jobs, and foster innovation in related technologies,” Kenny says. “The National Development Council estimates Taiwan’s net-zero transition will generate around 551,000 jobs and spur the growth of supply chains for solar power, wind power, electric vehicles, and energy storage systems.”

Challenges
Despite Taiwan’s achievements, its net-zero journey faces challenges. Offshore wind projects, for example, are lagging behind the government’s 2025 targets.

With global tech giants like Google and NVIDIA planning to establish data centers in Taiwan, the demand for green energy will only increase. Boosting renewable energy capacity is essential to support the nation’s growing reputation as an AI and data hub.

Offshore wind offers a reliable energy source during peak demand, with fossil fuels serving as a backup during low wind periods.

Environmental assessments to protect marine ecosystems are crucial, but they can delay timelines and increase costs. Taiwan’s geography, frequent typhoons and rough seas add additional risks to construction and operations.

A lack of local expertise in offshore wind technology poses a major barrier, so workforce development is critical to reduce reliance on foreign talent. Securing funding for large-scale offshore projects is another challenge, as the developing market and perceived risks often deter investors. Supply chain disruptions further impact projects, with delays and costs arising from dependence on international suppliers. On the other hand, relying on local suppliers poses its own difficulties due to the technological immaturity of domestic capabilities.

"For GAC Taiwan, these challenges represent an opportunity to drive meaningful change,” says Kenny. "As a key player in the logistics and maritime industries, we have positioned ourselves as a trusted partner for companies navigating Taiwan’s evolving energy sector. With tailored solutions and a strategic presence as key ports, we’re helping businesses to realise the potential of Taiwan’s renewable energy market."

Key supporting role
GAC Taiwan has established itself as a vital partner in Taiwan’s renewable energy transition. By providing tailored logistics and operational solutions, it ensures developers and stakeholders can overcome regulatory, infrastructural, and logistical challenges.

GAC’s strategic presence at Taichung port facilitates efficient coordination of offshore wind operations, while its expertise in local maritime regulations minimises delays and ensures smooth execution.

GAC Taiwan provided comprehensive general agency and logistics services, including managing the transportation of equipment and materials, coordinating with various stakeholders, and ensuring timely delivery. Its proactive planning and effective communication ensured smooth and efficient execution.

“As the primary vessel and general service agent for developers and EPC customers in Taiwan’s offshore wind market, we draw on our integrated service and expertise to support the growing industry,” Kenny adds. “This includes managing port calls, providing logistics solutions, and ensuring smooth supply chain operations.”

Through these solutions, GAC Taiwan is committed to driving the success of energy projects in the country.

Staying competitive
As Taiwan continues its energy transformation, GAC Taiwan is focused to staying ahead of industry trends and adapting to the evolving needs of its clients. As a pioneer in the offshore wind sector, the company’s strategy to keep its competitive edge revolves around its reputation, expertise and operational excellence.

"The trust we’ve built with clients and our proven track record are valuable assets," says Kenny. “Protecting and enhancing these strengths is central to GAC Taiwan’s continued success in this rapidly growing market.”

GAC Taiwan is expanding its operations and maintenance (O&M) capabilities to support offshore wind farms which require 20-30 years of maintenance. It is also exploring investments in storage facilities, warehouses and equipment for long-term maintenance operations. By strengthening its O&M support, GAC will be able to support clients through the full lifecycle of wind farm projects and draw on the Group’s global offshore expertise and experience to expand its consultancy services, targeting new entrants to the Taiwan market.

Collaboration
GAC Taiwan plans to partner with local and international firms and research institutions to share resources, foster innovation, and broaden its reach. The company is also exploring opportunities in renewable energy segments such as solar, hydrogen, and biomass, ensuring it can diverse client needs and stay competitive in a rapidly evolving industry.

“With our strategic focus and dedication to excellence, GAC Taiwan is well-positioned to support Taiwan’s energy transformation while maintaining its leadership in the offshore wind and renewable energy sectors,” Kenny concludes.