Taiwan’s Ministry of Environment plans to pilot a dual-track system in 2026, combining carbon fees with total emissions caps and an emission trading system. (Image: iStock)
Taiwan launched its carbon fee regime this year, with formal collection scheduled to begin in 2026. As part of the Ministry of Environment’s roadmap, a dual-track mechanism combining a carbon fee and an emissions trading system (ETS) is set to be piloted next year.
In an interview with RECCESSARY, Minister of Environment Peng Chi-ming (彭啓明) acknowledged that a carbon fee of TWD 300 per ton is insufficient to trigger large-scale corporate decarbonization or stimulate green finance. Only a market-based carbon pricing mechanism, he said, will unlock green finance.