Taiwan Reverses Nuclear Phase-out as AI Drives Electricity Demand

Maanshan plant restart approved; public referendum on nuclear-free policy set for November

By LineZotpaper
Published
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Taiwan's government is preparing to reverse a decade-long phase-out of nuclear power, with the Nuclear Safety Commission approving a review for the restart of the Maanshan Nuclear Power Plant. The shift, driven by surging electricity demand from the island's semiconductor and artificial intelligence sectors, could see the plant resume generation as early as 2028.

After a decade of phasing out nuclear power in favour of natural gas and renewables, Taiwan's government is reversing course. The Nuclear Safety Commission has completed its review of plans to restart a reactor at the Maanshan Nuclear Power Plant, which was shut down in May 2025. According to Taiwan's Central News Agency, the plant could resume power generation as early as 2028.

Experts attribute the change in public sentiment to surging electricity demand from the nation's semiconductor and artificial intelligence industries. Zhi Hao Hong, a 34-year-old local, supports the move, stating there are "more pros than cons," and noting that factories opening one after another put increasing demand on the power supply.

Tsung-Kuang Yeh, dean of the College of Nuclear Science at National Tsing Hua University, told the ABC that the shift in public mood stems from energy security concerns, heightened by power outages. "We need [a] stable electricity supply for the future, not just for daily living, but also for the local industry development here," he said.

The legacy of Japan's Fukushima disaster in 2011 hung over Taiwan's nuclear debate for years. Flora Hung-Baesecke, a senior lecturer at the University of Technology Sydney who grew up in Taiwan, recalled how amplified media coverage made the risks feel more immediate. Now, she believes more people recognise Taiwan's heavy reliance on imported fuel as a key vulnerability.

In a referendum on the plant's reopening, roughly 4.3 million people voted in favour compared to 1.5 million against. However, the low overall turnout led the Central Election Commission to reject the result. A second referendum is scheduled for November, asking whether the government should formally abolish its "Nuclear-Free Homeland" policy.

Critics caution that the Maanshan plant is too small to meaningfully address an AI-driven power boom, and that longstanding concerns over radioactive waste storage and accident risk in a seismically active area remain unresolved.

Taiwan imports about 96 per cent of its total energy supply. For electricity generation specifically, liquefied natural gas supplies about 47 per cent.

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Analysis

Why This Matters

  • AI growth is directly reversing long-term energy policy decisions, a trend visible in multiple economies.
  • Taiwan's choice shows the hard trade-off between decarbonisation, energy independence, and safety.
  • The outcome could influence debates in Japan, South Korea, and elsewhere about nuclear power as an AI enabler.

Background

Taiwan phased out nuclear power after the 2011 Fukushima disaster, driven by safety fears in a seismically active region. Reactors were gradually taken offline, including Maanshan in May 2025. However, rapid growth in AI and semiconductor manufacturing has created an energy crunch that renewables and imported gas may not fill alone. Taiwan relies on imports for 96% of its total energy, making it highly exposed to global price shocks.

Key Perspectives

[Taiwan's Government and Industry Proponents]: Argue nuclear is essential for stable, low-carbon baseload power to keep AI and chip sectors competitive. [Environmental and Safety Critics]: Warn that Maanshan is too small to meet AI demand, while risks from earthquakes, accidents, and waste disposal remain. [The Public]: Post-Fukushima fear has given way to energy security anxiety. The 2025 referendum showed majority support for restart, but low turnout voided it. The November vote will be a stronger mandate.

What to Watch

  • The November referendum on abolishing the "Nuclear-Free Homeland" policy.
  • If the Maanshan restart (target 2028) proceeds and whether other plants follow.
  • Taiwan's LNG import and renewable energy trends as a proxy for the policy impact.

Sources

Zotpaper

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