Vol. 36
國際海洋資訊
International Ocean Information
Leveraging
Taiwan's Strengths
in Ocean Energy Development

Min-Chieh Chuang
Chairperson, Taiwan Ocean Energy Development Association
Keywords :
Ocean Energy Development, Renewable Energy Transition, Carbon Reduction & Net-Zero Targets, International Cooperation & Market Deployment
Min-Chieh Chuang serves as Chairman of Taiwan Ocean Energy Development Association. He has extensive experience in ocean energy and renewable energy sectors, specializing in ocean energy site development and system integration.
He also serves as manager at Fullen Ocean Energy Technology and Tianrongbao Energy-Saving Technology, dedicated to promoting Taiwan's ocean energy and sustainable energy development.
Section 1.Introduction
Taiwan is surrounded by the sea and endowed with diverse and abundant marine resources. The vast ocean energy lies right at our doorstep—abundant and inexhaustible, and highly promising as a renewable energy option. Its predictability also makes it an ideal balancing partner to wind and solar power, and it is the lowest-carbon energy source across the full lifecycle of power systems (IPCC, 2011).
To enhance carbon reduction efforts, ocean energy should be incorporated into national decarbonization plans, with stronger incentives to accelerate the realization of Taiwan's net-zero targets. Although ocean energy has yet to reach large-scale commercial deployment globally, major technology-leading countries have already begun laying out their positions in the international market. Global target is to achieve 300 GW of installed ocean energy capacity by 2050, including 180 GW from wave energy and 120 GW from tidal energy. It is expected that, in the near future, this will generate substantial economic growth and carbon reduction benefits (Ocean Energy Systems [OES], 2023).
Therefore, Taiwan should leverage its unique marine environment, strong manufacturing base, and advanced R&D capabilities to seize this opportunity through early strategic planning. Domestically, it can help meet the growing demand for renewable energy, stimulate private investment, foster industrial upgrading, and create job opportunities.Internationally, it can strengthen industrial competitiveness, tap into the vast global export market, and promote international cooperation and exchange (Ocean Basic Act, 2019; Ocean Industry Development Act, 2023; Executive Yuan, 2020).
Several companies and research institutions in Taiwan have already entered the demonstration site development and open-sea verification stages . These include the first 100 kW-level wave energy commercial demonstration site, with several megawatt-scale sites expected to be completed before 2030; the world's first megawatt-scale ocean thermal energy conversion (OTEC) plant in Hualien, currently undergoing environmental impact assessment, and expected to be completed before 2028; and in the area ofocean current energy, a 100 kW-level current turbine is about to enter a long-term open-sea testing phase.
However, during this development process, obstacles such as insufficient national policy support and promotion, fragmented maritime regulations managed by different authorities, complicated permitting procedures, and inadequate R&D funding have significantly delayed progress in demonstration site application and investment acquisition (Chuang, 2021a; Chuang, 2023a; Hsu & Shih, 2024; Wang, 2023 Wang, 2024; Chen R., 2023). To accelerate the development of marine energy in Taiwan, cross-ministerial collaboration and public participation are essential (Chuang, 2022).
In addition to outlining the current state of marine energy technology development (National Cheng Kung University, 2021; UAnalyze Industrial Data Center, 2024; Liberty Times, 2021), this paper also summarizes key factors for the successful promotion of marine and other renewable energies worldwide and proposes recommendations aimed at leveraging Taiwan's unique resources to build an internationally competitive marine energy industry and achieve a sustainable energy transition.


Figure 1. The Importance of Ocean Energy
Photo Credit: Taiwan Ocean Energy Association
Figure 2. Potential Sites for Ocean Energy in Research Institute (ITRI)
Photo credit: Green Energy Research Institute, Industrial Technology
Section 2.Types of Marine Energy, Application Sites, and Potential
Marine energy refers to energy generated through oceanic motion processes. According to the Renewable Energy Development Act, marine energy includes wave energy, current (tidal stream) energy, ocean thermal energy, tidal energy, and salinity gradient energy.
The Industrial Technology Research Institute (ITRI) has identified areas with favorable development potential based on various oceanographic and topographic conditions (Figure 2). Among these, wave energy, ocean current energy, and ocean thermal energy have the highest potential and represent the most promising marine energy types for development in Taiwan.
The following introduces the types of marine energy and their current development status in Taiwan:
Wave Energy
Wave energy primarily utilizes the vertical motion of waves or variations in water pressure to generate electricity. Compared to other renewable energy sources, the energy density of wave energy is approximately four times that of wind energy. This means that, for the same volume or surface area, wave energy can produce more electricity than wind energy, making it more advantageous in terms of spatial efficiency.
Due to variations in suitable terrain, water depth, and wave conditions, a wide range of wave energy conversion devices has been developed. Based on operating principles, these devices can be categorized into more than ten types (Figure 3). According to installation location, wave energy systems can be classified into onshore and offshore units. Onshore systems are widely recognized for their high reliability, ease of maintenance, and minimal environmental impact. Offshore systems, depending on water depth and installation methods, can be further divided into surface-mounted and subsea types.
According to previous analysis, the total wave energy around Taiwan is roughly estimated to exceed 100 GW, with more than 25 GW of exploitable potential. The main areas of potential are located in the northeastern region, offshore of Penghu to the Yun-Chang Rise, and offshore of Pingtung. Additionally, several fishing and commercial port areas also have development potential exceeding tens of megawatts.
Ocean Current Energy:
Ocean Current Energy primarily generates electricity by harnessing strong and stable ocean currents such as the Kuroshio Current. Taiwan's eastern waters are traversed by the Kuroshio, the world's second-largest ocean current in the North Pacific. It flows steadily and passes just about 30 km off the coast, making it one of the most favorable areas in the world for ocean current development.
The main stream of the current flows between Taiwan's eastern coast and Green Island, with peak flow speeds reaching 1–1.5 m/s. The total energy is roughly estimated to exceed 100 GW, with over 6 GW considered technically exploitable. If effectively utilized, it could serve as a renewable source of baseload power in Taiwan, enhancing national energy autonomy and security.
Currently, Taiwan's ocean current energy technologies are being developed through research projects led by Academia Sinica and the National Academy of Marine Research under the Ocean Affairs Council. Key power generation technologies have been progressively developed. They are now conducting long-term opensea trials for 100 kW-class devices, while also building the industrial supply chain, marine engineering capabilities, and talent training required for a future commercial ocean current power sector.

Figure 3. Technical Principles of Various Wave Energy Converters
Photo credit: Taiwan Ocean Energy Development Association
Ocean Thermal Energy Conversion (OTEC):
OTEC mainly generates electricity by using warm surface seawater and cold deep seawater to perform heat exchange, converting thermal energy into electrical energy. The greater the temperature difference, the higher the power generation efficiency.
Since the ocean's thermal gradient remains relatively constant year-round, OTEC offers a more stable power generation method compared to solar or wind energy. It can be installed either onshore (land-based systems) or offshore (floating platforms), as shownin Figure 4. Taiwan's eastern waters offer the greatest potential for OTEC development, with an estimated exploitable capacity of about 2.4 GW.
Due to the high cost of deep seawater intake, currently only the Heping Power Plant is in the process of applying for installation. In terms of commercial application models, scholars have proposed combining OTEC with hot springs, deep ocean water, or geothermal development to reduce construction costs.
Tidal Energy:
Tidal energy generates electricity by harnessing the rise and fall of ocean tides to drive turbines. Unlike intermittent energy sources such as solar and wind, tidal energy offers a key advantage—high predictability, allowing for accurate forecasts years in advance.
There are two main methods of tidal energy generation:
【1】Tidal Barrage System:
This method utilizes the rise and fall of the tide—storing water during high tide and releasing it during low tide—to drive turbines and generate electricity.
Tidal barrage is the earliest marine energy technology to reach commercial application. Due to the need for constructing barrages, it involves high costs. As a result, operational tidal power plants around the world are located in areas with tidal ranges of over 10 meters to achieve higher energy output.
Taiwan's Taichung, Kinmen, and Matsu regions have relatively favorable conditions, but the tidal range is only 5 to 6 meters, which has deterred commercial investment.
【2】Tidal Stream System:
Tidal stream system captures the kinetic energy of tidal currents; faster flow speeds result in higher power output. Unlike ocean currents, tidal currents flow in a bidirectional (oscillating) pattern, while ocean currents flow unidirectionally.
Because of the high degree of technical overlap in turbine design, some classify tidal stream energy as a subset of ocean current energy.
Many countries have prioritized tidal stream energy as a key development area. Taiwan has not specifically assessed this potential, so no domestic companies have entered the field, though some international developers have begun exploring possible installation sites in Taiwan.

Figure 4. Schematic of Onshore and Offshore Ocean Thermal Energy Conversion (OTEC) Systems
Photo credit: Ocean Thermal Energy Conversion
Salinity Gradient Energy:
Salinity gradient energy generation harnesses the osmotic pressure difference between seawater and freshwater. It is typically installed near river estuaries. Currently, there are only a few existing cases.

Figure 5. Schematic of a Salinity Gradient Power Plant
Photo credit: Sweetch Energy
Section 3. Global Development Goals and Promotion Strategies:
In 2023, the International Energy Agency – Ocean Energy Systems (IEA-OES) released a global development roadmap for ocean energy toward 2050 (Ocean Energy Systems [OES], 2023), with a goal of reaching 300 GW of installed capacity by 2050, including 180 GW of wave energy and 120 GW of tidal stream energy. This would create 680,000 direct jobs, contribute USD 340 billion in gross value added (GVA), and reduce over 500 million tons of carbon emissions.
The report outlines four strategic pillars for action: market incentives, technology advancement, infrastructure development, and legislative and regulatory frameworks.It specifically highlights that the higher the cost-reduction rate, the sooner commercial viability can be achieved.This would in turn reduce the investment required through market incentive schemes (such as Feed-in Tariffs or Contracts for Difference), as shown in Table 1.

At present, major technology-leading countries have successively proposed long-term strategies for the development of ocean energy, aiming to take the lead in the global market and position ocean energy as the next key energy industry following offshore wind power. Among them, Europe has been the most proactive exemplifying a development model characterized by long-term policies, sustained financial support, and multilateral collaboration.
The European Union is the most active region in the world in promoting ocean energy. Since 2014, it has included ocean energy as a key development objective. Over the past decade, EU member states and the private sector have jointly invested more than €4 billion in ocean energy research and pilot projects. Through long-term policy subsidies and demonstration programs, the EU has consistently supported technological innovation while continuously refining its R&D plans and development strategies related to ocean energy.
A key factor in Europe's global leadership in ocean energy development was the establishment of the European Marine Energy Centre (EMEC) in 2003 in the Orkney Islands of Scotland. EMEC is supported and operated by a wide range of stakeholders, including government bodies, research institutions, utility companies, ocean energy developers, and industry associations. This broad support ensures coordinated progress in technological, policy, and market dimensions, driving the development and commercialization of ocean energy technologies.
Currently, EMEC has become the world's leading testing facility for ocean energy technologies. It also collaborates with other countries to conduct cross-national testing and expand diversified business activities. In addition to offering testing services, EMEC plays a critical role in the commercial development of ocean energy in Europe. Its roles include participating in policy advisory processes, promoting policy frameworks conducive to ocean energy development, providing market research, policy analysis, and commercialization guidance to developers, and assisting with project funding applications and investment sourcing.
Section 4. Concrete Recommendations for Ocean Energy Development
Based on the promotion strategies of ocean energy in Europe, it can be concluded that the development of ocean energy requires long-term support in terms of policies, regulations, funding, and market mechanisms to drive continuous investment and generation of technology, talent, and supply chains, with the goal of achieving large-scale commercialization and deployment, as illustrated in Figure 6.
With discussions above, this analysis consolidates the promotion approaches of ocean energy both domestically and internationally, along with the successful development experiences of other renewable energy sources such as offshore wind, solar, and small hydropower. The study summarizes strategic recommendations spanning from technical feasibility, commercialization, and scaling-up, to alignment with the 2050 global market goals. The recommendations are outlined as follows:
Leveraging Taiwan's Unique Resources
1. Unique Marine Resources
Taiwan is surrounded by vast maritime areas endowed with abundant wave, ocean current, and thermal gradient energy resources. These natural assets provide Taiwan with a unique advantage in developing marine energy.
Taiwan can focus on the development of these specific marine energy technologies and tailor design and application strategies based on regional oceanic conditions.
2. Industrial Base and Technological Innovation
Taiwan's strong manufacturing foundation and advanced technological research capabilities can accelerate the development and commercialization of marine energy equipment. Continuous innovation in marine energy technology should be promoted to enhance Taiwan's competitiveness in the global marine energy sector.

Figure 6. Promotion Strategy from Technical Feasibility to Targeting the 2050 Global Market
Photo credit: Illustration by the Editorial Team
Inter-Ministerial and Public–Private Collaboration
1. Inter-Ministerial Coordination
A. Through the establishment of an inter-ministerial coordination mechanism, a comprehensive longterm policy framework and development plan for ocean energy should be formulated. Ocean energy should be integrated into the national net-zero emissions action plan, encompassing areas such as technological R&D, site development, industry advancement, international market cooperation, talent cultivation, and environmental protection, to ensure the smooth alignment and flow of policies, resources, and support systems.
B. Given the complex web of maritime-related regulationsand the cumbersome permitting procedures,inter-ministerial coordination is needed to streamlineregulatory frameworks. This includes clarifyingapplication processes and spatial jurisdictions tosimplify administrative workflows, reduce timecosts, create an industry-friendly environment, andlower investment risks. In the future, the reviewsystem should be integrated with advanced AItechnologies to establish a one-stop online applicationplatform, thereby improving administrativeefficiency and accelerating development—anapproach that can also apply to other renewableenergy sectors.
A. Establish a dedicated incubation mechanism for the emerging ocean energy industry to support its development "from the ground up." This includes fostering a comprehensive upstream and downstream supply chain, and promoting talent cultivation, thereby ensuring fairness and sustainability in the labor market.
B. Encourage early involvement of the supply chain in the development of ocean energy equipment and technologies, both domestically and internationally, to accelerate cost reduction and facilitate early realization of large-scale commercial applications.
C. Promote the upgrading of manufacturing sectors related to ocean energy to enhance Taiwan's capacity in ocean energy equipment production. The goal is to establish a competitive, localized supply chain that spans technology development, equipment manufacturing, and operations and maintenance, thereby building a comprehensive industrial ecosystem. Local Government and Community Engagement.
3. Local Government and Community Engagement
A. Local governments should provide essential support and resources for ocean energy projects, including site identification, ensuring social acceptance, and overseeing environmental monitoring.
B. Encourage the participation of social enterprises and community-owned power plants by promoting community collaboration, private investment, or local government leadership.
C. Promote microgrid systems tailored for offshore islands, fishing villages, coastal remote areas, and Indigenous coastal communities. These systems can enhance local energy autonomy, improve supply stability, and provide residents with reliable and affordable electricity.
D. Organize public education and outreach initiatives to raise awareness and foster public support for ocean energy, thereby building a broad societal consensus for sustainable energy development.
Financial Collaboration: Providing Market Incentives and Strengthening Public–Private Investment Mechanisms
Most ocean energy technologies are still at a stage where costs and associated risks remain high. Although feed-in tariffs for ocean energy have been introduced to support stable revenue streams, it is not feasible to rely solely on market players to drive development on their own.
Without clear government targets or sufficient market visibility, private investors are unlikely to commit substantial capital to bear the high development costs and uncertain prospects. Therefore, public funding and policy-based subsidies are needed to boost investor confidence, in order to attract both domestic and international investment across all stages—from R&D to commercial deployment.
Section 5. Conclusion
Taiwan possesses abundant ocean resources and geographical advantages, and ocean energy, as a key component of renewable energy, will play a vital role in energy transition and carbon reduction goal. To achieve long-term development in the field of ocean energy ,it is essential to establish cross-ministerial collaboration and promote active societal engagement.
Resources from local governments, civil society, research institutions, and private enterprises must be integrated, to leverage Taiwan's unique model of ocean energy development and expand into the global market.
References
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