Developmental and Grid-Parity Analysis of the Photovoltaic Industry of Taiwan

Yenhaw Chen, Eve Hoadley, Chunto Tso, and Yen-Lin Chen


Taiwan’s PV Industry, Grid Parity, Solar Energy, Energy Policies


In recent years, the cost of the fossil energy has continuously increased, and both developed and developing countries have endured pressure to cope with climatic changes. Photovoltaics (PV) is superior to other renewable energy sources and the photovoltaic system is well suited for employment in cities, which consume a great deal of energy, thus permitting autonomous local energy production. Using the base of the semiconductor industry, Taiwan began its photovoltaic engagement in 1998. After twelve years, it established complete supply chains in the PV industry. In 2009 the global capacity of solar cells was 9.34 GWp (up from 6.85 GWp in 2008). Taiwan's solar cell production capacity accounts for 15% of the world’s total, placing it in fourth place among national producers; the total output value of its PV industry is approximately NT$101.1 billion (US$3.4 billion). This paper also presents an analysis of grid-parity that the total levelized cost of photovoltaics would be nearly 3.24 NT$/kWh (11 ¢(US)/kWh) in 2013.

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