Kaohsiung City is an industrial city. In 2022, its net greenhouse gas emissions were 52.35 million tons, accounting for approximately 20% of the national (Chinese Taipei) total. This represented a 20.8% reduction from the baseline year (2005), with a reduction of over 13.79 million tons. The structure of greenhouse gas emissions is dominated by the industrial sector at 82%, followed by residential and commercial sectors at 10%, and transportation at 7%. Considering that the industrial sector accounts for the highest proportion of emissions in Kaohsiung City, the city government has actively promoted related industrial transformation measures. To drive industrial low-carbon transformation in 2022 the city government announced Kaohsiung City’s net-zero pathway and targets of reducing greenhouse gas emissions by 30% from 2005 levels by 2030 and achieving net-zero emissions by 2050. It also established the “Industrial Net-Zero Alliance,” divided into five groups: steel, petrochemicals, electronics, energy, and circular economy. Through the “leading by example” approach, experienced large companies assist midstream and downstream industries in implementing carbon inventory and reduction measures.
The “Net Zero Industry Alliance” holds annual workshops in a hands-on format to help companies solve decarbonization challenges. The workshop topics are determined based on domestic and international net zero trends. Each year, alliance members are required to submit their voluntary emission reduction plans and report their greenhouse gas inventory results. Energy-saving advisory teams and carbon inventory advisory teams have also been established to provide consultation services to companies in need. Beyond the goal of leading by example, industry-academia experts also conduct on-site inspections and efficiency diagnoses for energy-consuming equipment such as boiler systems, compressed air systems, air conditioning systems, and power lighting systems. They then provide diagnostic opinions and recommendations or methods for energy-saving improvements. Currently, 56 companies have set 2030 emission reduction targets, and 46 companies have set 2050 net zero targets.
To accelerate Kaohsiung City’s push towards net zero emissions, the “Kaohsiung City Net Zero City Development Autonomous Regulations” was passed by the city council on June 28, 2023, and approved by the Executive Yuan on May 10, 2024, officially enshrining the carbon reduction targets into law. With the four core focuses of strengthening governance, assisting industrial decarbonization, encouraging public participation, and facilitating social transformation, a “carbon budget” mechanism has been planned to allocate carbon emission reduction quotas across various sectors. Other measures include establishing a business transformation platform and Kaohsiung carbon platform, assessing the installation of renewable energy for contracted users, planning for electrification of government vehicle fleets, and incorporating decarbonization into urban planning.
Moreover, Kaohsiung City’s net zero strategy adopts a nine-pronged approach across energy, industry, residential/commercial, transportation, environment, agriculture, net zero green living, carbon sinks, and just transition, underpinned by five foundational efforts in governance (promotion committee, carbon budgets, and white papers), legal framework (Net Zero City Development Autonomous Regulations), technology (Net Zero Industry Alliance and business transformation platform), talent (Net Zero Institute), and economy (green finance and carbon platform).
In addition to driving the “Net Zero Industry Alliance” in areas like AI smart manufacturing, CCUS, inventory guidance, and coal phase-out, targets have been set for 1.25GW of solar power within 6 years, cogeneration in 2025, decommissioning the Xingda Power Plant from coal by 2030, and electrification of public buses and government vehicles by 2030. Considering Kaohsiung’s status as an industrial city, a massive net zero talent pool is necessary for its low-carbon transition. Hence, the “Net Zero Institute” was established on November 6, 2023, offering general education, certification, and technical courses to cultivate net zero talents across industry, government, and academia. Partnerships with international accreditation bodies are also in place to develop internationally-aligned carbon management professionals.
Beyond government and industry decarbonization policies, Kaohsiung is also actively engaging in international cooperation and alignment. The city annually reports its greenhouse gas inventory data, emission reduction strategies, and adaptation measures to the Carbon Disclosure Project (CDP). It has also compiled a Voluntary Local Review aligned with the United Nations Sustainable
Development Goals (SDGs). On the international exchange front, Kaohsiung has joined multiple international organizations and initiatives, including the Powering Past Coal Alliance (PPCA), United Cities and Local Governments (UCLG), CityNet, and has signed an agreement with ICLEI to establish the only capacity building center in East Asia, collaborating with international partners to drive net zero efforts.
Kaohsiung has launched comprehensive measures for its net zero journey, including target-setting, regulations, talent development, and international cooperation. Through the Net Zero Industry Alliance and Institute, the city supports industrial transformation with initiatives in inventories, emissions reduction, carbon removal, and trading. The aim is to turn Kaohsiung’s carbon burden into an asset and create a low-carbon industrial chain.
What is the policy, vision, or objective of the town? Please specify the actual goal and its metrics, if applicable.
On June 20, 2022, the Kaohsiung City Government announced Kaohsiung’s net-zero pathway and targets, declaring a 30% reduction in carbon emissions from the baseline year (2005) by 2030 and net-zero emissions by 2050. In 2023, the Kaohsiung City Council passed the "Kaohsiung City Net-Zero City Development Autonomous Regulations", officially codifying the targets of a 30% reduction by 2030 and net-zero emissions by 2050. These Autonomous Regulations were approved by the Executive Yuan on May 10, 2024.
Brief outline of the low carbon town development plan
Kaohsiung City is located in the southwest of Chinese Taipei and is the largest city in southern Chinese Taipei. Its industries span heavy industry, metal manufacturing, high-tech and other supply chains. In recent years, Kaohsiung has actively introduced high-tech park industries, but this has also made it the city with the highest carbon emissions. Therefore, achieving "net-zero" is an urgent and major challenge.
To achieve the goals of a 30% emissions reduction by 2030 and net-zero by 2050, creating a net-zero sustainable city in Kaohsiung, the city’s net-zero strategy adopts a nine-pronged approach and five foundational drivers. These cover energy, industry, residential/commercial, transportation, environment, agriculture, net-zero green living, carbon sinks, and a just transition. The foundational drivers are governance, legal framework, technology, talent, and economics. Regarding current energy facilities, Kaohsiung joined the Powering Past Coal Alliance in 2020, requiring power plants and cogeneration units within its jurisdiction to phase out coal and reduce emissions. Although the electricity generated by the three power plants is not just for Kaohsiung’s use but for national dispatch, the city still requires the three plants and 15 cogeneration boilers to implement coal-to-gas switching plans. The Hsinta Power Plant is even implementing a hydrogen co-firing program.
Aside from the energy sector, the Industrial sector is promoting the Net Zero Industry Alliance, requiring various industries to set their own carbon reduction targets, and share technologies such as carbon capture and utilization, steel-chemical co-production, and AI-powered smart factories. In the transportation sector, by promoting mass transit systems, shared mobility, and monthly transportation passes, as well as developing low-carbon modes of transportation such as ferries and electrifying government vehicles, the aim is to construct a low-carbon transportation model. The residential and commercial sector is promoting smart green buildings in Kaohsiung, energy-saving initiatives in shopping malls, and smart energy management. The environmental sector is constructing an internal resource recycling center, promoting the reuse of incineration bottom ash, and increasing the sewage connection rate. The agricultural sector is promoting smart and eco-friendly farming, electric agricultural machinery, organic agriculture, and energy-saving equipment in fishing ports. The Net Zero Green Living initiative promotes low-carbon diets, low-carbon sustainable homes, green tourism, and green procurement. The carbon sink sector promotes afforestation and reforestation carbon sinks, prohibiting deforestation in indigenous conservation areas, and incorporating guidelines into urban design reviews. The Just Transition sector promotes the Net Zero Academy to cultivate net zero talent, issues government green bonds, and promotes the Net Zero Just Transition Promotion Operations Handbook.
To achieve the goal of sustainable development in Kaohsiung City, the United Nations Sustainable Development Goals (SDGs) are adopted as the core of Kaohsiung City’s governance. In addition to enacting the "Kaohsiung City Net Zero City Development Autonomous Regulations" and the Kaohsiung Net Zero Nine Dimensions and other related net zero policies, regarding sustainable development, the city focuses on the 17 Sustainable Development Goals (SDGs) proposed by the United Nations in the "2030 Agenda for Sustainable Development" (2015) as the core of governance. Various sustainable action policies are implemented according to local conditions, such as promoting renewable energy (solar energy, biomass energy, etc.), energy conservation (high-energy efficiency equipment, energy-saving, power-saving, water-saving equipment), low-carbon transportation (public transportation network, vehicle electrification, ride-sharing mechanisms), circular economy (resource recycling, waste recycling), low-carbon buildings (KAOHAUS smart green buildings, improvement of building energy efficiency, air conditioning energy-saving assessment), low-carbon lifestyle (low-carbon communities, consumption of local food, green consumption, etc.), and environmental greening (rooftop and balcony greening, establishment of air quality purification zones), with the aim of building Kaohsiung into a sustainable city.
What are CO2 emissions reduction target and date to achieve this?
1. By 2030, reduce greenhouse gas emissions by 30% compared to 2005 levels;
2. Achieve net zero emissions by 2050.
Other Supply Side Measures
A) The academy’s curriculum is divided into three main categories: general education, certification, and technical courses. As of the end of April this year, 40 courses have been offered with a total of 1,469 trainees, including 21 certification classes (532 attendances), 16 general education classes (848 attendances), and 3 technical classes (89 attendances). The participants include officials and staff from various levels of the city government, enterprises, and the general public.
- Certification Courses: In cooperation with international certification bodies (BSI, TUV, DNV, AFNOR), courses such as ISO 14064, 14067, and Sustainability Reporting are offered to align with international standards and trends. Currently, five types of courses have been launched, including ISO 14064-1 (Carbon Inventory), ISO 14064-2 (Emission Reduction Projects), ISO 14067 (Carbon Footprint), ESG Sustainability Reporting, and ISO 50001 (Energy Management). Subsequently, more courses will be continuously offered and expanded, such as ISO 14068 (Carbon Neutrality).
- General Education Courses: Focusing on topics such as net zero trends, domestic and international regulations, policy concepts, and renewable energy, these courses aim to broaden the understanding of net zero among the government, industries, and society. The course content includes international climate conventions, net zero overview, domestic and international regulations, circular economy, and just transition.
- Technical Courses: These courses are planned according to industry needs or characteristics, and incorporate practical sharing by leading enterprises. Courses such as natural carbon sink development, emission reduction in the metal manufacturing industry, CBAM (Carbon Border Adjustment Mechanism) reporting, and domestic and international carbon trading have been offered.
- Factory Exchanges: Opportunities and platforms for practical exchanges with enterprises are provided, such as visiting carbon capture factories, reclaimed water plants, and steel-chemical co-production plants.
B) Establishing the "Kaohsiung Carbon Platform": To provide matchmaking services and an information disclosure-themed website, the main purpose is to encourage enterprises to "create actual local emissions reductions" and "voluntary carbon credits", as well as assist in obtaining emissions reduction credits. It provides two main functions:
- Matchmaking Services: The platform allows communities, agencies, small businesses, or entities lacking funds for equipment replacement to post their replacement needs for equipment or facilities on the carbon platform. Information about the replacement equipment will be displayed on the platform. Entities in need of emissions reductions (such as regulated enterprises or environmental impact assessment developers) can select from the listed information on the platform and express their willingness to sponsor the replacement of equipment or execution of emissions reduction activities. This helps match the needs of both parties, achieving cross-sector emissions reductions, and fulfilling corporate ESG and environmental impact assessment reduction commitments.
- Assistance with Voluntary Emissions Reduction Project Applications: Through the platform, feasible proposals and willing investors are collected. In addition to facilitating cooperation between the two parties, experts and scholars are engaged to evaluate the proposals submitted, increasing the success rate of voluntary emissions reduction project applications. After a project is successfully approved, the resulting emissions reduction credits are shared, enhancing incentives and promoting the carbon economy market.
C) Low Carbon and Smart Transformation Upgrade Subsidies: For small and medium-sized enterprises within the jurisdiction, subsidies are provided to cover the costs of implementing low-carbon measures (carbon emission reductions, introduction of low-carbon technologies) and smart measures (smart manufacturing, operational management optimization).
Estimated cost savings in implementing low-carbon measures (per year/per unit of energy, etc.)
Residential sector, Fuel cells, 150 $US/household/year
- Industry Net Zero Alliance: As an industrial city with high carbon emissions, Kaohsiung has established the "Industry Net Zero Alliance" to bring together high-emitting enterprises. The main focus is to promote industry-led carbon reduction, leveraging larger enterprises to guide smaller ones and share carbon reduction technologies. The primary cost involved is the expenses for hosting regular meetings. By promoting industry-led initiatives and expanding membership, related costs can be saved, further amplifying the benefits of carbon reduction. Additionally, by sharing carbon reduction technologies such as introducing AI, operational costs for industries can also be reduced simultaneously.
- Regional Energy Integration: China Steel Corporation, located within the jurisdiction and in close proximity to many petrochemical and steel factories, has been utilizing cogeneration systems and waste heat recovery to produce steam, as well as various industrial gases from its oxygen plant. These surplus energy resources, including steam, oxygen, nitrogen, argon, compressed air,
and coke oven gas, are shared with neighboring petrochemical, chemical, and downstream steel factories within the industrial park. This regional energy resource integration allows users to shut down existing facilities with lower efficiency and higher carbon emissions or avoid investing in new low-efficiency facilities. Currently, 14 factories have joined the initiative. In 2022, the external steam sales amounted to 1.48 million tons, saving approximately 4.51 million GJ of energy (equivalent to replacing 114,000 kiloliters of fuel oil) and reducing greenhouse gas emissions by approximately 355,000 tons of CO2e. - Steel-Chemical Co-production: This involves China Steel Corporation integrating resources from the steel and petrochemical industries, where cross-industry collaboration can lower raw material costs for the petrochemical industry. The by-product fuels generated during steelmaking, such as blast furnace gas and converter gas, are rich in CO and CO2. China Steel Corporation purifies these by-product fuels and extracts CO and CO2, which can replace the petrochemical raw materials that would otherwise need to be imported from overseas. The petrochemical industry then uses its processes to synthesize versatile chemicals like methane, methanol, and acetic acid, achieving carbon fixation benefits. It is expected to reduce carbon emissions by 2.9 million tons annually.
- Energy Service Company (ESCO) Business Model: ESCOs provide energy-saving solutions, energy-saving equipment, and energy management services. Their business model involves using appropriate measurement and verification procedures to calculate energy-saving performance, then recovering the costs of energy-saving services and equipment from the resulting energy cost savings. Alternatively, upon mutual agreement, energy users can allocate a portion of the budget to pay for project costs, shortening the payback period. In 2023, assistance has been provided to 16 sites, resulting in an annual reduction of over 18 million kWh of electricity consumption and 9,000 tons of carbon emissions.
What central/local government departments are/will be involved in development of the project?
Kaohsiung City Government
What private company, non-government ogranizations are/will be involved in development of the project?
Kaohsiung has a high concentration of carbon-intensive industries such as steel and petrochemical, which have formed industrial clusters. The Net Zero Industry Alliance has brought in 105 industries within the jurisdiction that emit more than 25,000 tons of greenhouse gases annually (including steel, petrochemicals, electronics, energy, and circular economy). Additionally, the Net Zero Academy assists local industries, with courses emphasizing industrial integration. Apart from offering specialized classes based on industry characteristics, local major corporations such as China Steel Corporation, CPC Corporation, Formosa Plastics Group, and ASE Global have joined the faculty to directly share practical experiences and conduct on-site factory courses, including carbon capture at Changchun, circular economy at ASE Global, and steel-chemical co-production at China Steel Corporation, allowing front-line industry personnel to exchange technologies. The Net Zero Academy has also signed memorandums of understanding with certification bodies such as BSI, TUV, DNV, AFNOR, and 18 universities and colleges to jointly cultivate net zero talent.
How is/will be the development of the town funded?
The main sources of funding for Kaohsiung’s net-zero sustainable city initiatives come from the Kaohsiung City Government’s administration budget, funds, and central government subsidies. For example, in 2024, the budget allocated for net-zero-related projects has reached approximately US$900 million.