Taiwan Considers Reviving Nuclear Generation to Cut LNG Imports

Taiwan's state-owned power company Taipower has submitted a plan to restart the Maanshan nuclear power plant, which was shut down in May 2025. The growing role of natural gas in Taiwan's power system has led to increased dependence on imported liquefied natural gas (LNG). In 2025, LNG deliveries rose by nearly 9% year-on-year to 23.6 million tonnes.

The Asian JKM spot benchmark for gas prices nearly tripled over six months, reaching about $29 per million British thermal units. Rising fuel costs have put financial pressure on Taipower, which reported a pre-tax loss of approximately $810 million for the first half of the year and expects more than $3.8 billion in additional fuel costs in 2026.

Taipower filed an application to extend the operation of Maanshan's reactors by 20 years under amendments to the Act on the Regulation of Nuclear Reactor Facilities adopted in May 2025. The regulator began a substantive review in April and has moved to the final stage of assessment. If approved, bringing back nearly 3.9 GW of nuclear capacity could potentially replace 4-4.5 million tonnes of LNG per year.