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Chapter 1 General Provisions
Article 1
This Act is enacted for the purpose of developing effectively managing the national
electric power resources, regulating electricity supply, facilitating the transformation
of energy production, reducing the carbon emission, promoting the supply
diversification of the electricity industry, fair competition and reasonable business
practice, protecting the interest of the users, and improving the welfare of the society,
so as to fulfill the goal of sustainable development of the country.
Article 2 Definitions
Definitions of terms used in the Act:
1. “Electricity Enterprise” means the corporations involved in the electric power
generation, transmission and distribution, and retailing as sanctioned in this Act.
2. “Electricity Generating Enterprise” means a non-public utility that operates
major power generation equipment and engages in the generating and selling of
electricity, including the renewable-energy-based electricity generating enterprise.
3. “Renewable-Energy-Based Electricity Generating Enterprise” means an electricity
generating enterprise that operates power generation equipment based on renewable
energy sources, as prescribed in Article 3 of the Renewable Energy Development Act,
and engages in selling electricity.
4. “Electricity Transmission and Distribution Enterprise” means a public utility that
installs the power grids all over the country to wheel the electric power.
5. “Electricity Retailing Enterprise” means electricity retailing utility corporations and
renewable-energy-based electricity retailing corporations.
6. “Electricity Retailing Utility Enterprise” means a public utility that purchases
electricity for the purpose of reselling it to the users.
7. “Renewable-Energy-Based Electricity Retailing Enterprise” means a non-public
utility that purchases electricity generated from renewable energy for the purpose of
reselling it to the users.
8. “Electricity Facilities” means the infrastructure required for the generation,
transmission and distribution of electricity.
9. “Major Power Generation Equipment” means a motor, a power generator or
other required infrastructure for energy conversion.
10. “Self-Use Power Generation Equipment” means the major power generating
facilities installed by enterprises other than the electricity corporations, groups or
individuals (natural persons) to generate power for private use.
11. “Renewable Energy” means the renewable energy as prescribed in Article 3 of
the Renewable Energy Development Act or power generated from sustainable sources
as approved and recognized by the central competent authority.
12. “User’s Electricity Device” means any conduits, transformers, switches and other
equipment installed by users for the conveyance of electricity.
13. “Renewable-Energy-Based Power Generation Equipment” means the power
generating infrastructure approved with official licenses issued by the central
competent authority as prescribed in Article 3 of the Renewable Energy Development
Act.
14. “Power Grid” means the whole or a part of a system, consisting of a set of
conduits, supporting equipment and transformer facilities, that distributes electricity
by connecting the breakpoint between the primary power-generating infrastructure
and the electricity transmission and distribution corporations to the users.
15. “Power Line” means the whole or a part of a system, consisted of a set of conduits,
support equipment and transformer facilities that connect the primary power-generating
infrastructure to the breakpoint of electricity transmission and distribution corporations
or users of the electricity generated by the former.
16. “Network” means the power grids and power lines installed pursuant to the Act.
17. “User” means the end user of the electricity other than the electricity enterprises.
18. “Contract Electric Appliance Installer” means the corporation that provides
installation services for systems relating to the electricity facilities and user’s
electricity devices.
19. “Power Facility Inspection and Maintenance Administration” means the
corporation that provides the inspection and maintenance services for user’s
electricity devices.
20. “Demand Response” means the changes in the power consumption in
response to conditions of the power supply systems.
21. “Ancillary Service” means the measures taken to facilitate the transmission
of electricity and to ensure the safety and stability of the power supply systems.
22. “Electricity Carbon Emission Factor” means the amount of the carbon dioxide
emission per unit of electricity generated.
23. “Direct Supply” means that a renewable-energy-based electricity generating
corporation installs power lines connecting directly to the users and thereby
supplying power.
24. “Wheeling” means that an electricity transmission and distribution corporation
installs power grids to transmit and distribute electricity.
Article 3
The competent authorities referred to in this Act are the Ministry of Economic
Affairs at the central level, and the Municipal Governments at the municipal level,
and the County (City) Government at the county (city) level.
The central competent authority has the following duties:
1. To analyze, to draft, and to implement electricity supplier policies;
2. To supervise and to manage the electricity construction safety and electricity
facilities in the country;
3. To draft the regulations governing electric power techniques;
4. To supervise and to manage the electricity facilities;
5. To announce the percentage allocation of compensation to facilitate the
development of electric power;
6. To draft, to approve, and to manage the pricing of electricity and other fees
and charges as well as the calculation formulae thereof;
7. To supervise and to manage other matters relating to the electric power
techniques and safety thereof.
Competent authorities at the level of Municipal Governments or County (City)
governments have the following duties:
1. To forward the building and expansion applications of the electricity enterprise
and the electricity enterprise licenses applications;
2. To assist in the inspection of the user’s electricity device;
3. To cope with the disputes arising out of the land use between the electricity
enterprise and the general public;
4. To supervise and to manage the electric power engineering industry, electrical
technicians, and the power-use location.
The central competent authority shall designate the electricity industry regulatory
authority to deal with the following matters:
1. To supervise and to manage the electricity enterprise and electric power market;
2. To permit and to approve the building and expansion applications of the electricity
enterprise and the electricity enterprise licenses applications;
3. To forecast and to plan the matters pertaining to the electric power supply and
demand;
4. To supervise and to manage the electricity carbon emission factor of the
Electricity Retailing Utility Enterprise;
5. To supervise and to manage the users’ rights and interests of access and use of
electricity;
6. To supervise and to manage the dispatch of electricity;
7. To mediate the disputes arising between the electricity enterprises or between
the enterprises and the users;
8. To mediate the disputes involving the Electricity Retailing Enterprises or
installations of the Renewable-Energy-Based Power Generation Equipment.
The electricity industry regulatory authority manages and supervises the
incorporation, merger, restructuring and revocation of a government-owned
electricity enterprise as well as the employment and discharge of important
personnel of the corporation.
The central competent authority carries out the responsibilities prescribed in
the two preceding paragraphs before the said authority designates an electricity
industry regulatory authority.
The central competent authority may invite the government agencies, scholars
and experts and the related civil organizations to form the Electricity Reliability
Commission and the Electricity Industry Mediation Commission to carry out
the responsibilities described in Paragraph 4 Subparagraphs 6 to 8 of this Article.
Article 4
An Electricity Enterprise is required to be a company limited by shares according
to the Company Act. However, the organizational structure required by a
Renewable-Energy-Based Electricity Generating Enterprise is to be announced
by the electricity industry regulatory authority.
An Electricity Enterprise incorporated in the form of a company limited by shares
with a certain scale requires independent directors. The number of independent
directors shall be no less than two as well as one-fifth of the directorships.
The certain scale, qualifications and conditions of an independent director, as
prescribed in the preceding paragraphs of this Article, as well as other requirements
associated with the said matters are subject to the future announcement by the
electricity industry regulatory authority.
Article 5
The Electricity Transmission and Distribution Enterprise shall be a state-owned
corporation and no more than one. The scope of its business operation covers the
entire country.
An Electricity Generating Enterprise that generates power with nuclear power
plants or a hydroelectricity generating corporation whose capacity exceeds 20,000
kilowatts is required to be a public corporation unless the electricity industry
regulatory authority approves otherwise.
The “public corporation” as prescribed in the preceding paragraph refers to a
corporation fully funded by the government or a joint venture between the
government and the private sector with the government’s share of investment
exceeding more than 50% of the total capital. An enterprise receiving investment
from a corporation, which is reinvested by public corporation with more than 50%
of the total share, is also considered a public corporation.
Article 6
The Electricity Transmission and Distribution Enterprise may not engage in
the generation or retailing of electricity. Cross holdings of shares of the Electricity
Generation and Retailing Enterprises is prohibited. The engaging restriction
however does not apply when the electricity industry regulatory authority
approves otherwise. In such circumstance, the Electricity Transmission and
Distribution Enterprise may run the Electricity Retailing Utility Enterprise
concurrently.
An Electricity Transmission and Distribution Enterprise may engage in business
pursuits other than those in the electricity industry on the condition that the said
business pursuits neither affect the operation as an Electricity Transmission and
Distribution Enterprise nor compromise the maintenance of fair competition, and
with the approval by the electricity industry regulatory authority.
An Electricity Transmission and Distribution Enterprise shall establish a separating
accounting system for the losses and profits of the respective businesses. Cross
subsidization is prohibited.
The electricity industry regulatory authority shall establish the accounting separation
system, accounting method, procedures and principles, guidelines for supervision and
management of accounting practices and other related matters.
To achieve the goal of steady supply of electricity, Taipower Company will be
divided into an Electricity Generating Enterprise and an Electricity Transmission
and Distribution Enterprise, and transform into a parent holding company that sets
up Electricity Generating Enterprise and Electricity Transmission and Distribution
Enterprise as subsidiaries.
The first paragraph of this Article is effective in six years after the amended articles
of the Act were promulgated on January 11, 2017. However, the electricity industry
regulatory authority may submit to the Executive Yuan a request for a postponement
of the effect date based on its assessment of the development and condition of the
electricity market. The postponement may be requested no more than two times. The
first postponement shall be limited to two years and the second limited to one year.
Chapter 2 Electric Power Dispatching
Article 7
The electric power dispatching shall be based on the principles of safety, fairness,
openness, economy, environmental-friendliness and adherence of the energy policies.
Article 8
The Electricity Transmission and Distribution Enterprise is responsible for managing
the electric power dispatching by giving priority to the grid connections that allow
access to the renewable energy on the condition that the power systems remain safe
and stable.
To perform the tasks assigned in the preceding paragraph, the Electricity Transmission
and Distribution Enterprise shall draft the regulations governing the scope, item,
procedure, norm, cost-sharing, emergency response and information disclosure of the
electric power dispatching according to the electric power dispatching principals drawn
up by the electricity industry regulatory authority, and submit the foregoing to the
electricity industry regulatory authority for approval. The review processes also apply
to amendment of these regulations.
Article 9
To ensure the supply safe and stable of the power system, the Electricity Transmission
and Distribution Enterprise shall provide necessary ancillary services according to the
needs of the electric power dispatching and the application of the Electricity Generation
Enterprise and Self-Use Power Generation Equipment.
The Electricity Transmission and Distribution Enterprise may charge fees for ancillary
services as described in the preceding paragraph.
The ancillary service fees, as described in the previous paragraph, may be set based on
the Electricity Carbon Emission Factor and submitted to the Electricity Tariff
Examination Council for review and approval.
Article 10
A Renewable-Energy-Based Electricity Generating Enterprise or Retailing Enterprise
that requires the power grids to distribute the power generated or purchased for sale
may request the service of the Electricity Transmission and Distribution Enterprise
for electric power dispatching and pay the electricity dispatching service fee based on
the total amount of electricity dispatched.
An Electricity Transmission and Distribution Enterprise shall charge the Renewable-
Energy-Based Electricity Generating Enterprise or Retailing Enterprise that uses its
electricity supply infrastructure based on the amount and rates of the re-supplied
electricity.
The two fees described in the preceding paragraphs may be assessed according to
the Electricity Carbon Emission Factor and submitted to the Electricity Tariff
Examination Council for review and approval.
A discount for the fees prescribed in the previous paragraph may be given based on
the Electricity Carbon Emission Factor. The central competent authority shall establish
rules governing the discount of such fees.
Article 11
To meet the needs of the electricity market development, the Electricity Transmission
and Distribution Enterprise shall set up an electricity trading platform based on
openness and
transparency after the power and grid unbundling subject to the permission of the
electricity industry regulatory authority.
The electricity trading platform provides full disclosure of trading information to
fulfill the goals of regulating the electricity supply and demand, facilitating the fair
competition and reasonable operations of the electricity enterprises.
The electricity industry regulatory authority shall establish the rules governing the
personnel, organization, schedule, trade management, and other related matters of the
electricity trading platform prescribed in the first paragraph of this Article.
Article 12
The electricity industry regulatory authority, for the purpose of protecting the public
interest or the electricity enterprises and the users’ rights and interests, may at any
time order the Electricity Transmission and Distribution Enterprise to provide financial
or business operation reports, or audit its businesses, properties, accounting books,
documentations and other related articles of properties. Should any serious violation
of the laws and regulations be identified, the authority may seize and seal or order the
relevant documentations.
The Electricity Transmission and Distribution Enterprise shall not evade, impede or
refuse the orders and auditing pursuant to the previous paragraph.
Chapter 3 Permits and Licenses
Article 13
The Electricity Generating Enterprise and Electricity Transmission and Distribution
Enterprise, in building and expanding the infrastructure, shall prepare and submit an
application and supporting documentary evidence to the government authority to
which the enterprise belongs or the competent authority at the level of the Municipal
Government or County (City) government for a permit to apply to build or expand the
infrastructure.
If the application for permit, as described in the preceding paragraph, requires an
environmental impact assessment pursuant to the Environmental Impact Assessment
Act, the applicant shall provide environment impact assessment documents reviewed
or approved by an environmental protection competent authority.
The building or expansion permit described in the first paragraph of the Article expires
in three years, but an application for extension of the time of the permit with due
reasons may be submitted prior to the expiration of the current permit. The extension
period shall not exceed two years.
Article 14
The electricity industry regulatory authority, in reviewing the application for a permit
prescribed in the first paragraph of the preceding article, shall consider the energy
policy, Electricity Carbon Emission Factor, national land development, regional
balance development, environmental protection, fair competition among electricity
enterprises, supply and demand of the electric energy, backup capacity as well as
safety of the power systems, in addition to the integrity of the applicant’s plan.
Article 15
During the time of the building or expansion permit, the Electricity Transmission
and Distribution Enterprise shall obtain work permits issued by the electricity
industry regulatory authority and begin the construction. The construction shall be
completed within the time of the work permit.
The time of the work permit described in the previous paragraph is five years. The
restriction does not apply if the corporations have due reasons and the electricity
industry regulatory authority approves the extension thereof.
The Electricity Transmission and Distribution Enterprise shall prepare the documents
and information in support of its application for issuing or replacement of the
appropriate electricity license to the government authority to which the corporation
belongs or the competent authority at the level of the Municipal Government or County
(City) government. The application shall be submitted within 30 days upon completion
of the work.
After the submission of the application described in the previous paragraph, the
enterprise may begin its business operation only after the personnel designated by
the electricity industry regulatory authority performs the necessary inspection and
approves the work, and that an appropriate electricity license is issued or replaced.
The Electricity Retailing Enterprise shall submit an application to the electricity
industry regulatory authority for an appropriate electricity license before beginning
its business operation.
Article 16
Unless otherwise approved by the electricity industry regulatory authority, the
Electricity Generating Enterprise that has been granted a building permit, expansion
permit or work permit shall not change the source of energy, system capacity or
address of the facility of the Major Power Generation Equipment.
Article 14 of this Act applies mutatis mutandis to the review of the foregoing
paragraph.
Article 17
The effective period of an Electricity Enterprise license is twenty years starting
from the date of issuance by the electricity industry regulatory authority. The
Electricity Generating Enterprise may file for an extension with electricity industry
regulatory authority one year prior to the expiration of the license. Every extension
period shall be no longer than 10 years.
Article 14 of this Act applies mutatis mutandis to the review of the applications for
extension of Electricity Generating Enterprise and Transmission and Distribution
Enterprise licenses described in the previous paragraph.
Article 18
The Electricity Transmission and Distribution Enterprise shall not reject any
request put forward by the Electricity Generating Enterprise or Self-Use Power
Generation Equipment for connection to its power grid. The Renewable-Energy-Based
Electricity Generating Enterprise shall be given priority to connect to the grid. The
Article however does not apply to Electricity Facilities or Self-Use Power Generation
Equipment that request connection but do not meet the requirements provided in
Paragraph 1 and Paragraph 3 of Article 25, Article 26, Article 29 to Article 31,
Article 71 mutatis mutandis applying the above provisions or Article 32.
Article 19
An Electricity Enterprise shall not presume to terminate or suspend for business.
However, the restriction does not apply to the Electricity Generating Enterprise and
Renewable-Energy-Based Electricity Retailing Enterprise that have otherwise received
permission from the electricity industry regulatory authority.
The Electricity Generating Equipment and Renewable-Energy-Based Electricity
Retailing Equipment shall apply to the electricity industry regulatory authority for
permission to suspend the business by submitting a business suspension plan. The
period of suspension shall not exceed one year.
An Electricity Enterprise shall apply to the electricity industry regulatory authority
for permission to terminate the business by submitting a business termination plan,
and return the Electricity Enterprise license to the same regulatory authority for
cancellation within 15 days of the termination of business. The electricity industry
regulatory authority may proceed to cancel the license if the Electricity Enterprise
fails to submit the license within the prescribed time limit.
Article 20
In the case of the suspension, termination of an Electricity Enterprise, or an Electricity
Enterprise that fails to extend the Electricity Enterprise license pursuant to Article 17
before it expires, or an Electricity Enterprise that is ordered to suspend business
operation or has its license revoked, the electricity industry regulatory authority may
coordinate to have other Electricity Enterprise take over the operation to ensure the
continuous service. When the coordination fails, the regulatory authority may use the
Electricity Facilities to continue the services. Reasonable remunerations shall be made
for the use of the Electricity Facilities of the Electricity Generating Enterprise.
When the coordination described in the previous paragraph fails and the Electricity
Facilities of the Electricity Generating Enterprise cease to supply electricity, the
Electricity Transmission and Distribution Enterprise shall dispatch the sources of
supply to ensure continuous services. The
Electricity Generating Enterprise shall pay the electricity dispatching service fees.
The Electricity Transmission and Distribution Enterprise may also charge the users
at the original rate for electricity.
Article 21
Electricity Enterprises that intend to undertake mergers and acquisitions, in accordance
with the Business Mergers and Acquisitions Act, shall apply to the electricity industry
regulatory authority for written approval by submitting a merger plan, jointly written
by the parties to the merger, which states the scope of business, assets, liabilities and
the amount of capital of the company after the merger.
For a merger of a certain scale, the electricity industry regulatory authority shall work
in conjunction with the Fair Trade Commission to review the merger of the Electricity
Enterprises, hold public hearings in compliance with the hearing procedure prescribed
in the Administrative Procedure Act, and perform administrative investigation and
professional assessment within its powers.
The definition of the “certain scale” is subject to the electricity industry regulatory
authority’s announcement.
Article 22
Article 13 and Article 15 apply mutatis mutandis to the change of the sources of
energy, system capacity and address of the Major Power Generation Equipment as
specified on the Electricity Generating Enterprise license. An Electricity Generating
Enterprise shall observe the requirements and carry out the procedure accordingly
before the changes become effective.
For an Electricity Generating Enterprise that is ordered to stop the work due to
violation of the laws and regulations, the electricity industry regulatory authority
may revoke the whole or a part of its original license.
Unless the Act specified otherwise, an Electricity Enterprise whose information
specified on the Electricity Enterprise’s license has changed shall apply to the
electricity industry regulatory authority for replacement of an updated license
within 30 days after the registration of the change(s).
Article 23
For an Electricity Enterprise that takes abusive conducts by its market power to
interfere with the order of the trade and has received disciplinary actions from the
competent authority, the electricity industry regulatory authority may check its
operation details and order it to propose a correction plan within a given time limit.
The electricity industry regulatory authority may revoke an Electricity Enterprise’s
license when one of the following events occurs:
1. An Electricity Enterprise takes abusive conducts by its market power to interfere
with the order of the trade and has been found guilty of such wrongdoing by the
courts.
2. An Electricity Enterprise has committed the wrongdoings described in the
previous paragraph, and has been ordered by the electricity industry regulatory
authority to propose a correction plan within a given period, but did not propose
one upon expiration of such time limit or failed to correct the wrongdoings by the
assigned date.
3. A government agency that orders an Electricity Enterprise to terminate the
business for violation of the law informs the electricity industry regulatory authority
of such disciplinary action.
Article 24
The electricity industry regulatory authority shall establish the application procedures,
document requirements and review criteria governing the application of the permit
to build or expand the infrastructure of an Electricity Enterprise, work permit,
issuance of a license, replacement of a license, information to be specified on the
license, extension, change of the power generation equipment, suspension of business,
termination of business, and merger and acquisition of business.
Chapter 4 Construction
Article 25
The Electricity Generating and Transmission and Distribution Enterprises shall
set up the Electricity Facilities accordingly.
The Electricity Transmission and Distribution Enterprise shall set up a power grid
geographical information management system to record, amongst other things, the
names of the power networks, voltages, locations of distribution and usage, and
update the information whenever appropriate. The competent authority may order the
Electricity Transmission and Distribution Enterprise to provide the information
relating to the Power Grids, to supplement more information or dispatch personnel for
inspection.
The central competent authority shall establish the rules governing the scope, items,
layout, safety issues of the Electricity Facilities described in the first paragraph of this
Article and other related matters.
Article 26
The Electricity Enterprise shall provide electricity according to the prescribed
voltage and frequency standards. The restriction does not apply when the central
competent authority approves otherwise for reasons of special circumstances.
The central competent authority shall establish the voltage and frequency standards
described in the previous paragraph.
Article 27
To ensure the stability and safety of the power supply, the Electricity Generating and
Retailing Enterprises in selling the electric energy to users shall prepare the appropriate
level of electricity reserve capacity based on its electricity sales, and duly report to
the electricity industry regulatory authority. However, the restriction does not apply
to Renewable-Energy-Based Electricity Generating Enterprise below a certain capacity.
To meet the required capacity, an Electricity Generating Enterprise may either use its
resources to generate power or purchase from other Electricity Generating Enterprise,
Self-Use Power Generation Equipment or Demand Response providers.
The “certain capacity” mentioned in the previous paragraph is stipulated according
to the announcement of the electricity industry regulatory authority.
The electricity industry regulatory authority shall establish the rules governing the
contents of the electricity reserve capacity, calculation formula, criteria and scope,
application procedure and period, review, auditing, management and other related
matters.
Article 28
When an Electricity Retailing Utility Enterprise sells electric power to its users,
the sold electric power shall have an Electricity Carbon Emission Factor that meets
the electricity carbon emission factor criteria and be reported to the electricity industry
regulatory authority.
The Electricity Carbon Emission Factor criteria described in the previous paragraph
are stipulated by the electricity industry regulatory authority according to the national
energy and carbon reduction policies, and announced on a regular basis.
For the Electricity Carbon Emission Factor described in the first paragraph of this
Article, the electricity industry regulatory authority shall set out the rules governing
the method of calculation, reporting procedure and period, review, auditing,
management and other related matters thereof.
Article 29
An Electricity Enterprise is required to install all necessary electric meters or
similar instruments for recording of the electric quantity, voltage, frequency,
power factor, loading and other related information.
Article 30
The Electricity Generating and Transmission and Distribution Enterprises shall
duly install safety devices to protect the Electricity Facilities.
The central competent authority prescirbes the location, method, maintenance
and safety issues of these safety protection installations described in the previous
paragraph and other related matters.
Article 31
The Electricity Generating and Transmission and Distribution Enterprises shall
perform regular inspection and maintenance of the Electricity Facilities and duly
record the inspection and maintenance findings.
The central competent authority shall establish rules governing the items of
inspection and maintenance as prescribed in the previous paragraph, the interval
thereof and other related matters.
Article 32
The Electricity Transmission and Distribution Enterprise or Renewable-Energy-Based
Electricity Generating Enterprise that installs private Networks to make Direct
Supply to the users shall perform inspection of the User’s Electricity Device; the
service can only be connected when the device passes the inspection. The Electricity
Transmission and Distribution Enterprise or Renewable-Energy-Based Electricity
Generating Enterprise shall perform regular inspection of the utilization equipment
installed by the Users and record the results. In the event that non-conformity is found,
a time period shall be specified for the user to make rectification. The Electricity
Transmission and Distribution Enterprise or Renewable-Energy-Based Electricity
Generating Enterprise may stop servicing a user that refuses to undergo inspection
or fails to address the deficiencies within the given time.
The competent authority at the level of the municipal government or county (city)
government shall provide necessary assistance, when appropriate, to facilitate such
inspection described in the previous paragraph.
The competent authority at the level of the municipal government or county (city)
government may order the Electricity Transmission and Distribution Enterprise or
Renewable-Energy-Based Electricity Generating Enterprise to provide the information
concerning the inspection described in the first paragraph of this Article and the results
thereof, and send personnel to audit the information when appropriate. The Electricity
Transmission and Distribution Enterprise or Renewable-Energy-Based Electricity
Generating Enterprise shall not evade, impede or refuse such auditing.
The Electricity Transmission and Distribution Enterprise or Renewable-Energy-Based
Electricity Generating Enterprise may employ a duly licensed and registered technician
or a Power Facility Inspection and Maintenance Administration duly registered
pursuant to Article 59 of this Act to perform the inspection described in first paragraph
of this Article.
The central competent authority shall establish rules governing the scope, items,
elements, installation and other safety issues of the User’s Electricity Device
described in first paragraph of this Article as well as the scope, criteria, interval and
procedure of the inspection prescribed in the previous paragraph.
Article 33
When the user’s usage, total floor area of the building or the story of the structure
meet certain criteria, the appropriate power distribution site and channel(s) shall be
furnished at the building site or inside the building structure and made available to
the Electricity Transmission and Distribution Enterprise free of charge for installation
of the distribution systems. The Electricity Transmission and Distribution Enterprise
may refuse to provide services to the user when such furnishing is not available.
The central competent authority and the central competent building authority shall
jointly prescribe the “certain criteria” mentioned in the previous paragraph and
establish the rules governing the method of establishment of the power distribution
site and channel(s), elements, construction procedure, safety measures and other related
matters.
Article 34
When a fire breaks out or disaster hits the area in the proximity of the Electricity
Facilities owned by the Electricity Generating and Transmission and Distribution
Enterprises, the Electricity Generating and Transmission and Distribution Enterprises
shall immediately dispatch technicians to set up high-visibility signs or marks for
protection and may cut down all of part of the electricity supply or remove the
hazardous electricity facilities.
Article 35
In case of a disaster, emergency or an event described in the previous paragraph,
the affected Electricity Generating and Transmission and Distribution Enterprises
shall report such incident to the competent authorities at different levels of the
government by complying with the requirements for the items to be reported, time
limit, method and procedure specified by the central competent authority.
Article 36
Electricity Enterprises may install private telecommunication facilities pursuant
to the applicable regulations provided in the Telecommunications Act to safeguard
the needs of operation, management or safety protection.
For effective management of resources, an Electricity Transmission and Distribution
Enterprise may apply for the license as a telecommunication service provider
pursuant to Paragraph 2 of Article 6 of this Act as well as the Telecommunications
Act.
Article 37
When the circumstances require that the networks installed by the Electricity
Generating and Transmission and Distribution Enterprises be set up in proximity
to or jointly with telecommunication networks, the networks may be set up in
parallel to or crisscrossing with each other, or form a joint structure. Whichever
the setup, the networks must meet the safety requirements concerning the space
interval and construction regulations.
The central competent authority shall work in conjunction with the National
Communications Committee to establish rules governing the paralleling, crossing
or joint structures of the Electricity Generating and Transmission and Distribution
Enterprises’ networks and telecommunication networks, the space interval, construction
safety and other related matters.
Article 38
An Electricity Generating or Transmission and Distribution Enterprise may use
or access the public land and rivers, ditches, bridges, dykes, roads, green space,
parks, forests and other public lands for installation, construction or maintenance
of the networks. To use the land for these purposes, the Electricity Generating or
Transmission and Distribution Enterprise shall send a prior notice to the competent
authority and comply with the applicable procedures and requirements.
Article 39
An Electricity Generating or Transmission and Distribution Enterprise may install
networks above and below the public and private lands or buildings as long as the
installation of which does not affect the original use and safety of the property being
used. Unless an emergency occurs, a written notice has been made to the owner or
occupant thereof by the Electricity Generating or Transmission and Distribution
Enterprise seven days before the date of construction. In the event that the owner or
occupant raises an objection, the Electricity Generating or Transmission and
Distribution Enterprise may apply for a permit with the competent authority at the
level of the municipal government or county (city) government and proceed with
construction, but shall still send out a written notice to the owner or occupant
seven days prior to the commencement of construction.
Per the previous paragraph, an Electricity Transmission and Distribution
Enterprise may apply for a permit to proceed with construction. If the competent
authority at the level of the municipal government or county (city) government
does not finish processing the application within the established processing time
period as prescribed in Article 51 of the Administrative Procedure Act, the Electricity
Enterprise may apply directly to the central competent authority for a permit to
proceed with construction.
The regulations governing the public services or facilities as provided in the Urban
Planning Law and the Regional Plan Act apply mutatis mutandis to the use or
acquisition of the land by Electricity Generating Enterprises for installation of
powerlines.
The regulations governing the public services or facilities as provided in Article 8
of the Forestry Act apply mutatis mutandis to an Electricity Generating Enterprise
that rents the state-owned or public forest land for installation of powerlines.
The regulations governing the general facilities in a fishing harbor as provided in
Article 14 of the Fishing Port Act apply mutatis mutandis to an Electricity Generating
Enterprise whose installation of powerlines is located in the area of a fishing harbor.
Article 40
To protect the networks and maintain the safety of the power supply, the Electricity
Generating and Transmission and Distribution Enterprises shall notify the owner or
occupant of the trees obstructs the networks to fell or trim the trees with a given
period of time unless the law states otherwise. The Electricity Enterprise may take
actions to address the obstruction upon expiration of the given period after the
notice or failure to deliver the notice.
Article 41
In implementing the measures prescribed in the three preceding articles, a proposal
that involves a site or method that results in no loss or minimizes the loss shall be
chosen and implemented. If the action does lead to losses, compensation shall be
made based on the extent of the loss.
Article 42
The owner or occupier of the land where the power supply networks are located
may request to move the networks when the designated use of the land is changed.
The request shall be made in writing with reasons and submitted to the Electricity
Generating Enterprise or Electricity Transmission and Distribution Enterprise that
installs the network in question. Once the Electricity Generating Enterprise or
Electricity Transmission and Distribution Enterprise verifies the facts presented in
the request, the network may then be moved. The central competent authority shall
establish rules governing the payment for the material and cost associated with the
movement.
Article 43
The Electricity Generating Enterprise or Electricity Transmission and Distribution
Enterprise may, for the purpose of managing special risks or preventing unusual
hazards, take actions to address the issues as described in Articles 38 to 40 of this
Act. The company shall report such actions to the competent authority of the
competent authority at the level of the municipal government or county (city)
government where the company is located within 3 days and notify the owner or
occupier of the land.
Article 44
Disputes arising out of the issues described in Article 39 to Article 43 of this Act
between an Electricity Generating Enterprise or Electricity Transmission and
Distribution Enterprise and an owner or occupier of the land may be submitted
to the jurisdiction of the competent authority at the level of the municipal
government or county (city) government where the company is located for
resolution.
The central competent authority shall establish rules governing the method,
period and mediation criteria for the resolution of disputes arising out of the use
of the land by an Electricity Generating Enterprise or Electricity Transmission and
Distribution Enterprise.
Chapter 5 Business Operation
Article 45
The electricity generated by an Electricity Generating Enterprise may only be sold
to an Electricity Retailing Utility Enterprise or to an Electricity Transmission and
Distribution Enterprise as the auxiliary service. The restriction does not apply to
Renewable-Energy-Based Electricity Generating Enterprise.
Renewable-Energy-Based Electricity Generating Enterprise with powerlines
connecting to the power grids may turn to supply the electric power to users via
the power grids.
Renewable-Energy-Based Electricity Generating Enterprise that have obtained
approval from the electricity industry regulatory authority may install powerlines
connecting directly to the users, to whom they supply electric energy.
For the Renewable-Energy-Based Electricity Generating Enterprise that wishes
to apply for permit direct supply of electric power, the electricity industry regulatory
authority shall establish rules governing the qualification, prerequisites, required
documents, review criteria and other related matters.
The provisions in the three preceding paragraphs become effective within a year
after the publication of the amended provisions on January 11, 2017. The Executive
Yuan shall decide the effective date. However, the electricity industry regulatory
authority may review the status of the electric power dispatching and submits a
request for postponement of the effective date to the Executive Yuan. The
postponement may be requested no more than two times. The first postponement
shall be a period of one year and the second one a period of six months.
Article 46
The Electricity Transmission and Distribution Enterprise shall plan, build and
maintain the power grids across the country.
The Electricity Transmission and Distribution Enterprise shall not reject a user’s
request for installation of networks connecting the power grids to the user’s
location. The restriction does not apply when the electricity industry regulatory
authority approves otherwise due to reasonable justifications.
The Electricity Transmission and Distribution Enterprise shall make the power
grids available for use by Electricity Generating Enterprise or Electricity Retailing
Enterprise based on the principles of fairness and openness, allowing the producers
and retailers to wheeling the electric power and charge fees accordingly. Differential
or favorable treatments to certain suppliers are prohibited. However, the prohibition
does not apply when the electricity industry regulatory authority approves otherwise
due to reasonable justifications.
The Electricity Transmission and Distribution Enterprise may charge the users for
installation of networks. The charge does not apply to residential users in remote
areas.
Article 47
Electricity Retailing Utility Enterprise may purchase electric power from Electricity
Generating Enterprise or Self-Use Power Generation Equipment for wheeling to
the users. Installation of major power generation equipment is prohibited.
Renewable-Energy-Based Electricity Retailing Enterprise may purchase electricity
generated by renewable-energy-based power generation equipment for wheeling to
the users. Installation of major power generation equipment is prohibited.
Electricity Retailing Utility Enterprise shall not reject a user’s request for service
unless the electricity industry regulatory authority approves for reasonable
justifications.
To ensure the effective implementation of the energy saving and carbon
emission reduction policy, Electricity Retailing Enterprise shall draft up an annual
incentive program that encourages and assists the users to save energy and submit
such program to the electricity industry regulatory authority for future reference.
The electricity industry regulatory authority shall publish the annual energy saving
and carbon emission reduction achievements as a result of the incentive programs
instituted by the Electricity Retailing Enterprise to meet the national energy saving
and carbon emission reduction goals.
Article 48
Electricity Retailing Utility Enterprise may institute a pricing system that charges
the base consumption at kilowatt-hour (kWh) per month or based on the capacity
required by the user.
For Electricity Retailing Utility Enterprise that charge a monthly base consumption,
as described in the previous paragraph, the users are charged for their actual usage
when the actual monthly usage exceeds the said monthly base consumption.
Article 49
The central competent authority shall establish the formulae that calculate the
various rates of charges to be assessed by the Electricity Retailing Utility Enterprise
and Electricity Transmission and Distribution Enterprise.
The Electricity Retailing Utility Enterprise and the Electricity Transmission and
Distribution Enterprise shall determine the price of electricity and various charges,
report the rates to the central competent authority for approval, and announce
afterwards. The same process applies when the rates are amended.
The central competent authority shall hold public hearings before deciding on the
formulae that calculate the price of electricity and various rates and charges as
provided in the first paragraph of this Article. The same process applies when the
rates are amended.
The central competent authority may invite other government agencies, scholars and
experts and civil organizations of related interests to participate in the Electricity Tariff
Examination Council to review and determine the price of electricity, rates and charges
and other related matters.
Article 50
The Electricity Retailing Utility Enterprise shall institute a regulation governing the
business operation, submit the regulation to the electricity industry regulatory authority
for approval, and promulgate the same as it becomes effective. The same process
applies when the regulation is amended.
The Renewable-Energy-Based Electricity Generating Enterprise and Renewable-
Energy-Based Electricity Retailing Enterprise, both of which sell electric power to
users, shall institute a regulation governing the business operation and submit the
same to the electricity industry regulatory authority for reference within 30 days
after the institution of such regulation. The same process applies when the regulation
is amended.
Article 51
The users that receive service via an Electricity Transmission and Distribution
Enterprise’s network shall make available a site free of charge for installation of an
electricity meter.
The Electricity Transmission and Distribution Enterprise has the duty to install and
maintain the electricity meter prescribed in the previous paragraph.
Article 52
The Electricity Retailing Utility Enterprise shall supply electricity to the public
utilities including the water plants, electric trains and electric railways, the public
and private schools at all levels, sheltered workshops, registered social welfare
organizations and nursing homes at a discount rate that is below the average price
of electricity but no lower than the electricity supply cost.
The Electricity Retailing Utility Enterprise shall supply electricity that services the
life support systems and essential life aids in the households with people with
physical or mental disabilities at the discount rate that reflects the first block of the
Inclining Block Rate or the electricity supply cost, whichever is lower.
The Electricity Retailing Utility Enterprise shall supply electricity that services the
street lights on public roads at the discount rate that is below the average price of
electricity but no lower than half of the average rate of lighting device.
The sheltered workshops, registered social welfare organizations and nursing homes
as mentioned in the first paragraph of this article are subject to the recognition and
approval by the central competent authority that oversees special purpose corporations.
The central competent authority shall define the pricing of the services described in
the first paragraph of this article.
The central competent authority shall work in conjunction with the competent central
authority that oversees the special purpose corporations to establish the rules
governing the eligibility criteria for recognition as a household with members with
physical or mental disabilities, the scope of application for life support systems and
essential life aids, and the calculation of the price of electricity.
Article 53
When the Electricity Retailing Utility Enterprise supply electricity at a discount
rate pursuant to paragraphs 1 to 3 of the preceding article, the competent authorities
that oversee the respective categories of corporations and organizations may budget
to subsidize the shortfall.
Article 54
The Electricity Retailing Utility Enterprise shall ensure availability of the service
around the clock. However, restrictions on the availability of the service at certain
hours may be allowed when the electricity industry regulatory authority approves
otherwise due to special circumstances.
Article 55
In the event of a complete or partial power suspension due to an accident not
attributable to the utility electricity retailing corporation shall be reported to the
competent authority at the level of the municipal government or county (city)
government for approval and announce so in advance unless the interruption occurs
due to an unexpected failure, in which case the report may be filed later. The competent
authority at the level of the municipal government or county (city) government shall
report the power suspension to the electricity industry regulatory authority for approval
when the power suspension lasts for more than 15 days.
Article 56
For any unauthorized consumption of electricity, the Renewable-Energy-Based
Electricity Generating Enterprise and Electricity Retailing Enterprise may calculate
the loss based on the unauthorized user’s utilization equipment, type of consumption,
and watts or horsepower consumed in relation to the hours of service availability
and the price of electricity assigned by the supplier, and claim against the unauthorized
user accordingly. The maximum compensation shall not exceed one year of service
charges.
The electricity industry regulatory authority shall establish rules governing the
identification, recognition, compensation criteria and the resolution of the unauthorized
consumption of electricity described in the previous paragraph.
Article 57
When the government requests emergency power supply for prevention of disasters,
the Electricity Generating Enterprise and Self-Use Power Generation Equipment
shall give priority to supply power. The Electricity Transmission and Distribution
Enterprise shall first arrange services from these sources. The requesting government
agency is responsible for paying the charges of electricity usage.
Chapter 6 Supervision and Management
Article 58
The Electricity Generating Enterprise and Electricity Transmission and Distribution
Enterprise shall set up a directorial engineer position; the qualification of which is to
be determined by the central competent authority.
Article 59
The Contract Electric Appliance Installer and the Power Facility Inspection and
Maintenance Administration shall register with the competent authority at the level
of the municipal government or county (city) government and join the trade
association appropriate for the industry within one month of registration before
beginning the business operation. A trade association appropriate for the industry
shall not reject the enrollment of the said installer and administrations.
The installation, construction and retrofitting of the user utilization equipment
shall be undertaken by a Contract Electric Appliance Installer. The energization
of the equipment may begin only after the installer notifies the electricity corporations
of the completion of the work and activation of the service by submitting a certificate
of completion of work by a member issued by an electrical contractor association. The
restriction does not apply when other regulations stipulate otherwise.
The review and approval or energization of the electricity facilities or user’s
electricity devices may not begin without first submitting a membership certificate
issued by the respective electric engineer association along with the drawing design
and description or the report of completion of the tasks of electricity facilities and
user’s electricity devices to be designed or supervised by lawfully registered and
practicing professional electrical engineers, that are submitted for electricity
corporations review and approval.
Said electrical engineers shall not practice the design or installation supervision
business for electricity facilities or user’s electricity devices before enrolling in the
local electrical engineer association, which shall not reject the enrollment of the
said engineers.
The personnel employed by the Contract Electric Appliance Installer and the Power
Facility Inspection and Maintenance Administration to work in the field of electrical
engineering shall possess one of the following qualifications:
1. The person has satisfactorily passed the examinations for professional engineers
in the field of electrical engineering and thereby possessed a certificate of professional
engineer.
2. The person has satisfactorily passed the proficiency tests in the field of electrical
engineering and thereby possessed a certificate of technician.
3. The person has become a certified electrician by duly passing the appropriate
examinations accordingly to the applicable laws and regulations before March 5,
2007, when the amended provisions became effective.
For the current technical personnel in the field of electrical engineering registered
with the competent authority at the level of the municipal government or county (city)
government, or the technical personnel who had registered with the said authority for
a period of more than six months prior to the amendment of this Act which became
effective on January 11, 2017, the personnel whose qualifications do not meet the
criteria provided in the previous paragraph after the amendment of this Act still retain
the qualification as an electrical technical personnel of the originally registered class.
The central competent authority shall establish rules governing the qualifications,
prerequisites, registration, revocation or cancellation of the registration, and
management of the Contract Electric Appliance Installer and the Power Facility
Inspection and Maintenance Administration.
Article 60
Industrial plant, mine field and structures and buildings for public use that are
installed with power equipment, and power-use locations that are fed by electricity
classified as high voltage or above shall employ a full-time electrical technician or
entrust to an electricity facilities inspection and maintenance service provider to
ensure the safety of general and emergency power equipment use within the boundary
lines of the electricity supply equipment of the electricity corporations, and register
with the local competent authority.
The central competent authority shall establish rules governing the scope of electrical
equipment and energized facilities, registration, revocation or cancellation of
registration, maintenance, time limits for reporting, method of documentation and
management, as well as the recognition of the full-time electrical technical personnel,
qualifications, management and other related matters.
Article 61
The tasks of design and installation supervision of electricity facilities and user
energization equipment that fall within the scope defined by the central competent
authority shall be administered by legally registered and practicing professional
electrical engineers or related professional engineers. The tasks outside the said scope
shall be administered by professional electrical engineers or electric appliance
installers. However, the said tasks for the exclusive use by government agency or
state-owned enterprises may be administered by the employees of the respective
government agency or state-owned enterprises who have legally obtained certification
as professional electrical engineers or relevant professional engineers.
The scope of the user’s electricity devices in the preceding paragraph shall be
consistent with the pre-existing scope of electricity corporations in force prior to
the promulgation of amendment of this Act made on January 19, 2005. As amending
the said scope, the central competent authority shall consult professional electrical
engineer association, electrical contractors association and other trade associations.
In the event that an electricity corporation or a user fails to comply with Paragraph 1
of this Article, the central competent authority may forbid the supplier to use the
electricity facilities in question, or the electrical corporations shall not energize the
user’s electricity devices in question.
Article 62
The Contract Electric Appliance Installer and the Power Facility Inspection and
Maintenance Administration are prohibited from engaging in the following acts:
1. To use the license registered to others;
2. To allow others to use its registered license;
3. To participate in the tendering process or accept contracts during the period of
closure for business;
4. To reduce or downgrade the construction material to save on cost;
5. To subcontract or hire out the contracts to unlicensed service providers;
6. The percentage of subcontracts exceeds 40% of the total contract price;
7. To issue reports that contain false information about installation, inspection,
and maintenance services performed on a contract.
To manage the Contract Electric Appliance Installer and the Power Facility
Inspection and Maintenance Administration, to protect the public interest and safety,
or in response to the needs arising in the process of auditing the measures and
qualifications for registration as prescribed in the previous paragraph, the competent
authority may demand the Contract Electric Appliance Installer or the Power Facility
Inspection and Maintenance Administration to supply relevant information, and send
personnel to perform auditing when necessary. The Contract Electric Appliance
Installer or the Power Facility Inspection and Maintenance Administration shall not
evade, impede or refuse such requests.
Article 63
The full-time electrical technical personnel in the energized facilities are prohibited
from making false claims or misrepresentation of information in the statements and
reports made in the course of carrying out his/her duty.
Article 64
An Electricity Generating Enterprise shall comply with the following rule in
determining the allocation of the annual profits. Allocation of the annual net profit
(not including those from the generation of renewable-energy-based electricity)
whose portion over the total paid-in capital shall be prioritized to the measures of
improving the operation and maintenance of the machineries, investing in the pollution-
minimizing infrastructure and facilitating further advancement in the renewable energy.
The allocation requirements are set out below:
1. When the annual net profit is more than 10% but less than 25% of the total paid-in
capital, 50% of the amount in excess of the total paid-in capital shall be allocated.
2. When the annual net profit exceeds the total paid-in capital by 25% or more, the
full amount in excess of the total paid-in capital shall be allocated.
50% of the allocated amount prescribed above shall be used in measures of improving
the operation and maintenance of the machineries as well as investment in the
pollution-minimizing infrastructure as the remaining 50% shall be invested in the
development of renewable energy.
When the annual net profit is less than 10% of the paid-in capital, the central
competent authority shall order the Electricity Generating Enterprise to engage in
hardware improvements based on the findings of the inspection and maintenance
performed according to Article 31.
Paragraph 1 of this article does not apply to the electricity producers whose
Electricity Carbon Emission Factor for generation of electric energy is better than
the standard prescribed by the electricity industry regulatory authority in accordance
with Paragraph 2 of Article 28 hereunder.
The electricity industry regulatory authority shall establish the rules governing
affirmation, use, management and supervision of the funds used to improve the
operation and maintenance of the machineries, to invest in the pollution-minimizing
infrastructure, and to facilitate the development of the renewable energy.
Article 65
To facilitate the development and operation of the electric power, to develop the
areas in the proximity of the Electricity Generation, Transformation and Distribution
Facilities, and to bring welfare to the residents thereof, the Electricity Generating
Enterprise and Electricity Transmission and distribution Enterprise shall allocate
assistance fund to facilitate the development of electric power to assist the competent
authority at the level of the municipal government or county (city) government in
promoting development of electricity and harmony with the communities. The given
assistance fund is on the basis of a certain percentage of the kilowatts of electricity
generated or transmitted.
The central competent authority shall establish the rules governing the method, scope
and supervision of the use of the electricity development assistance fund prescribed
in the previous paragraph. The competent authority at the level of the municipal
government or county (city) government may send personnel to audit the use when
necessary. The electricity producers and distributors shall not evade, impede or refuse
such auditing.
This article does not apply to Renewable-Energy-Based Electricity Generating
Enterprise except for producers of electricity by wind power and with solar power-
generating infrastructure of certain capacity.
The percentage allocation of compensation to facilitate the development of electric
power as prescribed in Paragraph 1 of this Article and the “certain capacity” mentioned
in Paragraph 3 of this Article are to be defined and announced by the central competent
authority.
The competent authority at the level of the municipal government or county (city)
government shall disclose the use of the electricity development funds in quarterly
reports online.
Article 66
To ensure open access of information, Electricity Enterprise shall draft monthly
summary reports on the operation, supply and demand of the electric energy and the
company’s financial status on a monthly basis as well as an annual report within three
months as one business year ends, and distribute the reports to the electricity industry
regulatory authority and the central competent authority for future reference. Open
access to the information shall be provided.
The electricity industry regulatory authority or central competent authority may order
the supplier to supply supplementary information about the monthly summary reports
and annual reports or send personnel for a site inspection.
The information available to the general public as well as the content and format of
the monthly summary reports and annual reports are to be defined and announced by
the electricity industry regulatory authority.
Article 67
The equipment of Electricity Enterprises and the safety protection devices prescribed
in Paragraph 1 of Article 30 herein are subject to the inspection performed by the
competent authority at any time. In case of failure to conform to the requirements,
repair, modification or replacement within the time limit is required. Should the
potential of imminent danger occur, the works and the use of devices may be suspended
by order.
The Electricity Generating Enterprise and Electricity Transmission and Distribution
Enterprise shall not evade, impede or refuse such auditing prescribed in the previous
paragraph.
Chapter 7 Self-Use Power Generation Equipment
Article 68
The owner that installs a Self-Use Power Generation Equipment with a capacity
of 2,000 kilowatts or more is required to prepare an utilization plan and to apply
to the electricity industry regulatory authority for permission. The owner that installs
a Self-Use Power Generation Equipment with a capacity of less than 2000 kilowatts
is required to prepare an utilization plan and to apply to the competent authority at
the level of the municipal government or county (city) government for permission;
the application will be forwarded to the electricity industry regulatory authority for
future reference.
The electricity industry regulatory authority shall establish the rules governing the
application procedure, periods of time, items for review and management rules
regarding permission, registration, revocation or cancellation of the registration and
changes of the electricity industry regulatory authority described in the previous
paragraph.
Article 69
The Self-Use Power Generation Equipment may sell the self-generated electricity
to the Electricity Retailing Enterprise or the Electricity Transmission and Distribution
Enterprise as the Ancillary Service. The sale shall be no more than 20% of the capacity
of the facilities. Nevertheless, the restriction does not apply when one of the following
occurs:
1. The Self-Use Power Generation Equipment whose energy efficiency performance
meets the standard prescribed by the electricity industry regulatory authority may sell
electricity up to 50% of the total capacity of its infrastructure.
2. If the electricity is generated from renewable energy sources, all electric power
produced by the Self-Use Power Generation Equipment may be sold to the Electricity Enterprise.
For Self-Use Power Generation Equipment with the capacity of 2,000 kilowatts or
more, the purchase and sale contract described in the previous paragraph shall be
submitted to the electricity industry regulatory authority for filing. For Self-Use Power
Generation Equipment with the capacity of less than 2000 kilowatts, the purchase and
sale contract shall be submitted to the competent authority at the level of the municipal
government or county (city) government for future reference with a copy forwarded to
the electricity industry regulatory authority.
Article 70
The installation of user utilization equipment by a Self-Use Power Generation
Equipment is limited to its self-owned land area. However, the restriction does not
apply when the government agency prescribed in Paragraph 1 of Article 68 hereof
approves otherwise and the installation does not constitute a hindrance to the local
electricity suppliers.
The Self-Use Power Generation Equipment may wheel the electricity via the power
grids for self-use when the following conditions are met:
1. The Electricity Carbon Emission Factor generated by the electric power is better
than the standard prescribed by the electricity industry regulatory authority in
Paragraph 2 of Article 28 hereof.
2. When the Self-Use Power Generation Equipment is installed jointly by several
applicants, the percentage of investment per applicant shall be 5% or more.
3. The generated electric power may not be sold to Electricity Retailing or Electricity
Transmission and Distribution Enterprise.
Paragraph 1 of Article 10 and Paragraph 3 of Article 46 hereof apply mutatis mutandis
to the application by a Self-Use Power Generation Equipment for wheeling the
electricity through the power grids for self-use prescribed in the preceding paragraph.
Paragraph 3 to Paragraph 5 of Article 39 and Article 40 to Article 44 apply mutatis
mutandis to the installation of powerlines by a Self-Use Power Generation Equipment
pursuant to Paragraph 2 of this Article.
Article 71
Paragraph 3 of Article 25, Article 26, Article 29 to Article 31, Article 34, Article 35,
Article 37, and Article 58 of this Act apply mutatis mutandis to installation,
energization, building, protection and reporting of a Self-Use Power Generation
Equipment, the joint structure of the facility with the telecommunication network,
and the placement of a directorial engineer.
Chapter 8 Penalties
Article 72
An Electricity Enterprise that operates without obtaining an appropriate license
pursuant to Article 15 is subject to a fine ranging from NT$2,500,000 to NT$25,000,000
imposed by the electricity industry regulatory authority, and a time limit is given to
correct the violation. If the violation is of very serious nature, the Electricity Enterprise
may be ordered to wind up. The Electricity Enterprise failing to take corrective actions
or continues its business operation despite the order of suspension shall be fined
consecutively.
Article 73
An Electricity Transmission and Distribution Enterprise that fits in one of the
situations described below is subject to a fine ranging from NT$2,500,000 to
NT$25,000,000 imposed by the electricity industry regulatory authority and given a
period to correct the violation. The Electricity Transmission and Distribution Enterprise
that fails to take corrective actions upon the expiration of the given period shall be fined
per violation:
1. Failing to manage the electric power dispatching pursuant to Article 8, Paragraph 1
of this Act;
2. Failing to draft a rule governing the electric power dispatching pursuant to Article 8,
Paragraph 2 of this Act; or failing to manage the electric power dispatching according
to the approved rule as the failure is of serious nature.
Article 74
An Electricity Enterprise that fits into one of the situations described below is subject
to a fine ranging from NT$1,500,000 to $15,000,000 imposed by the electricity
industry regulatory authority and given a period to correct the violation. Failure to
correct the violations upon the expiration of the given period shall subject the Electricity
Enterprise to a penalty consecutively:
1. Failing to provide necessary support services required in Article 9, Paragraph 1
without reasonable justifications;
2. Rejecting a request for connecting the power grids in violation of Article 18;
3. Suspending or terminating the business without approval in violation of Article 19,
Paragraph 1;
4. Proceeding with a business merger without approval in violation of Article 21;
5. Failing to make available certain capacity for backup supply required in Article 27,
Paragraph 1;
6. Failing to meet the announced Electricity Carbon Emission Factor standard required
in Article 28, Paragraph 1;
7. Installing powerlines that enable direct power supply to the users without approval
in violation of Article 45, Paragraph 3;
8. Failing to plan, build or maintain the power networks across the country in violation
of Article 46, Paragraph 1;
9. Refusing to install the network connecting the power grids to the users in violation
of Article 46 Paragraph 2;
10. Giving unfairly differential treatments to certain users or refuse, without the
required approval, to make the power grids available to Electricity Enterprise for
utilization in violation of Article 46, Paragraph 3;
11. Installing the primary power-generating infrastructure in violation of Article 47,
Paragraphs 1 and 2;
12. Rejecting an user’s request for services in violation of Article 47, Paragraph 3
of this Act;
13. Failing to provide the service within the hours prescribed in Article 54;
14. Rejecting the request for emergency services by a government agency in violation
of Article 57;
15. Failing to allocate the required funds to improve the operation and maintenance
of the machineries, to invest in the pollution-minimizing infrastructure and to facilitate
the advancement of the renewable energy in violation of Article 64 Paragraph 1 of this
Act.
An Electricity Enterprise that fits into one of the situations described in subparagraph
2 and subparagraphs 7 to 15 of the preceding paragraph is subject to penalty by the
electricity industry regulatory authority. A supplier that has been disciplined twice
according to the previous paragraph may be ordered to suspend its business operation
for three to six months, to replace the person-in-charge of the supplier or to revoke the
electricity supplier license.
Article 75
An Electricity Enterprise that fits into one of the situations described below is subject
to a fine ranging from NT$1,000,000 to NT$10,000,000 imposed by the electricity
industry regulatory authority and given a period to correct the violation. The Electricity
Enterprise that fails to correct the violations upon the expiration of the given period
shall be fined consecutively:
1. Failing to set up the office of an independent director required in Article 4,
Paragraph 2;
2. Engaging in the business operation of other aspects of the Electricity Enterprise in
violation of Article 6, Paragraph 1; engaging in the business operation of other
industries without approval in violation of Article 6, Paragraph 2; failing to implement
an accounting system appropriate for keeping accounts of the losses and profits of the
respective operations, or engaging in cross subsidization in violation of Article 6,
Paragraph 3; violating the regulations governing the accounting separation system,
accounting methods, procedures and principles as well as the supervision and
management of the accounting practices, as provided in Article 6, Paragraph 4, and
the circumstances are considered serious;
3. Commencing the construction work without permission in violation of Article 15,
Paragraph 1;
4. Changing the energy sources, capacity or the site address of the primary
infrastructure without approval and commence construction work in violation of
Article 16, Paragraph 1;
5. Failing to comply with the procedure for reporting the capacity allocated to backup
supply, the period and the management thereof as prescribed in Article 27, Paragraph 3,
and the circumstances are considered serious.
Article 76
An Electricity Enterprise that fits into one of the situations described below is subject
to a fine ranging from NT$1,000,000 to NT$10,000,000 imposed by the central
competent authority and given a period to correct the violation. The Electricity
Enterprise that fails to correct the violations upon the expiration of the given
period shall be fined consecutively:
1. Failing to install the electricity supply infrastructure according to the established
rules governing the scope, items, layout, and safety issues prescribed in Article 25,
Paragraph 3;
2. Failing to supply electricity of the required voltage and frequency prescribed in
Article 26, Paragraph 1;
3. Failing to install all meters and instruments necessary as prescribed in Article 29;
4. Failing to install safety protection devices as prescribed in Article 30 Paragraph 1;
5. Failing to perform regular inspection and maintenance of the electricity supplier
infrastructure and duly record the findings as prescribed in Article 31, Paragraph 1;
6. Failing to comply with the rules governing the installation of networks, space
interval, and construction safety as prescribed in Article 37, Paragraph 2;
7. Failing to charge at the rates according to the price of electricity and various
other charges approved under the Article 49, Paragraph 2;
8. Failing to set up a directorial engineer position as prescribed in Article 58;
9. Failing to establish the assistance fund to facilitate the development of electric
power as prescribed in Article 65 Paragraph 1;
A Electricity Enterprise that fails to announce the price of electricity and various
rates and charges pursuant to Article 49, Paragraph 2 is subject to a fine imposed by
the central competent authority, ranging from NT$500,000 to NT$5,000,000 and
given a period to correct the violation. The Electricity Enterprise that fails to correct
the violations upon the expiration of the given period shall be fined consecutively.
Article 77
An Electricity Enterprise that fails to submit the reports for future reference or to
publicize certain information as prescribed in Article 66, Paragraph 1, or violates
Paragraph 2 of the same article by refusing to supply supplementary information or
accept auditing, is subject to a fine in an amount ranging from NT$1,000,000 to
NT$10,000,000 imposed by electricity industry regulatory authority or the central
competent authority and given a period to correct the violation. The Electricity
Enterprise that fails to correct the violations upon the expiration of the given period
shall be punished consecutively.
Article 78
An Electricity Enterprise that fits into one of the situations described below is
subject to a fine ranging from NT$1,000,000 to NT$10,000,000 imposed by the
competent authority and given a period to correct the violation. The Electricity
Enterprise that fails to correct the violations upon the expiration of the given period
shall be fined consecutively:
1. Failing to set up a power grid geographical information management system as
prescribed in Article 25, Paragraph 2 and to update the information on the platform
accordingly, or refuse to provide supplementary information or to accept inspection
as prescribed in the same article;
2. Failing to repair, alter or replace the Electricity Enterprise infrastructure or safety
protection devices that do not conform to the requirements within the given period in
violation of Article 67, Paragraph 1;
3. Evading, impeding or refusing the auditing or inspection in violation of Article 67,
Paragraph 2;
Article 79
An Electricity Enterprise that fits into one of the situations described below is subject
to a fine ranging from NT$500,000 to NT$5,000,000 imposed by the electricity
industry regulatory authority:
1. Evading, impeding or refusing the electricity industry regulatory authority’s
order or inspection in violation of Article 12, Paragraph 2 of;
2. Failing to apply for renewal of the license prior to the expiration of the prescribed
time limit in violation of Article 17, Paragraph 1;
3. Failing to apply for replacement of an outdated license prior to the expiration
of the time limit prescribed in Article 22, Paragraph 3;
The Electricity Enterprise that fits into the situation described in either Subparagraph 1
or Subparagraph 3 of the preceding paragraph will be given a period to correct the
violation. The supplier that fails to correct the violations upon the expiration of the
given period shall be penalized per violation.
Article 80
An Electricity Generating Enterprise or Electricity Transmission and Distribution
Enterprise that fails to file reports as prescribed in Article 35 is subject to a fine
ranging from NT$500,000 to NT$5,000,000 by the competent authority and given
a period to correct the violation. The Electricity Generating Enterprise or Electricity
Transmission and Distribution Enterprise that fails to correct the violations upon the
expiration of the given period shall be punished per violation.
A Self-Use Power Generation Equipment that fails to file reports pursuant to
Article 71 of the Act which applies mutatis mutandis Article 35 is subject to a
fine ranging from NT$200,000 to NT$2,000,000 imposed imposed by the competent
authority and given a period to correct the violation. The Self-Use Power Generation
Equipment that fails to correct the violations upon the expiration of the given period
shall be punished per violation.
Article 81
An Electricity Enterprise that fits into one of the situations described below is subject
to a fine ranging from NT$500,000 to NT$5,000,000 imposed by the competent
authority at the level of the municipal government or county (city) government and
given a period to correct the violation. The Electricity Enterprise that fails to correct
the violations upon the expiration of the given period shall be punished per violation:
1. Failing to perform required inspections, to provide services to users when their
utilization equipment fails to pass the inspections, to perform regular inspections,
to keep a record of the regular inspections, or to notify the non-conforming users to
correct the deficiencies within a definite period of time in violation of Article 32,
Paragraph 1;
2. Evading, impeding or refusing to file reports, to provide relevant information or
to accept auditing in violation of Article 32, Paragraph 3;
3. Failing to immediately dispatch technical personnel to erect visible signs and to
put in protection measures as prescribed in Article 34;
4. Failing to comply with Article 43by reporting its actions or notifying the parties
within the prescribed time;
5. Failing to comply with Article 55 by obtaining the required approval or filing the
report after the event;
6. Failing to verify the membership certificate of completion of work before allowing
energization of the equipment in violation of Article 59, Paragraph 2;
7. Failing to verify the membership certificate issued by an appropriate electrical
engineer association before reviewing and approving the service request for
energization of Electricity Facilities or User’s Electricity Device in violation of
Article 59, Paragraph 3;
8. Failing to use the electricity development assistance fund according to the method
and scope prescribed by the central competent authority, or to evade, to impede, and
to refuse auditing performed by the competent authority at the level of the municipal
government or county (city) government in violation of Article 65, Paragraph 2.
Article 82
The owner that installs a Self-Use Power Generation Equipment, which fits into
one of the situations described below, is subject to a fine ranging from NT$200,000 to
NT$2,000,000 and given a period to correct the violation. The facility that fails to
correct the violations upon the expiration of the given period shall be punished per
violation:
1. Installing a Self-Use Power Generation Equipment without permission in violation
of Article 68, Paragraph 1; failing to comply with the rules governing the management
of private power-generating facilities, and the circumstances are serious;
2. Selling the electric energy in violation of Article 69, Paragraph 1;
3. Installing the user utilization equipment in violation of Article 70, Paragraph 1;
4. Failing to immediately dispatch technical personnel to erect visible signs and put
in protection measures as prescribed in Article 71 mutatis mutandis applying Article 34;
The owner that installs a Self-Use Power Generation Equipment, which fits into one
of the situations described in Subparagraphs 1 to 3 of the preceding paragraph and has
a capacity of 2,000 kilowatts or more, is subject to disciplinary actions imposed by the
Electricity Enterprise regulatory agency; a Self-Use Power Generation Equipment with
capacity of no more than 2000 kilowatts is subject to disciplinary actions imposed by
the competent authority at the level of the municipal government or county (city)
government.
The owner that installs a Self-Use Power Generation Equipment, which fits into the
situation described in Paragraph 1 Subparagraph 4 of this article, is subject to
disciplinary actions imposed by the competent authority at the level of the municipal
government or county (city) government.
Article 83
A Contract Electric Appliance Installer or a Power Facility Inspection and Maintenance
Administration that carries out business operation without the required registration is
subject to a fine ranging from NT$200,000 to NT$2,000,000 imposed by the competent
authority at the level of the municipal government or county (city) government.
The Contract Electric Appliance Installer or the Power Facility Inspection and
Maintenance Administration that fits into the situation described in the preceding
paragraph will be given a period to correct the violation by the competent authority at
the level of the municipal government or county (city) government, or ordered to
suspend business operation if the violation is of serious nature. The Contract Electric
Appliance Installer or the Power Facility Inspection and Maintenance Administration
that fails to correct the violations or suspend business operation upon the expiration of
the given period shall be fined per violation.
Article 84
A Contract Electric Appliance Installer or a Power Facility Inspection and Maintenance
Administration that fits into one of the situations described below is subject to a fine
ranging from NT$100,000 to NT$1,000,000 imposed by the competent authority at the
level of the municipal government or county (city) government:
1. Failing to join an appropriate trade association as required by Article 59,
Paragraph 1;
2. Employing personnel whose qualifications do not meet the criteria prescribed
in Article 59, Paragraph 5 or Paragraph 6 to work in the field of electrical engineering;
3. Violating Article 62, Paragraph 1;
4. Violating Article 62, Paragraph 2 by evading, impeding or refusing to file reports,
to provide information or to accept auditing;
The Contract Electric Appliance Installer or the Power Facility Inspection and
Maintenance Administration that fits into a situation described in the preceding
paragraph will be given a period to correct the violation by the competent authority
at the level of the municipal government or county (city) government, and shall be
penalized per violation when it fails to correct the violations upon the expiration of the
given period. If the violation described in Subparagraph 1 of the preceding paragraph
is of serious nature, the violator may be ordered to suspend business operation for
three to six months or have its registration revoked.
Article 85
A trade association that fails to comply with Article 59, Paragraph by refusing
the Contract Electric Appliance Installer’s or the Power Facility Inspection and
Maintenance Administration’s application for membership is subject to a fine ranging
from NT$100,000 to NT$1,000,000 imposed by the central competent authority and
given a period to correct the violation. The trade association that fails to correct the
violations upon the expiration of the given period shall be punished per violation.
The person-in-charge of an industrial plant, mine field and structures and buildings
for public use utilizing electricity classified as high voltage or above violates
Article 60, Paragraph 1 of this Act by failing to employ full-time electrical technical
personnel or to hire a Power Facility Inspection and Maintenance Administration to
maintain the safety of the use of electrical equipment within the boundary lines of the
electricity supply infrastructure is subject to a fine ranging from
NT$100,000 to NT$1,000,000 by the central competent authority and given a period
to correct the violation. The violator that fails to correct the violations upon the
expiration of the given period shall be fined per violation and suspended to be supplied
with electricity service by the Electricity Enterprises.
Article 86
The owner that installs a Self-Use Power Generation Equipment that fits into one
of the situations described below is subject to a fine ranging from NT$50,000 to
$500,000 imposed by the competent central authority and given a period to correct
the violation. The owner that fails to correct the violations upon the expiration of
the given period shall be fined per violation:
1. Failing to install the Self-Use Power Generation Equipment in compliance with
the rules governing the scope, items, layout, safety issues of the electricity supply
infrastructure prescribed in Article 71 applying mutatis mutandis to Article 25,
Paragraph 3;
2. Failing to supply electricity of the required voltage and frequency as prescribed
in Article 71 applying mutatis mutandis to Article 26, Paragraph 1;
3. Failing to install all meters and instruments necessary as prescribed in Article 71
applying mutatis mutandis to Article 29;
4. Failing to duly install safety devices as prescribed in Article 71 applying mutatis
mutandis to Article 30, Paragraph 1;
5. Failing to perform regular inspection and maintenance of the Self-Use Power
Generation Equipment and duly record the inspection and maintenance findings, as
prescribed in Article 71 applying mutatis mutandis to Article 31, Paragraph 1;
6. Failing to install lines as prescribed in Article 71 applying mutatis mutandis to
Article 37, Paragraph 1;
7. Failing to set up an office of the directorial engineer as prescribed in Article 71
applying mutatis mutandis to Article 58.
Article 87
A violator that fits into one of the situations described below is subject to a fine
ranging from NT$10,000 to NT$100,000 imposed by the competent authority at
the level of the municipal government or county (city) government and given a
period to correct the violation. The violator that fails to correct the violations upon
the expiration of the given period shall be punished per violation:
1. Allowing personnel whose qualifications do not meet the criteria prescribed in
Article 59, Paragraph 5 or Paragraph 6 to work in the field of electrical engineering;
2. Failing to comply with the rules governing the management of the Contract Electric
Appliance Installer and the Power Facility Inspection and Maintenance Administration
as prescribed in Article 59, Paragraph 7;
3. The person-in-charge of an industrial plant, mine field and structures and buildings
for public use utilizing electricity classified as high voltage or above violating
Article 60, Paragraph 1 of this Act by failing to register or regularly file the inspection
records, or violating Paragraph 2 of the same article by failing to comply with the rules
governing the record-keeping method for and management of electrical equipment and
energized facilities, management of the full-time electrical technical personnel and other
related matters;
4. The full-time electrical technical personnel violating Article 63 of this Act.
For a violator that fits into the situation described in Subparagraph 3 of the preceding
paragraph, the competent authority at the level of the municipal government or county
(city) government may work in conjunction with the Electricity Enterprises to stop
electric supply to the energized facilities where the person-in-charge fails to duly
register or to file regular inspection reports.
Chapter 9 Supplementary Provisions
Article 88
The central competent authority may set up the electricity price stabilization fund to
ameliorate the impact of short-term fluctuations of the price of the electricity to the
economy.
The following sources of funds may contribute to the fund prescribed in the preceding
paragraph:
1. The amount of a public electricity retailer’s annual final adjusted after-tax earnings in
excessive of the reasonable profit margin;
2. Allocation of the government funds through the regular budgeting process;
3. Contribution from the Electricity Enterprises;
4. Contribution from the private enterprises;
5. Interests and dividends of the fund;
6. Other related income.
Article 89
An Electricity Generating Enterprise that has a nuclear power plant shall, during the
operation period, appropriate sufficient funds for the back-end management of nuclear
power generation, including the processing, transportation, storage and final disposal
of radioactive waste, decommissioning of the plant and the necessary community give-
back measures and related disposal costs.
The central competent authority shall stipulate the calculation formulae for the funds
described in the previous paragraph, the time limit for contribution, and the payment
procedure as well as the rules governing other related matters.
Article 90
The central competent authority may establish an electric research and testing institute
as a designated institution to engage in the studies of electricity-related technical
regulations, electrical equipment testing as well as methods to improve the reliability
of the electric systems and safety of the service.
Article 91
The central competent authority shall present the annual report on the current supply
and demand of electricity in the country, progress of the development of electricity
and the status of the energy saving and carbon reduction policy; the report shall be
open for public access.
Article 92
Prior to implement of the provisions of this Act amended on January 11, 2017, an
Electricity Enterprise that have obtained the appropriate license shall apply for an
appropriate license replacement within six months after the effective date. An
Electricity Enterprise that fails to apply for replacement or applies but fails to meet the
criteria set out in this Act shall have its original license revoked and duly announced
so by the electricity industry regulatory agency. A supplier that continues its business
operation despite the revocation of its license is subject to disciplinary actions pursuant
to Article 72 of this Act.
Article 93
Prior to implement of the provisions of this Act amended on January 11, 2017 an
Electricity Enterprise that engages in the generation of electricity and holds the
status of a public enterprise may retain the rights and privileges received as a public
utility until the expiration of the period of business operation allowed on the original
license.
Article 94
Prior to implement of the provisions of this Act amended on January 11, 2017 any
discrepancies between an Electricity Enterprise’s guidelines and regulations for
business operation written prior to the effective date and the regulations contained
in this Act shall be modified within six months after the amendment of this Act
becomes effective.
Article 95
The government shall set up a plan that actively promotes the procedure governing
the final disposal of the low-level radioactive waste in order to address the issues
associated with the low-level radioactive waste currently stored in Lanyu. The related
promotion plans shall be made pursuant to the Act on Sites for Establishment of Low
Level Radioactive Waste Final Disposal Facility.
Article 96
The regulations governing electricity and other electricity-related enterprises as
provided in the Privately Owned Public Utilities Supervisory Act shall no longer be
applicable prior to enforcement of the provisions of this Act amended on January 11,
2017.
Article 97
The Act becomes effective upon promulgation unless an effective date is otherwise
stipulated. |