Taiwan Steps Up Development of Smart Grids

Taipei, Jan. 11, 2010 (CENS)--In light of growing concerns about global warming and carbon emission reduction issues worldwide, Taiwan has stepped up the development and construction of smart grids, an admittedly energy-saving electricity delivering network, as part of its effort on environmental protection.

Taiwan Power Co., a state-owned electric power supplier, has kicked off a 20-year development project since 2008, planning to construct smart grids with increased delivery reliability, electrical safety and power efficiency on the island, develop advanced metering infrastructure and complete integration of distributed generation.

The project is expected to create an enormous business opportunity worth NT$60 billion (US$1.935 billion at US$1: NT$31), and has attracted a number of Taiwanese suppliers of heavy electrical equipment, such as Teco Electric and Machinery Co., Tatung Co., Chung Hsin Electric & Machinery Mfg. Corp. and Allis Electric Co., Ltd., as well as the big-name power supplies maker Delta Electronics Inc. and solar cell supplier Motech Industries Inc. to scramble for the big market pie.

Besides, as Taiwan Power will incorporate integrated protocol standards and knowledge platforms to achieve better communications for smart grids, some IT (information technology) companies can also benefit from development of smart grids on the island.

In fact, heavy electric equipment suppliers indicate, emergence of smart grids is expected to generate giant business opportunities, estimated at US$183 billion worldwide in the next 20 years, with advanced countries, such as the U.S., Italy, Japan and Sweden, and heavy-weight enterprises, like IBM, Siemens, GE, Toshiba, Hitachi and Sharp, already engaged in development of the modernized electric delivery networks.

The U.S. government, fort instance, has planned to pour US$11 billion in two years into building smart grids and developing advanced metering infrastructure. In 2012, a total of 40 million smart meters will be settled for residential, industrial and commercial use statewide. Furthermore, Italy's energy provider Enel has carried out a "Telegestore" advanced metering management project since 2001, and has completed installation of around 30 million smart meters in the country at a cost of 2.1 billion euros.