To address its energy challenges, Taiwan is investing in geothermal energy as a sustainable solution.
Taiwan's Shift to Geothermal Energy: A Necessity Amidst Rising Threats

Taiwan's Shift to Geothermal Energy: A Necessity Amidst Rising Threats
Taiwan faces energy vulnerability due to heavy reliance on imports as it navigates geopolitical tensions with China.
Taiwan, a global powerhouse in advanced computer chip manufacturing, is confronting a significant energy dilemma. With over 96 percent of its energy imported—primarily through maritime means—its dependence on external sources puts the island democracy in a precarious position, especially in light of China's ongoing threats. A recent commentary in a Chinese military magazine outlined this vulnerability, highlighting how blockades of energy shipments could potentially weaken Taiwan without direct military confrontation.
In response to these challenges, Taiwan is focusing on harnessing its local resources, particularly geothermal energy located deep within its mountainous terrain. This move not only seeks to secure the island’s energy future but also supports its burgeoning manufacturing sector, which currently consumes more than a third of Taiwan's energy. With companies like the Taiwan Semiconductor Manufacturing Company (TSMC) expanding to meet the increasing demand for AI chips, establishing a reliable and independent energy supply has never been more crucial.
Experts argue that a diversified mix of energy sources is essential for any country, but for Taiwan, this diversification holds critical importance. Utilizing repurposed oil rigs to dig geothermal wells, the state oil company is taking proactive steps to tap into this renewable energy source. This strategic pivot aims to fortify the nation’s energy independence and reduce its reliance on foreign energy supplies, a necessary shift in the face of escalating regional tensions.
Taiwan's transition to geothermal energy reflects not only a response to immediate threats posed by geopolitical adversaries but also an opportunity for sustainable growth and innovation in energy production. As Taiwan continues to bolster its energy security, it shapes the landscape for both its economy and the global technology sector, where its chips play a pivotal role.
In response to these challenges, Taiwan is focusing on harnessing its local resources, particularly geothermal energy located deep within its mountainous terrain. This move not only seeks to secure the island’s energy future but also supports its burgeoning manufacturing sector, which currently consumes more than a third of Taiwan's energy. With companies like the Taiwan Semiconductor Manufacturing Company (TSMC) expanding to meet the increasing demand for AI chips, establishing a reliable and independent energy supply has never been more crucial.
Experts argue that a diversified mix of energy sources is essential for any country, but for Taiwan, this diversification holds critical importance. Utilizing repurposed oil rigs to dig geothermal wells, the state oil company is taking proactive steps to tap into this renewable energy source. This strategic pivot aims to fortify the nation’s energy independence and reduce its reliance on foreign energy supplies, a necessary shift in the face of escalating regional tensions.
Taiwan's transition to geothermal energy reflects not only a response to immediate threats posed by geopolitical adversaries but also an opportunity for sustainable growth and innovation in energy production. As Taiwan continues to bolster its energy security, it shapes the landscape for both its economy and the global technology sector, where its chips play a pivotal role.