Unclear government policy is the biggest challenge for companies in Taiwan when it comes to developing plans to address the challenges posed by climate change, according to findings from a survey revealed by the British Office Taipei (BOT) on Wednesday.

According to the report commissioned by BOT, more than 83 percent of the 588 domestic enterprises surveyed believe that the business sector will play an important role if Taiwan’s government commits to reaching its goal of reducing carbon emissions to 50 percent of 2005 levels by 2050.

However, more than 65 percent of the respondents said unclear environmental policy set out by the government is the biggest challenge they face when mulling and adopting plans to reduce greenhouse gas emissions, followed by the difficulty of acquiring alternative energy in Taiwan.

Although the Greenhouse Gas Reduction and Management Act went into effect in 2015, Taiwan’s Environmental Protection Administration has yet to establish carbon pricing mechanisms, the report said, citing company representatives.

Carbon pricing normally includes the cap-and-trade system and carbon taxes, and the former refers to emission allowances distributed by the authorities to designated companies that can be traded between those companies.

The report also found that some 68.2 percent of the companies surveyed said they currently do not have a plan to invest in alternative energy.

More than 80 percent of the firms said the high cost of alternative energy may prevent them from adopting alternative energy, the report said.

In addition, 61.3 percent of the companies surveyed believe that electricity supplied by alternative energy is less stable than traditional energy, the report found.

According to the BOT, the report was conducted to learn about Taiwanese enterprises’ attitude on adopting climate action and the results can provide a reference for both the public and private sectors.

The survey was conducted between July 2 and August 2 among companies in the manufacturing, finance and service industries, the BOT said.

The BOT represents the United Kingdom’s interests in Taiwan in the absence of formal diplomatic ties.

Source: Focus Taiwan News Channel