Taiwan’s Ministry of Environment has announced a significant overhaul of its water pollution control fee system, set to take effect next year. The revised regulations aim to enhance industrial accountability and environmental protection by increasing fees on a broader range of pollutants and introducing new incentives for eco-friendly practices.
This marks the first major adjustment in water pollution fees in over a decade. Under the new rules, higher charges will be levied on harmful substances such as lead, nickel, copper, mercury, cadmium, chromium, arsenic, and cyanide. Additionally, the fee structure will now include zinc, tin, and ammonia nitrogen—elements previously excluded from regulation.
The Department of Water Quality Protection stated that the long-standing stagnation in fee rates has reduced the incentive for companies to invest in pollution prevention. In many cases, businesses found it more cost-effective to pay minimal fees or penalties than to upgrade wastewater treatment systems. The updated policy is designed to reverse this trend and strengthen the “polluter pays” principle, which holds polluting entities financially responsible for environmental damage.
To avoid sudden financial pressure on businesses, the fee increases will be phased in over several years. Starting in 2026, industries will receive a 50% discount on the new rates, with the discount gradually reduced each year until full rates are enforced in 2031. For example, the control fee for lead, nickel, and copper will rise from NTD 625 to NTD 1,000 per kilogram next year and gradually increase to NTD 2,000 per kilogram by 2031.
The changes are expected to impact approximately 2,200 industrial sewage system operators, including companies in science parks, power plants, and key sectors such as semiconductors, electroplating, and printed circuit boards. Despite the broad scope, officials noted that the financial effect in the initial year will be modest, with 90% of affected operators likely to see an increase of less than NTD 20,000.
Ammonia nitrogen was added to the revised list of fee-regulated substances due to its potential to disrupt aquatic ecosystems and contribute to eutrophication. Zinc and tin were included for their ability to bioaccumulate in living organisms, posing long-term risks to both wildlife and human health.
In addition to fee hikes, the government is offering new incentives to promote green investment. Companies that install or upgrade wastewater treatment systems may qualify for an investment tax credit. Businesses implementing resource recovery technologies—such as biogas production from anaerobic fermentation or ammonia nitrogen recycling—can receive a fee reduction of up to 60% per payment cycle for up to three years.
Officials emphasized that the reform aligns with global sustainability goals and supports Taiwan’s broader environmental objectives, including carbon reduction and the development of a green economy.
