Taiwan will vote on restarting a nuclear reactor as power demand surges from AI

Taiwan will head to the polls this weekend to decide whether to restart nuclear power, only 3 months after it shut down the last reactor.

The referendum reflects growing unease over how the island can secure enough electricity to support its fast-expanding semiconductor industry. With that, the vote reflects Taiwan’s broader struggle to ensure reliable energy supplies in the face of potential pressure or blockade from China.

The vote asks citizens if they would approve restarting one of the reactors at Southern Taiwan’s Maanshan nuclear plant. The restart would only go forward if regulators confirm that no safety risks are involved.

The decision comes at a time when demand for electricity is surging worldwide, especially for AI computing. Many governments are now reconsidering nuclear power as they balance the need for energy with efforts to reduce carbon emissions.

Several countries have signaled renewed interest in nuclear energy

In the United States, former President Donald Trump has set a goal to quadruple nuclear capacity within the next twenty-five years. 

Germany’s coalition government is re-examining its plan to phase out the energy source. Japan, more than a decade after the Fukushima disaster, has begun restarting nuclear reactors and has even announced plans to build new facilities.

Foreign experts have asked Taiwan to consider a similar path. Over 95% of its current energy comes from imported coal, gas, and oil, leaving the island exposed if China, which claims Taiwan as its territory, were to cut off supplies.

Mark Cancian of the Center for Strategic and International Studies in Washington described energy as Taiwan’s “weakest link.” He argued that the island must extend the life of existing nuclear plants and strengthen its power grid to withstand potential crises.

Despite the policy shift, Taiwan has been struggling to ramp up renewable energy fast enough. In the first half of 2025, renewables produced just 13% of electricity, well short of the 20% target. Natural gas was the top source at 46.2%, after which coal was at 35%.

At the same time, electricity demand has been climbing sharply, driven in part by the global AI boom. Taiwan Semiconductor Manufacturing Co. (TSMC), the world’s biggest chipmaker, already consumes about 12% of all electricity used on the island and is rapidly building new capacity.

Power shortages have grown more common as TaiPower works to modernize its grid. To reduce losses, the government has raised electricity prices, which were long among the lowest worldwide.

Public opinion on nuclear power is changing

A survey by the Taiwan Institute for Sustainable Energy Research found that 66.1% of people now support nuclear power to meet the 2050 net-zero goal, compared with 58.3% last year. 

Still, enthusiasm for restarting old reactors is limited. The same study noted less support for extending the lifespan of aging plants. Even President Lai has hinted at openness to exploring new nuclear technologies, though he remains firmly opposed to bringing the Maanshan unit back online.

The referendum’s outcome will be valid for only two years, meaning bureaucratic hurdles could still delay any restart. Within Taiwan, much of the debate has shifted away from security and toward the economy and environment.

Business leader Tung Tzu-hsien, founder of electronics maker Pegatron and an advisor on climate policy, warned that shutting nuclear plants has come at a steep cost. In a televised debate, he criticized the reopening of coal-fired plants as a stopgap, calling it “absurd” and accusing the DPP of weakening Taiwan’s standing on carbon emissions.

He warned that an inappropriate energy mix may hurt Taiwan in the long-term especially due to the adoption of carbon taxes worldwide.

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