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Path dependence meets export-driven decarbonization: A historical institutional analysis of Taiwan's renewable energy policies

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  • Wang, Wan-Ching
  • Lin, Tze-Luen

Abstract

This study applies Historical Institutionalism (HI) to analyze Taiwan's renewable-energy policies from 2016 to 2024, focusing on the interaction of institutional inertia and export-oriented decarbonization pressures. Taiwan's transition faces a “dual tension”: entrenched lock-in from low tariffs and centralized thermal power, and external demands such as the EU Carbon Border Adjustment Mechanism (CBAM), multinational supply-chain requirements, and tariff conflicts. CBAM, formally implemented in 2026, had already compelled anticipatory compliance and industrial adjustments in 2025 through trade-related rules and supply-chain demands. The study advances a “dual tension framework,” illustrating both the theoretical value of HI and concrete policy lessons for other export-dependent economies.

Suggested Citation

  • Wang, Wan-Ching & Lin, Tze-Luen, 2025. "Path dependence meets export-driven decarbonization: A historical institutional analysis of Taiwan's renewable energy policies," Utilities Policy, Elsevier, vol. 97(C).
    • Handle: RePEc:eee:juipol:v:97:y:2025:i:c:s0957178725001754
    DOI: 10.1016/j.jup.2025.102060
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