As Taiwan advances toward net-zero emissions by 2050, energy transition and transportation decarbonization have become focal points of attention. Je-Liang Liou, Director of the Chung-Hua Institution for Economic Research (CIER), notes that while policy prioritizes electric vehicles, gasoline-powered vehicles will continue to dominate in the near term. Without alternative solutions, this could hinder progress in carbon reduction.
Nearly all vehicles compliant with current regulations can use E10 ethanol-blended gasoline without modification. Switching from 92 or 95 octane gasoline to E10 can reduce carbon emissions by approximately 7.3%, with cumulative benefits proving substantial. Therefore, bioethanol gasoline represents a viable low-carbon option for gasoline-powered vehicles.
Director Je-Liang Liou emphasizes that with clear international carbon reduction trends, gradually maturing domestic policies, and social consensus, now is an opportune moment to advance these initiatives. Moving forward, a comprehensive approach that addresses the technical, economic, and institutional dimensions is essential, including supply chain development and cost-sharing mechanisms, while progressively building social consensus to ensure effective policy implementation. Pursuing electric vehicles and ethanol-blended gasoline in parallel would help alleviate pressure on carbon emissions from transportation, construct diversified decarbonization pathways, and strengthen the resilience of Taiwan’s energy transition.
Author: CIER Editorial Team Date: October 3, 2025