37 years of residential summer electricity rates: average annual rate remains unchanged, 4.01 million households unaffected, 70% of users pay less than NT$3 per kWh

Source: Republic of China Taiwan

June 1, 2026-Residential summer electricity rates take effect starting today. A Taipower representative expressed that Taipower adheres to the practices of electricity providers in international markets such as the USA, Japan, and the UK: For the past 37 years, since 1989, Taipower has implemented summer electricity rates on an annual basis during the months from June through September. The summer electricity rate system is not actually a rate increase, and the average annual electricity rate remains unchanged.

Rather, air conditioner use during the summer months increases electricity consumption by 40% compared to that of non-summer months, resulting in higher utility bills for the public. However, 4.01 million users throughout Taiwan are not impacted, and for over 70% of users, the average rate remains at less than NT$3 per kWh. Meanwhile, the highest rate tier-NT$8.86 per kWh-applies only to the portion exceeding 1000 kWh. The average power consumption of over 97% of users nationwide is less than 1000 kWh, meaning that this rate tier does not apply to them.

A Taipower representative emphasized that residential summer electricity rates are implemented for a set period of 4 months each year during the summer season, and comprise a portion or the average electricity rate-they do not constitute a rate increase, and the average annual electricity price remains the same. To reflect the difference in the cost or supplying electricity during the summer and non-summer months, Taipower applies higher rates during the summer months and lower rates during non-summer months in accordance with the average electricity rate approved by the Electricity Tariff Review Committee, guiding customers to increase power consumption efficiency and promote energy conservation.

A Taipower representative explained that last year (2025), the average monthly electricity consumption per household in Taiwan was 308 kWh during the non-summer period. During the summer (June through September), due to the hotter temperature, monthly electricity consumption rose to 418 kWh per household, an increase of nearly 40% compared to the non-summer period, which also increased monthly electricity bills by approximately NT$446 on average. Of this amount, NT$326 (73%) arose from increased power consumption, whereas only NT$120 (27%) could be attributed to summer electricity rates.

A Taipower representative further explained that residential summer electricity rates are only applicable to customers with monthly power consumption of over 120 kWh. Nationwide, nearly 30% of customers-a total of 4.01 million households-consume an average of 120 kWh per month or less. If these customers maintain their ordinary power consumption habits, they will not be impacted by summer electricity rates in any way. An additional 40% of customers-a total of 5.2 million households-consume between 121-330 kWh of electricity monthly, resulting in a maximum cost increase of approximately NT$2 per day during the summer months. For more than 70% of users, the average rate per kWh remains below NT$3. The summer rate primarily impacts the 2.4% of residential customers whose monthly power consumption exceeds 1000 kWh. Taipower also called on these households to collectively conserve electricity.

In response to media reports claiming that this year’s summer electricity rate schedule is the most expensive in history, a Taipower representative explained that residential electricity rates are calculated using a progressive pricing structure, i.e., each consumption tier has its own set rate, and only the portion of electricity consumption exceeding a given tier is charged in accordance with the higher tier. For example, the rate for power consumption in excess of 1000 kWh is NT$8.86; if a customer’s power consumption is 1001 kWh, only the 1 kWh that exceeds 1000 kWh will be impacted. Moreover, over 97% of residential customers consume an average of 1000 kWh per month or less, so the NT$8.86 rate does not apply to them.

Spokesperson: Chief Administrator Huang Mei-Lien
Phone: (02) 2366-6271; 0922-696-383
E-mail: u030573@taipower.com.tw

Contact Person: Department of Business Director Chung Si-Si
Phone: (02) 2366-6650; 0922-483-804
E-mail: u149447@taipower.com.tw