News
09-08
2025selected by the Ministry of Environment as an investment unit to strengthen Taiwan's green environmental protection industry
The Ministry of Environment introduces a venture capital mechanism for the first time! Twelve institutions join the ranks of the 10 billion yuan green fund
July 18, 2025, 4:26 PM, Economic Daily News / Reporter Hu Shunhui / Taipei Breaking News
The Ministry of Environment (MEE) announced the official launch of the "Implementation Plan for Strengthening Investment in Green Growth and Net-Zero Industries" on the 18th, simultaneously announcing the first 12 venture capital firms and professional investment institutions. This marks the beginning of the operational phase of the Green Growth Fund, which is supported by NT$10 billion in guidance from the National Development Fund. The fund will co-invest with private capital, targeting six net-zero industries: resource recycling, forward-thinking energy, and carbon capture. The goal is to gradually build a local green startup ecosystem in Taiwan within ten years.
This is the first time a venture capital mechanism has been incorporated into environmental policy. By jointly ing, investing, and managing projects with private venture capital firms, the fund aims to direct capital to promising but high-risk startups. The MEE stated that it has completed a preliminary inventory of 140 potential companies and will be matching them with 12 venture capital firms. The Ministry hopes to make its first investment this year as soon as possible.
Ministry of Environment Vice Minister Yeh Jun-hong noted that the EPA previously focused on inspections and regulations, but this is the first time it is assisting businesses through investment. Statistics show that over 90% of domestic capital has long flowed overseas. The agency hopes to direct funds back to Taiwan through the Green Fund, a partnership with the National Development Fund, to invest in forward-looking industrial technologies such as net-zero emissions, resource recycling, and AIoT applications.
Yeh Jun-hong further explained that the Green Fund primarily assists unlisted companies through a co-investment mechanism. Private investors will first assess their business potential and carbon reduction benefits, and then, after review by a project office and review panel, decide whether to invest. The investment ratio is generally 1:1 or 2:1. However, if the investment meets the six key policy areas, the government can increase its investment by up to three times.
The 12 investment institutions announced this time include China Development Capital, Taiwan Development Bank (3045), Mega Management Consultants, Hongfu Capital, Living Water Impact Investment, Yiding Venture Capital, Guolian Venture Capital, Chuangshi Investment, Hefuyi Company, Norinco Asia Capital, Qifu Capital, and Spark International Venture Capital, nine of which are venture capital firms.
Wu Peiyu, Deputy Executive Director of the Ministry of Environment's Green Strategy Office, stated that this program, a subsidiary of the National Development Fund, completed the operational guidelines in February of this year. The program is expected to be implemented over a 10-year period, with investments in the first seven years and investment disposals in the last three years. The investment amount per project will range from NT$20 million to NT$100 million.
Investment will prioritize six key areas: emerging resource recycling industries, deep energy conservation and energy efficiency improvement industries, advanced energy and technology storage, digital and low-carbon technology applications, carbon capture and negative carbon technologies, and climate adaptation and disaster prevention technologies.
Wu Pei-yu pointed out that these areas are still in the technological development stage and pose certain risks to investors. The involvement of the National Development Fund can help lower the investment threshold and risk burden, further encouraging market participation.
Yeh Jun-hong added that various departments and agencies have initially identified potential companies, such as wafer fab waste recycling companies that can reprocess hydrofluoric acid into cryolite, processing companies that recycle organic solvents, and energy technology companies developing smart power management systems. These companies all have the potential to reduce carbon emissions and save energy. These companies are expected to be matched on-site at upcoming fundraising presentations.
The first fundraising company promotion presentation is scheduled for July 24th, and a special matchmaking session will be held on August 13th in conjunction with the "2025 Venture Capital Annual Conference." The Ministry of Environment stated that it will conduct quarterly ion of matching investors, with a second round of open solicitation expected in September to expand participation.
Regarding external concerns about risk management, Ye Junhong stated that venture capital inherently requires a certain degree of trial and error. The program incorporates phased investment, project review, and post-investment management mechanisms. If the company successfully grows and goes public, the fund will exit. If operations fail, guidance and disciplinary measures will be provided to prevent capital loss.
Source: https://udn.com/news/story/7240/8881557
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July 18, 2025, 4:26 PM, Economic Daily News / Reporter Hu Shunhui / Taipei Breaking News
The Ministry of Environment (MEE) announced the official launch of the "Implementation Plan for Strengthening Investment in Green Growth and Net-Zero Industries" on the 18th, simultaneously announcing the first 12 venture capital firms and professional investment institutions. This marks the beginning of the operational phase of the Green Growth Fund, which is supported by NT$10 billion in guidance from the National Development Fund. The fund will co-invest with private capital, targeting six net-zero industries: resource recycling, forward-thinking energy, and carbon capture. The goal is to gradually build a local green startup ecosystem in Taiwan within ten years.
This is the first time a venture capital mechanism has been incorporated into environmental policy. By jointly ing, investing, and managing projects with private venture capital firms, the fund aims to direct capital to promising but high-risk startups. The MEE stated that it has completed a preliminary inventory of 140 potential companies and will be matching them with 12 venture capital firms. The Ministry hopes to make its first investment this year as soon as possible.
Ministry of Environment Vice Minister Yeh Jun-hong noted that the EPA previously focused on inspections and regulations, but this is the first time it is assisting businesses through investment. Statistics show that over 90% of domestic capital has long flowed overseas. The agency hopes to direct funds back to Taiwan through the Green Fund, a partnership with the National Development Fund, to invest in forward-looking industrial technologies such as net-zero emissions, resource recycling, and AIoT applications.
Yeh Jun-hong further explained that the Green Fund primarily assists unlisted companies through a co-investment mechanism. Private investors will first assess their business potential and carbon reduction benefits, and then, after review by a project office and review panel, decide whether to invest. The investment ratio is generally 1:1 or 2:1. However, if the investment meets the six key policy areas, the government can increase its investment by up to three times.
The 12 investment institutions announced this time include China Development Capital, Taiwan Development Bank (3045), Mega Management Consultants, Hongfu Capital, Living Water Impact Investment, Yiding Venture Capital, Guolian Venture Capital, Chuangshi Investment, Hefuyi Company, Norinco Asia Capital, Qifu Capital, and Spark International Venture Capital, nine of which are venture capital firms.
Wu Peiyu, Deputy Executive Director of the Ministry of Environment's Green Strategy Office, stated that this program, a subsidiary of the National Development Fund, completed the operational guidelines in February of this year. The program is expected to be implemented over a 10-year period, with investments in the first seven years and investment disposals in the last three years. The investment amount per project will range from NT$20 million to NT$100 million.
Investment will prioritize six key areas: emerging resource recycling industries, deep energy conservation and energy efficiency improvement industries, advanced energy and technology storage, digital and low-carbon technology applications, carbon capture and negative carbon technologies, and climate adaptation and disaster prevention technologies.
Wu Pei-yu pointed out that these areas are still in the technological development stage and pose certain risks to investors. The involvement of the National Development Fund can help lower the investment threshold and risk burden, further encouraging market participation.
Yeh Jun-hong added that various departments and agencies have initially identified potential companies, such as wafer fab waste recycling companies that can reprocess hydrofluoric acid into cryolite, processing companies that recycle organic solvents, and energy technology companies developing smart power management systems. These companies all have the potential to reduce carbon emissions and save energy. These companies are expected to be matched on-site at upcoming fundraising presentations.
The first fundraising company promotion presentation is scheduled for July 24th, and a special matchmaking session will be held on August 13th in conjunction with the "2025 Venture Capital Annual Conference." The Ministry of Environment stated that it will conduct quarterly ion of matching investors, with a second round of open solicitation expected in September to expand participation.
Regarding external concerns about risk management, Ye Junhong stated that venture capital inherently requires a certain degree of trial and error. The program incorporates phased investment, project review, and post-investment management mechanisms. If the company successfully grows and goes public, the fund will exit. If operations fail, guidance and disciplinary measures will be provided to prevent capital loss.
Source: https://udn.com/news/story/7240/8881557