The Environmental Protection Administration (EPA) has published amendments to the Environmental Impact Assessment Act (環境影響評估法) and set a 60-day period for public comments.
Officials said the revisions aim to enhance the credibility and the efficiency of the environmental impact assessment (EIA) review process based on implementation experience and related judicial case laws in the past two decades.
So far, public commentary has focused on clarifying the roles of developers, government agencies and the EPA. The clarifications can strengthen the functions of EIAs in individual infrastructure projects and in domestic government policies.
However, due to the trend of globalization, EIAs can also be placed in a trans-boundary context. EIAs are a feasible legal instrument used by many governments for environmental protection, but the assessments can sometimes also lead to conflicts between foreign investors and society.
In its Position Papers, the European Chamber of Commerce Taiwan (ECCT) pointed out that a transparent regulatory framework and the consistency of its enforcement are crucial to attract and retain foreign direct investment.
The legal regime of the EIA has been trialed in Taiwan’s growing renewable energy sector, especially in large-scale offshore wind and solar power projects.
As the ECCT mentioned in its annual report, it is necessary for the revision of the act to seek a proper balance between investment protection and public interest.
The success of strategic environmental assessments (SEAs) in the UK and the EU might provide insights for fine-tuning Taiwan’s EIA provisions.
For most cases, SEAs are a screening procedure conducted before a formal environmental assessment. With a participative, structured, but more flexible process, SEAs are a possible solution to improve the efficiency of the EIA review process.
Also, the government might consider integrating EIA concerns and related dispute settlement mechanisms into the ongoing Taiwan-EU bilateral investment agreement negotiations. This can support the integrity of the EIA process and investment protection, and set a precedent for other economic agreements.
For outbound Taiwanese investment, a well-designed environmental monitoring system is also in high demand. Last year, Formosa Plastics Group’s steel plant in central Vietnam discharged a combination of toxic chemicals, causing serious damage to local communities and ecosystems. Unfortunately, the issue of compensation has not been fully resolved.
According to customary international rules, multinationals’ home nations have a responsibility to control their corporate citizens’ overseas operations and to ensure investments do not cause harm to host nations.
EIAs are also an integral element of the US’ National Environmental Policy Act. The language of the act clearly stipulates that its application should not be limited to development projects within the US. US courts have also been supportive in applying EIA requirements to US federal agencies’ extraterritorial activities, such as the discussion in the case of People of Enewetak versus Laird.
As Taiwan campaigns for further participation in global affairs and has voluntarily delivered its national commitment for achieving the UN’s 17 Sustainable Development Goals for 2030, a new EIA act with a broad and strong international outlook could be a key step in the process, which would also help Taiwanese companies jointly champion sustainable goals.
Yang Chung-han is a doctoral candidate at the University of Cambridge and a member of the Taipei Bar Association.
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