60-year Old Ta Ya Turns Energy into Profitable Business - Coverage by Global Views Monthly
2016/01/05
Aiming for the Upstream - 3.5 KWH of Power Capacity Per Year
Ta Ya Electric Wire and Cable, the only company in Taiwan with the technology to manufacture extra high voltage and telecommunication cables, has recently ventured into the green energy business. From power transmission to power generation, the Company has envisioned itself becoming "a leading brand in energy connection."
Author: Gao Yifan │ Photography: Lai Yongxiang
Source: Global Views Monthly, January 2016Global Views Monthly volume 355
Between HSR Tainan Station and Guanmiao lies a 60-year old local company named "Ta Ya Electric Wire and Cable" that generates approximately NT$16 billion in revenues per year. Ta Ya is the only company in Taiwan capable of producing extra high voltage cable, telecommunication cable, and magnet wire.
An ordinary company with history as extensive as Ta Ya's tends to celebrate decade anniversary with music, dance and entertainment. Instead, Ta Ya chose to celebrate its anniversary with an "Earth Day" theme and informative programs such as: screening of Environmental Friendly Professionals documentary, Delonix Regia Forum, and Environment 101. Meanwhile, retired employees were invited to gather at their home factory, while more than 60 Ta Ya couples were gathered to remind them of the time they shared.
Green Inside Project - nomination of unsung environmental protection heroes
Interestingly, many of the environmental protection organizations based in southern counties and cities and several environmental activists despised by the corporate world were present that day to congratulate Ta Ya. This respect was largely attributed to the bi-annual "Green Inside Project" that Ta Ya has been organizing since 2008. Over the last 5 events, "Green Inside Project" has brought people's attention to many unsung heroes who have been contributing to public causes such as social entrepreneurship, river conservation, and environmental protection.
When most Taiwanese businesses were still ignorant about climate and environmental issues, Ta Ya had already begun preparing for new climate opportunities and embracing its duties as a corporate citizen. Being a descendant of the family business, Chairman Shen Shang-Hung returned from the United States in 1988 to take over Ta Ya and bore witness to the uprise of Taiwan's economy, during which the business thrived as the nation was actively developing power infrastructures. Decades later, the migration of industry and rise of environmental awareness have presented the energy industry with a new challenge, one that involves privatization and deregulation of the utility sector. As a result, Shen was forced to find new breakthrough that was different than what the business was accustomed to. In recent years, Shen has frequently participated in discussions involving sustainability, social enterprise and green energy investment, where he tries to find a new break for his company.
With respect to product line, Ta Ya continues to develop specialized cables for solar power, offshore wind power and tidal power applications, and has readied itself to assist in the construction of renewable energy facilities in the future. Ta Ya began development of "lead-free" cables many years ago, this concept was further expanded into Green Wires that later won the "Green Classics Award," and made Ta Ya the first cable manufacturer in Taiwan to earn the Carbon Label. In addition to excelling at the cable business, Ta Ya has even made an upstream investment into energy development.
In the beginning of 2014, Ta Ya founded a new company named "Ta Ya Green Energy Technology" that specializes in installing solar power system at rented rooftops of factories, government institutions and schools. As of today, Ta Ya Green Energy has completed installation of solar power systems atop Ta Ya's Guanmiao Site, the library of University of Kang Ning, and San Shing Fastech Corp. - the fastener giant in southern Taiwan, generating more than 3.5 KWH of power in 2015.
According to Vice President Chuang, Pa Kuei of Ta Ya's Energy & Telecom Cable Business Group, the cost of solar energy has dropped by 1/4 compared to the past few years. Currently, it costs NT$4~NT$5 to generate 1 KWH, which is not much different from the price of residential power (about NT$3) supplied by Taiwan Power Company.
Starting in 2016, Ta Ya will venture abroad and try to open up the solar energy market of Japan, and aim to construct a capacity of 50MW within 5 years.
"Leader in energy connection"
In fact, this was not Ta Ya's first attempt at power generation. When the government first opened up power generation to the private sector more than 20 years ago, Ta Ya became one of the founding shareholders of "Taiwan Cogeneration Corporation." When public opinions started criticizing private power plants for their lust for profit and neglect for the welfare of the people, they were unaware of the fact that private power plants were bound by "The Electricity Act" to sell electricity only to Taiwan Power Company, which renders them unable to serve any other customers.
 As climate change becomes an increasingly important part of our lives, Ta Ya has envisioned itself of becoming "a leading brand in energy connection."
The company may have started out in power transmission, but in the future, "There is abundant opportunity in creating, storing, and managing power!" said Shen Shang-Hung.