Taiwan’s Kuokuang scales down Dacheng mega petchem complex

07 April 2011 08:01  [Source: ICIS news]

SHANGHAI (ICIS)--Taiwan’s Kuokuang Petrochemical Technology Co (KPTC) will downsize its mega petrochemical complex in view of the controversy surrounding environmental concerns raised by local residents and farmers, a company spokeswoman said on Thursday.

The company’s decision comes in the wake of strong protests by residents on environmental concerns as the proposed petrochemical complex will be located at Dacheng in Changhua county on the southwestern coast of Taiwan, which is near a habitat of humpback dolphins.

Farmers, local residents and environmentalists have opposed the construction of the project, saying it will harm the local ecosystem and pollute the air and water in an area that is home to many of the country's oyster and eel farms, according to media reports.

After the downsizing, the proposed number of plants at the complex will be reduced from 41 to 25. This would include a 300,000 bbl/day refinery, a 1.2m tonne/year cracker and other downstream plants such as polyethylene (PE) and polypropylene (PP), the spokeswoman said.

By scaling down the project, water consumption at the proposed complex will be reduced from an estimated 400,000 tonnes/day to around 220,000 tonnes/day, Taiwan’s Central News Agency (CNA) quoted KPTC chairman Chen Pao Lang as saying.

Chen said he hopes the project can be materialised after it is scaled down, according to CNA.

However, KPTC is still awaiting final approval for the project from the Environmental Protection Administration (EPA) of Taiwan, the spokeswoman said.

“It still needs several hearings and is unknown now when the final approval will be granted,” she said.

Taiwan’s state-run firm CPC Corp has a 43% stake in KPTC. Its partners in the project include China Man-Made Fiber, Chang Chun Petrochemical, Oriental Union Chemical Corp (OUCC), Ho Tung Chemical and Fubon Financial Holding.

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By: Judith Wang
+65 6780 4359

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