Last Updated: Sep 6, 2025
Home » Energy » natural gas » CTCI & Mitsubishi Power Secure Record-Breaking US$5.2 Billion Contract for Expansion of Taiwan’s Second Largest Gas-Fired Power Plant, Tung Hsiao

CTCI & Mitsubishi Power Secure Record-Breaking US$5.2 Billion Contract for Expansion of Taiwan’s Second Largest Gas-Fired Power Plant, Tung Hsiao

Home » Energy » natural gas » CTCI & Mitsubishi Power Secure Record-Breaking US$5.2 Billion Contract for Expansion of Taiwan’s Second Largest Gas-Fired Power Plant, Tung Hsiao

CTCI Corporation, a Taiwan-based EPC company, and Mitsubishi Power (part of MHI Group), have today announced a landmark US$5.2 billion (NT$154.7 billion) turnkey contract to deliver five Gas Turbine Combined Cycle (GTCC) units totaling to 2,800 MW at Taipower’s Tung-Hsiao Power Plant in Miaoli County. This deal, now the largest in CTCI’s history, reaffirms the partners’ longstanding performance record.

The Tung-Hsiao Power Plant 2nd Stage Renewal Project also brought on board NMDC Energy on January 9, 2025 following an EPC contract award. The $1.136 billion contract by Taipower involves the design, construction and installation of 111 kilometers of linear subsea pipeline at depths ranging from 10 meters to 55 meters from Taichung and Tung Hsiao on Taiwan’s west coast. Also in the contract are services on shore approach works and dredging for the Tung-Hsiao Power Plant 2nd Stage Renewal Project.

Project Factsheet

Location: Tongxiao (Tung Hsiao), Miaoli County (approx. 130 km SW of Taipei City)

Developers: CTCI & Mitsubishi Power (MHI Group)

Client: Taiwan Power Company (Taipower)

Capacity Added: 2,800 MW (from the five GTCC units)

Technology Used: M501JAC gas turbines (are also hydrogen-compatible, air-cooled)

Contract Value: US$5.2 billion (NT$154.7 billion / ¥760 billion)

Operational Date Timeline: Operations begins 2030 through 2031

Environmental Impact: 60% carbon emission reduction compared to coal-fired plants; hydrogen compatibility ready

Phase 1 Output: 3 units (2,678 MW each) commissioned 2018–2020. Totals current output to 3,771 MW

Other Power Units: 2, 386 MW units, and 1, 321.2 MW unit

Current Total Output: 3.8 GW

Strategic Impact: Power security, Support industrial demand, Hydrogen-ready transition

Previous Partnership and Renewal for Tung Hsiao Power Plant Expansion

Building on their successful collaboration from 2013, which delivered three high-efficiency GTCC units featuring Mitsubishi’s M501J turbines that began operations between 2018 and 2020, CTCI and Mitsubishi are returning to scale up capacity.

This time, they are delivering M501JAC air-cooled turbines with a hybrid hydrogen-natural gas capability. The new additions will allow for up to 60%  reduction in carbon emissions compared to standard coal use. This openly highlights strategy to pave way for future hydrogen-fueled operations.

Why Expand Taiwan’s Second Largest Gas-Fired Power Plant

CTCI & Mitsubishi Power’s $5.2 billion Tung Hsiao GTCC expansion is part of Taiwan’s broader long-term energy plan mainly targeted at upgrading aging facilities. The plan is also focused on strengthening grid stability amid surging demand from Hsinchu and Taichung Science Parks, and achieving net-zero targets.

Expansion Timeline

Sequential commissioning of the five new units is slated between 2030 and 2031. Mitsubishi Power will supply the core turbines, steam turbines, auxiliaries, and generators, while CTCI manages construction and balance-of-plant.

Key Quotes

Michael Yang, Chairperson of CTCI, emphasized on the partnership following the announcement. “We’re honored by Taipower’s continued trust,” said Michael. “This Phase 2 contract underscores both our engineering leadership and the depth of our partnership with Mitsubishi Power. We remain committed to delivering reliable, green engineering solutions for Taiwan and beyond.”, he added.

CTCI & Mitsubishi Power’s expansion of the 3.8 GW Tung Hsiao gas-fired power plant goes a long way to solidify Taiwan’s shift towards high-efficiency power generation. It also comes to demonstrate the transition of high-emission technologies in favor of environmentally responsible ones. Wholesomely, it is an energy model aligned with global decarbonization and ESG goals.

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