"The safety evaluation of the first nuclear power plant has been completed," Su Hsien-chang, head of the Cabinet-level Atomic Energy Council, told reporters.

"That is to say, the plant could operate for another 20 years after its 40-year operation license expires in 2017."

The state-run Taiwan Power Company (Taipower), which owns the plant at Chinshan in northern Taipei county, was not immediately available for comment.

Su said more countries were now renewing their nuclear plant licences, citing soaring fuel prices and global warming caused by greenhouse gas emissions.

Taiwan's CO2 emissions could be reduced by 7.3 million tonnes each year if the nuclear power plant is allowed to keep running after 40 years of operation, Su added.

But the remarks are expected to spark a strong backlash from green groups, pointing out the safety issues and a shortage of space to store the nuclear waste.

The Chinshan plant became operational in 1978, and since then Taipower has operated two other nuclear power plants, while a fourth is scheduled to be fully functioning by 2010.