Chienshan Power Plant is the only thermal power plant in Penghu, and the original Power Plant in Penghu was built in 1913. With the development of the social economy and the improvement of people's living standard in Penghu, the demand for electricity increased, then the power plant would expand. In 1988, the usage rate of land in Penghu Power Plant was high and was no room for expansion. It is necessary to find the new place for more new units to solve the problem of insufficient power supply. 

In November 1994, Executive Yuan approved the power generation plan for Chienshan #1~#4 (10.443 MW) and operated commercially in June 1001. In March 1998, Executive Yuan approved the expansion plan of Chienshan #5~#12 (11MW). In December 2002, all units in Chienshan Power Plant were installed and completed. Total installed capacity is about 129.8MW.

Since 2005, the "Taiwan-Penghu 161kV Cable Line Project" has been planned, including a total length of 58.8 kilometers of submarine cables and 9.1 kilometers of land cables, totaling 67.9 kilometers. The lines are connected to the Penghu Substation in Chienshan Power Plant in Huxi Township, Penghu County. It is connected to the existing 161kV Beigang-Sihu line in Yunlin County. The project has been implemented since 2008 after passing the EIA, and it was completed and put into operation in October 2021.