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Taiwanese authorities promise to prevent water shortages for chip production, but again ask to reduce water consumption
Recently, there was a message about the requirement of the Taiwan authorities to reduce the consumption of water for production. This is the second order in two months. In January, large producers were recommended to reduce their water consumption by 7%, and a new order requires an additional 11% reduction in the cities of Taoyuan, Taichung, Hsinchu and Miaoli. This directly affects TSMC and other semiconductor manufacturers, but the authorities assure that everything is under control.
At TSMC production. Image source: AFP / Jiji
According to the Japanese news agency Nikkei, the Ministry of Economy of Taiwan has announced the launch of a new water pipeline to supply 200,000 from Taoyuan to Hsinchu. tons of water daily. Also in the Hsinchu region, where the TSMC production complex and not only are concentrated, a new desalination plant with a capacity of 13 thousand. tons of water per day. The authorities promise to contain the negative impact of the drought on industrial and residential consumers, although they continue to tightly regulate water consumption in the most affected regions.
Meanwhile, TSMC, UMC and other manufacturers have implemented a series of dynamic water allocation measures for the Hsinchu Technology Park. Against this background, there were even rumors that the authorities would stop the supply of water to technological parks in 60 days, but there is no official confirmation of this. However, it should be expected that if the drought begins to worsen, the ministry will be forced to take more radical measures to regulate water consumption.
We add that the lack of fresh water is not the only headache for Taiwanese producers. The island also remains problematic with the production of sufficient electricity. For example, in August 20021, due to an accidental shutdown of one of the natural gas power plants, Taiwan experienced a blackout for many hours, and the lower the technological standards for the production of chips, the more electricity is required. The same TSMC is considering the option of building its own power plant, but is not ready to take this step without government subsidies.