TAIPEI (Taiwan News) — Taiwan Semiconductor Manufacturing Co (TSMC) was able to conserve 1.927 million metric tons of water in 2020, according to a recent financial disclosure report.

Last year, TSMC spent NT$1.6 billion (US$57.51 million) on water conservation efforts and investments in water-recycling equipment, according to the company’s Task Force on Climate-related Financial Disclosures (TCFD) report released last week. The world’s largest contract chipmaker also spent another NT$1.2 billion on recycling equipment operation and maintenance, according to CNA.

The chipmaker said it was able to save 1.927 million metric tons of water last year due to improved water recycling, reduced water consumption at facilities, increased wastewater recycling, and discharging less water during fabrication.

TSMC said its water consumption per unit has been reduced by 8.9% compared to 2010. The company also said that by 2030, it wants to further reduce the amount of water used per unit by 30% compared to 2010 levels.

The report also pointed out that the frequency of droughts in Taiwan is expected to increase in the future due to the effects of climate change. In response, TSMC said it will continue to promote water conservation and increase water recycling rates.

The company has also set up storage facilities at each of its fabs with the capacity to store at least two days of water usage. In addition, TSMC has also looked for more sources of water that can provide 20% of water supplies during maximum water restrictions.

TSMC’s water conservation efforts are part of a larger push toward more sustainable manufacturing. It has pledged to reach net-zero emissions by 2050.