This represents 760,000 acre-feet of Colorado River water per year starting in 2027. The cuts come as TSMC and Intel rapidly expand semiconductor manufacturing in the state. Local authorities say they can avoid immediate shortages by drawing on underground reserves and other water sources. In Phoenix, TSMC pays the same water rates as households. Its first Arizona fab uses about 4.75 million gallons of water a day, while currently recycling 65% of its water.
