Archive · 29 Aug 2026

India’s Semiconductor Push Exposes a Missing Water Budget

India’s Semiconductor Push Exposes a Missing Water Budget

A large chip factory is being built in Dholera, where the underground water is salty and cannot supply the factory.

The factory plans to bring water from the Narmada River through canals.

It will use thousands of kilolitres of water every day, although much of the water will be recycled.

Supporters say chip factories recycle water and use surface water instead of taking more from underground.

Critics say the river and canals are already needed by farms and towns.

Other chip factories and data centres may also need water in the same region.

Each project is currently checked separately, so officials may not see the total demand.

The article recommends adding up all water uses within each river basin.

This would help decide whether a new factory should be approved, moved, desalinate water or be refused.

Sources