Water Resource Management

The Group’s core operations focus on R&D and design, with only simple assembly/packaging and repair testing processes, and no process water usage. Water consumption is limited to domestic use, with air-conditioning-related water usage accounting for the largest proportion. The Company’s water sources are tap water and Kuang Yuan Water Plant. In 2025, the Group’s total freshwater intake was 156.266 thousand cubic meters, total wastewater discharge was 130.978 thousand cubic meters, and total water consumption was 25.288 thousand cubic meters. The increase in water consumption in 2025 compared to 2024 is mainly due to the inclusion of SStek in the disclosure scope for the current year, as well as increased water usage driven by expanded cooling demands from additional testing areas and server rooms.

The Group’s water sources used for operations are 100% supplied by third parties (Taiwan Water Corporation and Taipei Water Department). In the Miaoli region, water is sourced from Dapu Reservoir and Yonghe Mountain Reservoir; in the Taipei region from Feitsui Reservoir; in the Hsinchu region from Baoshan Reservoir; and in the Tainan region from Nanhua Reservoir. Based on the World Resources Institute (WRI) Aqueduct Water Risk Atlas and the water supply status reports issued by Taiwan’s Water Resources Agency of the Ministry of Economic Affairs, the water scarcity levels of Phison Electronics’ operating sites in Taiwan are all classified as low to medium.

Wastewater generated in the Group’s operating regions is discharged through different systems depending on location. In the Miaoli region, wastewater is discharged via legally approved pipeline connections to the Kuang Yuan Hi-Tech Industrial Park wastewater treatment plant. In the Taipei region, wastewater is discharged into the public sewer system for treatment. In the Miaoli region, wastewater effluent quality is tested semi-annually by a third-party professional water quality testing organization. The parameters include water temperature, hydrogen ion concentration index (pH), suspended solids, biochemical oxygen demand (BOD), chemical oxygen demand (COD), oil and grease, and ammonia nitrogen. This ensures that the effluent complies with the discharge standards of the Kuang Yuan Hi-Tech Industrial Park sewer system and does not cause significant impact on nearby water bodies.

Site
Miaoli Headquarters
Taipei office
Hsinchu office
Tainan office
Water Stress(Note 1)
Low-medium(10-20%)
Low-medium(10-20%)
Low-medium(10-20%)
Low-medium(10-20%)
Tap Water, Groundwater, or Others
Third-party (tap) Water(Note 2)
Third-party (tap) Water
Third-party (tap) Water
Third-party (tap) Water
Withdrawal Source
Dongshing Water Treatment Plant、 Kuan-Yuan Water Treatment Plant
Bansin Water Treatment Plant
Hsinchu Water Treatment Plant
Nanhua Water Treatment Plant
Catchment Source
Yongheshan Reservoir、Dapu Reservoir
Feitsui Reservoir
Baoshan Reservoir
Nanhua Reservoir
Sewage Treatment Unit
Kuan-Yuan Science and Technology Park Wastewater Treatment Plant
Building Wastewater Treatment Equipment
Building Wastewater Treatment Equipment
Building Wastewater Treatment Equipment
Water Resources Management Plan
Implement daily water conservation plans and adjust equipment usage behaviors to reduce water consumption.
Cooperate with the building management unit’s water conservation plan.
Cooperate with the building management unit’s water conservation plan.
Cooperate with the building management unit’s water conservation plan.

Note 1. Water pressure index reference World Resources Institute’s Aqueduct Tool.

Note 2. Miaoli headquarters has two sources of tap water, one supplied by the Taiwan Water Corporation and the other supplied by the Kuan-Yuan Science and Technology Park.

Note 3: The calculation methods for water usage and water consumption in the leased office are based on the water bill from the water company or the water bill for the leased office.

 

Water Resource Risk

Although the WRI Water Risk Tool assesses that the water stress at our operational sites in Taiwan is medium to low (10-20%), the company continues to implement the following measures to reduce the operational risks associated with water resource shortages. These measures are primarily adjustments to internal operational management processes and securing greater contract flexibility with water trucking companies. 

1. Since our Miaoli headquarters is located in the Kuan-Yuan Science and Technology Park, Phison has two water sources, Taiwan Water Corporation’s tap water and Kuan-Yuan water, which serve as mutual backups to reduce the impact of water shortages.

2. An internal water situation analysis and water shortage warning system has been established to continuously monitor the water resource status.

3. Contracts were signed with two water truck companies to provide water sources in case of water shortages.