12th October 2023 (9 Topics)
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Government must handhold semi-conductor industry
Context:
Government must invest in climate-resilient infrastructure and nudge fab units to adopt sustainable practices.
Challenges for India's Semiconductor Industry
- Semicon India Programme: Launched in December 2021 with Rs.76, 000 crore, aimed at developing semiconductor manufacturing in India.
- Need for Talent Development: Experts emphasize investment in talent development alongside financial backing for the semiconductor industry.
- Climate Change Risk: Moody's report highlights climate change threats, warning of potential damage to facilities, supply chains, and financial losses.
Environmental Impact of Semiconductor Industry
- Essential Role of Silicon Chips: Crucial for computing, smartphones, defense, and clean energy technologies like electric vehicles and solar panels.
- Large Environmental Footprint: Chip fabrication plants consume significant water, produce hazardous waste, and rank among top GHG emitters.
- Industry's Shift towards Sustainability: Leading companies like Taiwan's TSMC and others commit to achieving net-zero emissions by 2050.
Navigating Climate Challenges and Industry Growth
- Advantage of Starting Anew: India's semiconductor sector has a fresh start, learning from global best practices for sustainability.
- Need for Climate-Resilient Infrastructure: Greenfield centers in India's Semicon Programme should prepare for climate-related disruptions.
- Government's Role in Industry Development: Requires support, climate-resilient infrastructure investment, and promotion of sustainable practices in fab units.
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