The Energy Consumption of Semiconductor Manufacturing: A Major Challenge to the Green Transition
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The Energy Consumption of Semiconductor Manufacturing: A Major Challenge to the Green TransitionThe booming semiconductor industry is consuming vast amounts of energy, posing a significant challenge to global green transition efforts. As reported by Spain's El Pas, the electricity demand for semiconductor manufacturing is continuously climbing, and meeting the surging demand for microprocessors could severely hinder the achievement of green transition goals
The Energy Consumption of Semiconductor Manufacturing: A Major Challenge to the Green Transition
The booming semiconductor industry is consuming vast amounts of energy, posing a significant challenge to global green transition efforts. As reported by Spain's El Pas, the electricity demand for semiconductor manufacturing is continuously climbing, and meeting the surging demand for microprocessors could severely hinder the achievement of green transition goals. This increasing energy consumption is not only evident across all stages of semiconductor manufacturing but is particularly concentrated in extreme ultraviolet lithography (EUV) machines, crucial for advanced chip production. These highly complex and precise machines, powering cutting-edge technologies like artificial intelligence and data centers, are significant energy consumers, veritable "energy hogs."
TechSpot, a US technology news website, points out that EUV lithography machines are essential for producing smaller, more powerful microchips, but their power consumption is staggering and projected to increase significantly in the coming years. Current-generation EUV machines consume up to 1170 kilowatts, while next-generation high-numerical-aperture EUV machines are expected to consume 1400 kilowatts. This escalating power consumption directly impacts the overall energy consumption of the global semiconductor industry.
TechInsights predicts that by 2030, the annual electricity consumption of global fabs equipped with EUV lithography machines could exceed 54,000 gigawatt-hours a figure surpassing the annual electricity consumption of countries like Singapore or Greece. This illustrates the massive energy footprint of semiconductor manufacturing and the immense pressure it places on the global energy system.
A decade ago, McKinsey, a US consulting firm, warned that a typical semiconductor manufacturing plant consumes as much electricity as approximately 50,000 households annually, exceeding even the combined energy consumption of automobile manufacturing plants and refineries. This warning is now becoming a stark reality, and the situation is increasingly dire.
Countries with a long history of semiconductor manufacturing are facing increasingly severe energy consumption problems. In South Korea, for example, tech giant Samsung Electronics operates six semiconductor manufacturing plants that consumed 3% of South Korea's total annual energy in 2021. To maintain its competitiveness in the global chip manufacturing market, Samsung plans to further expand its deployment of EUV lithography machines, which will pose an even greater challenge to South Korea's energy system, which remains heavily reliant on traditional fossil fuels like coal and natural gas. According to the Asian Development Bank, as of 2018, approximately 80% of South Korea's energy supply originated from fossil fuels.
In fact, the semiconductor chip manufacturing process demands enormous amounts of electricity and water, a necessity intrinsically linked to the extremely high precision and strict control requirements of the process. The World Economic Forum website notes that this heavy reliance on water is becoming a critical vulnerability for the rapidly growing global chip industry.
In the face of these growing energy and environmental challenges, researchers are actively exploring sustainable chip manufacturing technologies. These innovative approaches include harnessing light for information processing and exploring the potential of quantum states, aiming to significantly improve efficiency while drastically reducing energy consumption and environmental impact. For example, Canon plans to enter the lithography machine market currently dominated by ASML (ASML Holding N.V.) using nanoimprint lithography technology, intending to offer a more efficient and energy-saving alternative.
Other industry players, such as Intel, are also actively promoting the greening and sustainability of their operations. Intel's facilities in Arizona, New Mexico, and Oregon have convenient access to green energy, and data shows that Intel's renewable energy supply reached 80% in 2021. However, even companies like Intel, which are actively promoting sustainable development, cannot entirely escape the trend of continuously increasing energy consumption. Overall power consumption continues to rise significantly as manufacturing technology advances.
With the continued surge in demand for lithography machines, ASML will increase its EUV lithography machine shipments by 30% this year, which will undoubtedly further exacerbate energy consumption pressures. Masaro Wakasugi, an analyst at Bloomberg Intelligence, warns, "We must recognize the urgency of the current high energy consumption situation in the semiconductor industry and act immediately, otherwise we will bear the consequences 20 years from now." His warning highlights the need for the semiconductor industry to prioritize energy efficiency and sustainable development in its future development, otherwise it will face enormous environmental and economic risks. High energy consumption not only exacerbates climate change but also has immeasurable negative impacts on the industry's long-term development. Therefore, developing more energy-efficient manufacturing processes, exploring alternative energy sources, and optimizing energy use efficiency will all become unavoidable key issues in the future development of the semiconductor industry. Only by actively addressing this challenge can the sustainable development of the semiconductor industry be ensured and contribute to the global green transition. This requires the joint efforts of governments, businesses, and research institutions to establish stricter environmental standards, increase R&D investment, promote technological innovation, and jointly explore a sustainable development path that balances industrial development and environmental protection.
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