Tien Shiao, Paul Reig, Francis Gassert and Keith Liao
AU Optronics (AUO), a multinational electronics manufacturer, conducted a global geographic water risk assessment using WRI’s Aqueduct Water Risk Atlas. This assessment aims to identify which of AUO’s fabrication plants are located in or source water from areas facing potential water risks. Companies and investors can use this paper to understand how to use Aqueduct’s Water Risk Atlas to inform their own water risk assessments and corporate water strategies.
The World Resources Institute (WRI) Markets and Enterprise Program conducted a global geographic water risk assessment with multinational electronics manufacturer AU Optronics (AUO). WRI plotted AUO’s fabrication plants worldwide on global maps of water risk using Aqueduct’s Water Risk Atlas. This assessment aims to identify which AUO fabrication plants are located in areas and draw from sources that face potential water risks. From this assessment, WRI concluded that: (a) the majority of AUO’s fabrication plants are located in areas facing relatively low current water risks, including water stress; (b) by 2025, the majority of AUO’s fabrication plants will face medium to high increases in water stress; and (c) the source reservoirs for AUO’s fabrication plants face similar levels of water risk.
This case study allows AUO to better prioritize resources and develop risk mitigation solutions. It is important to note that the scope of this case study is limited to the identification of geographic water risks; it does not aim to develop specific facility-level risk reduction strategies and solutions. In this document, WRI provides some high-level recommendations to AUO on how to move forward in developing corporate water strategy. This case study is intended to help other companies understand how they can use Aqueduct’s Water Risk Atlas to inform corporate water strategy.