Energy

In calendar year 2007, Microchip expanded its program for comprehensively analyzing energy consumption at its two U.S. semiconductor fabrication facilities and its corporate headquarters campus. A broad slate of electricity reduction projects were completed, many of which qualified for capital rebates from their respective local utilities. Reducing energy consumption, whether for purchased electricity or natural gas, is one of the implementation pillars of Microchip’s corporate sustainability program. With electric utility rates expected to rise dramatically within this decade driven by mandated increases in renewable generation technology portfolios and carbon emission constraints, energy conservation projects are sound, fiscally conservative investments in the future. Overall, Microchip’s new electricity conservation projects in Gresham, OR reduced purchased electricity between 2007 and 2010 by 4,719,121 kWh, or roughly the energy required to power 270 U.S. single family homes for one year. This reduced indirect greenhouse gas emissions by 3,100 metric tons of CO2e and saved $375,000. These reductions were made by installing energy efficient lighting, installing variable frequency drive motors, and optimizing the vacuum, clean dry air and DI water delivery systems.

During this same time period, the Gresham facility reduced natural gas by 73,548 MWh for a total savings of $625,000. This was accomplished by recovering heat from the reverse osmosis rejects, and optimizing temperature control and air flow.