Are those numbers really comparable? Agriculture can use more or less any kind of water, can handle sporadic supply and is spread over a wide area. Fabs need very large quantities of highly purified water in very small high density locations and it's an industrial facility so can't handle interruptions well. It could easily be that there's a shortage of water affecting fabs whilst agriculture is fine.

You are right that fabs require a much higher grade of water but the overall quantity is much less. Yet with farmers suffering the worst effect of the drought it is very difficult for TSMC to expand production without looking like the bad guy who profit at other people's expense. Notwithstanding the fact that the actual amount of water they use is not significant.

NYT has a pretty good piece of reporting about the situation:

https://www.google.com/amp/s/www.nytimes.com/2021/04/08/tech...

The actual link instead of an AMP one (please stop using AMP)

https://www.nytimes.com/2021/04/08/technology/taiwan-drought...

> the electricity problem is only going to get worse.

That's not a given at all - Taiwan could just build more nuclear power plants if they wanted.

Taiwan is geologically active and as a result there are few viable locations to build a nuclear power plant.

Ironically, the Taipei-Hsinchu metropolitan area is on very solid ground and would have been perfect for a nuclear power station if it weren't so heavily populated.

Taiwan already has three nuclear power plants, one of which is being decommisioned. Construction on a fourth was started but halted due to politics.

The new plant is fully constructed and permanently mothballed. They went as far as removing all fuel rods and shipped them back to the US manufacturer. Unless something drastic happens I don't think we will see it in operation ever.