West Valley city drilling 3 new groundwater wells to meet growing demand

The West Valley city of Peoria is undertaking a $40 million project to drill three new groundwater wells to help meet increasing demand.

The extra wells are to prepare for potential Colorado River cuts to Central Arizona Project, which provides Peoria with about 60% of its water supply.

“A few years ago, we recognized that was likely on the horizon. And we decided that our solution to dealing with those potential cuts would be to drill more groundwater recovery wells,” Daniel Kiel, Peoria’s deputy water services director, told KTAR News 92.3 FM.

While Central Arizona Project is Peoria’s largest water source, the Phoenix suburb also gets roughly 20% of its supply from the Salt River. The rest comes from groundwater.

Growing population, Amkor project increasing need for groundwater wells

The city’s water demand is growing with its population. Peoria had 206,000 residents in 2025, according to the city’s website, an increase of more than 15,000 people from the 2020 Census report.

The new groundwater wells will also help support a new high-use customer: the under-construction Amkor semiconductor packaging facility. The plant will package microchips from the TSMC Arizona production campus in north Phoenix and is projected to open in 2028.

Amkor is expected to use about 3 million gallons of water a day when fully operational, although 100% of it will be from the city’s reclaimed water system, Kiel said.

“Rather than using our drinking water supply, we will have them use the treated wastewater supply that will then offset some of the potential challenges that come with the high demand,” he added.

What is the status of Peoria’s three new groundwater wells?

Of the three new wells, one is already drilled and two are ongoing in the permitting process with the state.

Each 1,500-foot-deep well is expected to produce 5 million to 7 million gallons of water a day.

Kiel said the city has stored up enough groundwater to last for 10 years and is actively pursuing alternative water supplies.

Additionally, Peoria has been recharging groundwater using leftover CAP water so no drop goes to waste.

“We have recovery wells that will pull that water out after we’ve recharged it. So, it’s like we’re storing water for the future,” Kiel said.

Peoria’s strategy is to drill as many recovery wells as possible to utilize the approximately 10 years’ worth of underground storage credits the city has accumulated.

“We feel we’re ahead of the game. We’re doing what we can from a preparation standpoint to be ready for any potential cuts and to also be able to continue to grow,” Kiel said.

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