When the Japanese came to Taiwan in 1895, they suffered from cholera, malaria, typhoid and other infectious diseases. In order to solve the health problems in Taiwan at that time, the Governor invited the Minister of Health of the Japanese government, Goto Shimpei to Taiwan as a health consultant in 1896, and Goto Shimpei then suggested constructing water supply and drainage facilities. Recommended by Goto Shimpei, William Kinninmond Burton came to Taiwan in the same year to carry out a sanitary investigation and design in Taipei and Keelung first. After completing the second investigation in 1887, Burton put forward the "Keelung Waterway Construction Investigation Report” and actively implemented sanitation improving construction. In 1896, the sanitation engineering investigation and construction design in Keelung got started. It was suggested that the water source of Keelung Waterway should be set up at the upstream of Hsishih River on the west side of Nuannuan Street. Hence the water storage and water purification plants were built there. The Keelung Waterway Project started in 1898 and was completed in 1902; water supply officially began in October of the same year. After the completion of the waterway, Nuanuan Head-Water Point has been added with filter ponds, filter wells, water purification ponds, and water purification wells in 1908, 1917, and 1923. After the Restoration, it was taken over by the Water Source Division and was renamed as the First Branch, Taiwan Water Corporation-Xinshui Water Supply Plant, Nuanuan Water Purification Plant.

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