An apparatus and method for temperature compensation, belonging to the technical field of optical communications, and particularly an apparatus and method for implementing bilinear temperature compensation of an arrayed waveguide grating is disclosed. The apparatus consists of two drivers. A first driver performs linear compensation in a range lower than normal temperature 25° C. to −40° C. (low-temperature area) or a range higher than ambient temperature 25° C. to 85° C. (high-temperature area). A second driver is used to realize nonlinear compensation of superimposed effect of AWG chip wavelength/temperature in another temperature area. Two parts of the chip after being divided have different relative displacement/effective compensation amounts in different temperature ranges, having over-compensation in the high-temperature area and under-compensation in the low-temperature area, so that a center wavelength of the AWG chip appears as two gentle curves with temperature change. The residual nonlinear temperature effect is effectively reduced.