China has begun construction on what is set to be the world's largest hydropower dam on the Yarlung Zangbo River in Tibet, a $167 billion project that could surpass the Three Gorges Dam in scale.
The dam is intended to boost China's renewable energy capacity and help meet climate goals, but it has triggered alarm in downstream countries, especially India and Bangladesh, who fear potential impacts on water flow, agriculture, and local communities. Environmentalists and human rights advocates have also raised concerns about biodiversity loss, forced relocations, and the lack of transparent consultation with affected populations. While China asserts the project is within its sovereign rights and promises it will not harm neighbors, skepticism remains high.
The dam is also expected to drive significant demand in construction and hydropower-related industries, with financial markets reacting positively to the announcement.
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