China begins building world's largest dam in Tibet

Chinese Premier Li Qiang announced the start of construction had begun on what will be the world's largest hydropower dam, on the eastern rim of the Tibetan Plateau, at an estimated cost of at least US$170 billion (S$218.5 billion), the official Xinhua news agency said.

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HONG KONG -

Commencement of the hydropower project, China's most ambitious since the Three Gorges Dam on the Yangtze River, was seized by Chinese markets as proof of economic stimulus, sending stock prices and bond yields higher on July 21.

Made up of five cascade hydropower stations with the capacity to produce 300 billion kilowatt-hours of electricity annually, equal to the amount of electricity consumed by Britain in 2024, the dam will be located in the lower reaches of the Yarlung Zangbo river.

A section of the river tumbles 2,000m in a span of 50km, offering huge hydropower potential.

India and Bangladesh have already raised concerns about its possible impact on the millions of people downstream, while non-governmental organisations warned of the risk to one of the richest and most diverse environments on the plateau.

Beijing has said the dam will help meet power demand in Tibet and the rest of China without having a major effect on downstream water supplies or the environment.

Operations are expected sometime in the 2030s.