China has begun construction on what is set to be the world's largest hydropower dam on the Yarlung Tsangpo River in Tibet, a $167 billion project that could surpass the Three Gorges Dam in scale and output.
The dam, located on a river that flows into India and Bangladesh, has raised serious concerns among neighboring countries about water security, potential diversion of river flow, and environmental impacts on millions downstream. While China touts the project as a green energy milestone and a boost for its economy and green finance, critics highlight the lack of transparency, consultation, and potential for forced relocations and biodiversity loss. The move has also triggered a surge in related stocks and is seen as a major step in China's renewable energy ambitions.
However, the project is controversial due to its geopolitical implications and the risk of exacerbating regional tensions over shared water resources.
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