China Initiates Construction of World's Largest Hydropower Plant in Tibet

Mon 21st Jul, 2025

China has commenced the development of a significant hydropower facility in Tibet, which is projected to be the largest in the world. This ambitious project raises numerous concerns among local communities and neighboring countries.

On Saturday, Chinese Premier Li Qiang laid the foundation stone for the hydropower plant in Nyingchi, a city situated near the Indian border. The plant is expected to generate approximately 300 billion kilowatt-hours of electricity annually, a figure that is nearly three times the output of China's current largest facility, the Three Gorges Dam.

The dam, which received official approval at the end of 2024, will consist of five cascading hydropower stations. The reservoir will be fed by the Yarlung Tsangpo River, originating from the Tibetan Plateau, which flows into the northeastern Indian states of Arunachal Pradesh and Assam, before continuing into Bangladesh.

The estimated investment for the hydropower plant and reservoir is around $176 billion. The electricity generated is primarily intended for export to external markets, with a minor portion designated to meet local energy needs in Tibet.

However, the project has sparked significant controversy. Concerns have been raised within Tibet regarding potential dam failures, which could inundate large areas, resulting in disastrous consequences for local residents. Additionally, India and Bangladesh have voiced fears that China might leverage the dam as a geopolitical tool during times of political tension, potentially manipulating the river flow to create either floods or droughts downstream.

In response to these concerns, India has initiated its own hydropower projects in Arunachal Pradesh to secure control over its water resources and mitigate risks associated with the new Chinese dam. These Indian projects are located in a region fraught with border disputes, with China claiming that Arunachal Pradesh is part of its territory.

Environmental organizations have also expressed serious concerns regarding the massive hydropower initiative. They criticize the planned relocation of some Tibetan communities and the potential detrimental effects on the delicate Himalayan ecosystem.

In an effort to address these issues, China has conducted its assessments, stating that scientific evaluations show no adverse impacts on downstream ecosystems. The Chinese authorities assert that geological stability and the water rights of neighboring countries have been adequately safeguarded. Moreover, they present the dam project as a crucial measure to combat climate change while simultaneously meeting the growing energy demands.

A new state-owned enterprise, the China Yajiang Group, has been established to oversee the construction of the dam and hydropower facilities, as well as to ensure environmental protection.


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