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An analysis of China’s investment in the hydropower sector in the Greater Mekong Sub-Region

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  • Frauke Urban
  • Johan Nordensvärd
  • Deepika Khatri
  • Yu Wang

Abstract

The Mekong River’s natural resources offer large benefits to its populations, but it also attracts the interest of foreign investors. Recently, Chinese firms, banks and government bodies have increasingly invested in large hydropower projects in the Greater Mekong Sub-Region. Due to China’s rapid economic growth, its rapid industrialisation and its limited domestic natural resources, the Chinese government has issued the ‘Going Out Strategy’ which promotes investments in overseas natural resources like water and energy resources. In search for climate-friendly low-carbon energy, cheap electricity and access to a growing market, Chinese institutions turn to Southeast Asia where Chinese institutions are currently involved in more than 50 on-going large hydropower projects as contractors, investors, regulators and financiers. These Chinese institutions have influence on environmental and social practices as well as on diplomatic and trade relations in the host countries. Currently, there are major gaps in understanding who is engaged, why, how and with what impacts. This paper therefore aims to assess the motives, actors, beneficiaries and the direct and indirect impacts of China’s investment in large hydropower projects in the Greater Mekong Sub-Region. The authors use the ‘Rising Powers Framework’ to assess these issues, which is an adapted version of the Asian Drivers Framework. Copyright Springer Science+Business Media Dordrecht 2013

Suggested Citation

  • Frauke Urban & Johan Nordensvärd & Deepika Khatri & Yu Wang, 2013. "An analysis of China’s investment in the hydropower sector in the Greater Mekong Sub-Region," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 15(2), pages 301-324, April.
    • Handle: RePEc:spr:endesu:v:15:y:2013:i:2:p:301-324
    DOI: 10.1007/s10668-012-9415-z
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    References listed on IDEAS

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    Cited by:

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    2. Schulhof, Vera & van Vuuren, Detlef & Kirchherr, Julian, 2022. "The Belt and Road Initiative (BRI): What Will it Look Like in the Future?," Technological Forecasting and Social Change, Elsevier, vol. 175(C).
    3. Mirja Kattelus & Muhammad Mizanur Rahaman & Olli Varis, 2014. "Myanmar under reform: Emerging pressures on water, energy and food security," Natural Resources Forum, Blackwell Publishing, vol. 38(2), pages 85-98, May.
    4. Kirchherr, Julian & Matthews, Nathanial & Charles, Katrina J. & Walton, Matthew J., 2017. "“Learning it the Hard Way”: Social safeguards norms in Chinese-led dam projects in Myanmar, Laos and Cambodia," Energy Policy, Elsevier, vol. 102(C), pages 529-539.
    5. Frauke Urban & Johan Nordensvard & Giuseppina Siciliano & Bingqin Li, 2015. "Chinese Overseas Hydropower Dams and Social Sustainability: The Bui Dam in Ghana and the Kamchay Dam in Cambodia," Asia and the Pacific Policy Studies, Wiley Blackwell, vol. 2(3), pages 573-589, September.
    6. Paul W. K. Yankson & Alex B. Asiedu & Kwadwo Owusu & Frauke Urban & Giuseppina Siciliano, 2018. "The livelihood challenges of resettled communities of the Bui dam project in Ghana and the role of Chinese dam†builders," Development Policy Review, Overseas Development Institute, vol. 36(S1), pages 476-494, March.
    7. Kirchherr, Julian & Matthews, Nathanial, 2018. "Technology transfer in the hydropower industry: An analysis of Chinese dam developers’ undertakings in Europe and Latin America," Energy Policy, Elsevier, vol. 113(C), pages 546-558.
    8. Wang, Yongpei & Yan, Weilong & Zhuang, Shangwen & Zhang, Qian, 2019. "Competition or complementarity ? The hydropower and thermal power nexus in China," Renewable Energy, Elsevier, vol. 138(C), pages 531-541.

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