Linn Maung
Natural Current Energy Hydropower Company (NCEH), a business operated by the United Wa State Army (USWA), has been working to build a dam on the Namtu (Myitnge) River, about 20 kilometres north of the northern Shan town of Hsipaw. Although the corporation claims it has been involved in the construction since 2014 and that an agreement was made with the then-military government, a formal agreement was only signed in April 2022 between NCEH and the Electric Power Department. The migration of certain types of equipment and highly skilled personnel who are not fluent in Burmese from the nearby town of Lashio provides adequate evidence that it is Chinese and not Wa. This project’s driving force is China’s Three Gorges alone.
As activities increased in and around the dam site and construction picked up, it became clear that this project was moving forward as of May 2023. It is estimated that 20% of the work has been completed, including housing for the workers, moving materials, digging, and clearing the land for a road to the dam site.
Since its inception, this project has generated controversy, primarily because of a lack of openness and a disdain for neigbourhood concerns. The main risk is that the dam’s capacity has more than doubled since it was first suggested as a 100-megawatt project almost ten years ago. The Junta has been obliged to make adjustments in the capacity while ignoring public concerns due to the post-coup power crisis in Myanmar. According to NCEH, the project was agreed upon in 2014 for “ build, operate, and transfer” rights to the initiative. NCEH disregarded the Environmental Impact Assessment. It is unclear why the project was approved despite objections from a local Shan lawmaker who voiced concerns about NCEH’s methods in the national legislature. NCEH appears to be the façade of the larger Chinese establishments, such as Three Gorges, because this project has several elements.
Second, the fact that EAOs in the area are remaining silent about this initiative indicates deeper Chinese complicity; otherwise, the project would not be able to move forward without the support of the armed groups in the area. China is rushing to complete this dam because it needs to start the projected China-Myanmar Railway Project (Muse-Mandalay-Kyaukphyu), which depends on a continuous supply of electricity. MyAsia Consulting, a company NCEH hired for the project, estimated that the project’s safety was “ a serious concern to the people who live in the downstream area,” noting that a dam breach could result in a catastrophic disaster. They also mentioned that the upstream village of Lilu and 140 hectares of farmland would be submerged in the dam’s reservoir. Yet NCEH disregarded it.
The Bawdwin lead and silver mines pose a threat to the Namtu dam reservoir as well, and after the coup, excavation at the mine site, about 25 miles upstream from the dam, picked up speed. One of five hydropower projects along the Namtu River that have been proposed is this dam. The 280 megawatt Upper Yeywa in the adjoining Kyaukme Township is expected to be finished this year and poses a threat to flood a region with 100 villages and 40,000 residents. This project is also funded by Chinese EXIM Bank and main contract was awarded to sons of senior retired Army General Aung Thaung. The Upper Yeywa and Namtu dams are being connected by an approximately 50-mile 230kV electricity transmission line being built by NCEH at the same time that China has been concentrating on integrating Myanmar’s power networks and connecting them to its own. The town of Muse, on the border between Shan State and China, and Mandalay are connected by this transmission line. The fact that there are roughly 150 Chinese workers on the Namtu dam site demonstrates unequivocally that NCEH is a Chinese enterprise and that the project has Chinese backing.
The EAOs’ lack of response demonstrates that their mentor China has told them to disregard these problems if they want to continue receiving her support. China understands that EAOs come with a price tag, making it more like a business and the sentiments or well being of the locals a side issue.
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