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 Nam Theun 2 dam site before the project (Virginia Morris & Clive Hills) In 2005, the World Bank and the Asian Development Bank approved millions of dollars in guarantees and loans for the Nam Theun 2 Hydropower Project in central Laos. The $1.45 billion project is supposed to generate revenue for the Lao government through power exports to Thailand. Project proponents claim that Nam Theun 2 revenues will be used to help the poor. But in a country ranked as one of the 10 most corrupt by Transparency International, that is a high-risk bet - especially for the tens of thousands of Laotians bearing the project's social and environmental costs. The Nam Theun 2 Power Company, led by Electricité de France, is halfway through the dam's construction. Approximately 6,200 indigenous people living on the Nakai Plateau are being resettled to make way for the reservoir. More than 120,000 people downstream, who depend on the Xe Bang Fai and Nam Theun rivers for their livelihoods, are likely to experience the project's most serious impacts, including destruction of fisheries, flooding of riverbank gardens and water quality problems (see "Nam Theun 2: At A Glance"). World Bank and Asian Development Bank resettlement and disclosure policies have been violated. Compensation payments and replacement land for villagers affected by construction activities have been inadequate, unfair or non-existent. Poor resettlement planning has led to housing and infrastructure delays. Plans to restore the livelihoods of villagers on the Nakai Plateau and along the Xe Bang Fai have yet to be finalized. The budget for the downstream program in particular is woefully inadequate, and impacts are just a year away. International Rivers is closely monitoring implementation of Nam Theun 2 and is working to ensure that the developers, the World Bank and the Asian Development Bank uphold their commitments to affected people and the environment. Read International Rivers' most recent Nam Theun 2 report. See NTPC's responses to International Rivers' questions. LATEST ADDITIONS: Video: Shannon Lawrence Discusses Lao Hydropower Projects International Rivers’ Statement on Nam Theun 2 Reservoir Flooding Time Running Out on Nam Theun 2 Dam Nam Theun 2 Delays Reaching Critical Stage: International Rivers Report Nam Theun 2 Trip Report and Project Update, February 2008 More information: CONTACT US: Shannon Lawrence |
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