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Throwing a spanner

CHINA's hopes of completing the largest hydroelectric project in history, received a temporary setback when the Export- Import Bank of the us refused to help finance the Three Gorges dam on May 30. The bank's board voted against issuing letters of interest - which allows foreign countries to buy us goods and services through subsidised loans - to us companies that had sought to take part in the project. The bank's decision is in line with the us government's stance on the dam, which is likely to cost more than us $25 billion. The 600 ft high dam on the Yangtze river would create a 644 km-long reservoir.

However, the bank might reconsider its decision if China fulfills its environmental requirements. China would have to provide plans for waste-water treatment plants to reduce the pollution of the reservoir and for protecting endangered species.

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