Bookmark and Share

China raises Environmental and Labour Concerns in another African Country even as it pushes Green Investments

0 Comment

China is making massive investments into Africa exploiting the virgin natural resources of the Dark Continent for its voracious industries at home.Unlike the Developed Nations,the Chinese government has no qualms about the country’s rulers or human rights violations.Not surprisingly as it has been accused by activists of violating labor and environment rights in areas where it has invested.Most of the African countries have despotic and corrupt regimes  looking to sell the continents rich resources to anyone willing to pay them.They have found a compliant partner in China which gives them a red carpet treatment.Mozambique is the latest country to sign a MOU which would lead to Chinese largess.

China plans to invest a whopping $13 Billion in the next 5 years in Mozambique.This will lead to new factories,flights and moolah for the country’s elite.Don’t expect the hoi polloi to suddenly become prosperous.The Chinese are already not getting along well with the locals who accuse the Chinese firms of employing  Chinese convicts as laborers.The Chinese firms have been  also been blamed for environmental degradation same as was the case with Timber Logging by China in Gabon.

China to invest $13 bn in Mozambique: Report -ET

China plans to invest $13 billion in industrial, tourism, mining and energy projects in Mozambique over the next five years, a state-controlled newspaper said on Friday. The daily Noticias said agreements between China and Mozambique had been signed to construct a 20-square kilometer “China Town” in Mozambique’s capital of Maputo and to build a car factory and hydroelectric dams.Chinese companies have been making inroads into Mozambique, winning major infrastructure and construction projects as the Asian nation increasingly targets resource-rich Africa. However, local firms have accused some of their Chinese rivals of causing environmental damaged and using convicts from the mainland as labourers.

Despite its not so great record in environment matters,China is pushing its Green Energy Sector to set up bases in foreign countries.Chinese Banks have given Billion Dollar lines to Chinese solar companies like Suntech,Yingli and Trina Solar.During a visit by South African President Zuma,Suntech which is the largest Chinese company signed a MOU to help set up a 100 MW plant in that country.This would entail an investment of $350-400 million and be the largest plant of its kind in Africa.Note it is implicit that the funding will come from Chinese Banks if the project comes to fruition.

Suntech signs MOU to build solar power plants in S.Africa – Reuters

Suntech Power Holdings Co Ltd, China’s largest maker of photovoltaic solar panels, has signed a deal to develop solar plants in South Africa with a total capacity of up to 100 megawatts, a spokesman said on Thursday.The non-binding memorandum of understanding had no financial terms, Rory Macpherson, Suntech’s director of investor relations, told Reuters, declining to name the South African company involved in the project.

The signing of the MOU, which coincided with the visit by South African President Jacob Zuma to China, was one of a dozen deals involving investments in energy, power transmission and railways signed between executives of both nations.


Sneha Shah

I am Sneha, the Editor-in-chief for the Blog. We would be glad to receive suggestions, inputs & comments on GWI from you guys to keep it going! You can contact me for consultancy/trade inquires by writing an email to

No Responses so far | Have Your Say!