Three Chinese provinces, Shaanxi, Qinghai and Gansu, together with the Ningxia Hui Autonomous Region and the National Power Corp have set up the Yellow River Hydro-Electric Development Co Ltd to exploit the generating potential of the Yellow River. The upper reaches of the river, which flows from the Qinghai-Tibet plateau, fall 1324m between Longyang Gorge and Qingtong Gorge. Twenty-five power stations with a combined generating capacity of 15 800 MW are to be built along this 918 km section. Seven are under construction or already in operation.

The upper region of the Yellow River could become a comprehensive national energy base with thermal power and natural gas as well as hydropower. Much of China’s energy potential lies in the west while the nation’s main centres of population and industry are in the east. The development plan includes a west-to-east transmission project to carry power to these centres.