Speculation is mounting the China will accelerate development of hydro resources in the Autonomous region of Tibet in order to boost export revenues by selling excess capacity to India.

Comments attributed to senior figures in the China Electricity Council (CEC) suggest that the Chinese authorities are exploring the large potential hydroelectric capacity found in eastern Tibet

Tibet has a hydro potential estimated at 100,000MW along major rivers such as the Lhasa and the Ni-yang-chu.

India already has interconnection capacity with the neighbouring Himalayan kingdoms of Nepal and Bhutan, but there are plans to jointly set up a larger South Asian regional grid.