The United States is pressing Cambodia for transparency regarding a proposed $1.7 billion canal, financed by China, which has raised concerns in Vietnam due to its potential impact on water resource management.

Wesley Holzer, a spokesperson for the U.S. embassy in Phnom Penh, emphasised the importance of transparency in major undertakings with potential regional implications, such as water management and agricultural sustainability. The proposed canal has sparked alarm in Vietnam due to its potential effects on downstream water usage.

Cambodia gave approval for the construction of the Funan Techo Canal in May, a 180-kilometer-long project funded as part of China's Belt and Road Initiative. The canal aims to link the coastal province of Kep with the inland provinces of Kandal and Takeo.

According to Phan Rim, spokesperson for Cambodia’s Ministry of Public Works and Transport, the project is slated for completion by the end of the year as scheduled. It represents the latest in a series of China-backed infrastructure ventures in Cambodia.

The U.S. is urging Cambodia to collaborate closely with the Mekong River Commission (MRC) and conduct thorough environmental impact studies for the Funan Techo Canal Project. Vietnam has also expressed keen interest in the project's details and called for coordinated efforts with Cambodia and the MRC to assess its impact.

Brian Eyler from the Stimson Center warns that if the Funan Techo Canal is used for irrigation, it could exacerbate Vietnam's concerns by extracting more water from the Mekong than specified. He criticises the lack of transparency and regional discussion surrounding the project, urging for more clarity.

Eyler highlighted that the project appears to be creating division between Cambodia and Vietnam, potentially pressuring other nations to take sides. He emphasised the importance of the 1995 Mekong Agreement and the role of the Mekong River Commission (MRC) in preventing such conflicts. Eyler stressed that the MRC's involvement at all stages of the project is crucial, which is currently lacking.

Prime Minister Hun Manet assured Hanoi in December that the project would not negatively impact the Mekong or other rivers, emphasising environmental stability. Independent researcher Rim Sokvy suggested that the Cambodian government is determined to ensure the project's success, citing its potential significance for Hun Manet's reputation.

Sokvy doubted Vietnam's opposition would cause the project's failure, instead attributing potential setbacks to a withdrawal of Chinese support.

Image source: ANI