By 
16-02-2026 | Miriam Schanz | Asia Team Researcher, Global Human Rights Defence.
The controversial Batang Toru hydropower project (led by Chinese state-owned enterprises) faces an uncertain future after years of international condemnation over its role in threatening the endangered Tapanuli orangutan, systemic human rights abuses, and fatal safety failures.
The Batang Toru hydropower project in North Sumatra, Indonesia, initiated in 2008 by PT North Sumatra Hydro Energy (NSHE), was designed as a 510 MW facility covering over 16,000 acres. After construction began in 2017, despite the developers’ claims that the dam would drastically reduce greenhouse gas emission, the project became a focal point for global controversy. Currently, a group of Indonesian and Singaporean partners, led by the Chinese state-owned State Development and Investment Corporation (SDIC), owns 70% of the project. Financing has been equally turbulent and in 2020, the Bank of China withdrew its support due to strong pressure from NGOs. The Export-Import Bank of China eventually took its place and offered a syndicated loan of about $1.25 billion in 2022.
The Tapanuli orangutan, a species found in 2017 with a population of just 800, reflects the project’s biggest ecological crisis. According to research, the dam’s roads and infrastructure would split the species’ primary habitat in half, possibly leading to the extinction of the most endangered ape in the world. In addition to orangutans, the region is a hotspot for Sumatran tigers and pangolins, both of which suffer from habitat fragmentation. Allegations of human rights violations and a terrible safety record exacerbate these environmental issues. At least 18 individuals died at the site between 2020 and 2023 as a result of accidents, tunnel collapses, and landslides. Workers’ reports indicate that safety regulations among Chinese and local labourers were regularly violated, resulting in avoidable deaths.
Opposition to the dam has been met with systemic intimidation and violence. Police have clashed with indigenous communities, and local activists claim to have received anonymous threats or been blocked by security personnel. For example, although the 2019 death of activist Golfrid Siregar was officially declared an accident, due to the suspicious circumstances surrounding his death, many believe he was targeted for his legal opposition to the dam. International conservationists have also faced repercussions, with claims of dismissals for publishing data critical of the project’s impact. Despite years of persistence from developers and shifting financial backers, the Indonesian government finally revoked a key permit in January 2026 due to extensive forest damage, leaving the future of the controversial dam in a state of terminal uncertainty.
