Case Study: Pergau Dam

Question 1

Facts and figure

Answer 1

• funded by UK government (234 million pound)

- began in 1991

Question 2

Was controversial because

Answer 2

• Electricity produced there would not benfit the poorest regions and Malay but instead go to akuala Lumpur
• Harmful environmental effects (deforestation –> rain stripped away top soil –> soil started to silt up the River Pergau and threatened the lives of Sumatran rhinos and tigers)
• Thousand farmers displaced
• “tied deals” - Malaysia bought 1 billion pounds worth of arms from the UK –> provided jobs and exports back in the UK
• In 1994- High Court ruled that the aid is illegal since the project was not of economic benefit to Malaysian people