The world’s most ambitious water transfer project, starting from the Danjiangkou Reservoir in the central province of Hubei, is set to transport huge amount of the wet stuff from the Han River to the thirsty cities in the north.

The route linking Danjiangkou, Beijing and Tianjin travels is more than 1,000 kilometers long. It is the central route of the South-North Water Transfer Project, which is intended to divert 44.8 billion cubic meters of water a year from the south to the north. With total investment of more than 100 billion yuan, the project is to supply water to more than 100 million people. As the most important of three routes, the central line is set to start operations no later than September.

But some experts are concerned that the water quality of the Danjiangkou Reservoir may fail to meet standards. Various sources say that like many lakes in China, the reservoir is also suffering from eutrophication, a process that involves a body of water becoming so enriched with nutrients that excessive plant growth occurs. This leads to algae blooms and the death of fish.

A report from the Ministry of Environmental Protection (MEP) in November said that 10 of 56 quality samples along the route fell short of standards. Most of the substandard samples came from the tributaries that flow into the reservoir.

Moreover, the MEP says that 90 percent of the 474 pollution prevention projects planned along the route in the provinces of Henan, Hubei and Shaanxi have not been completed.

Caixin learned that the route consists of canals and underground pipeline, and 100 kilometers of canal are exposed to polluted areas, putting the water quality at even more risk.

A source close to the South-North Water Transfer Project Office under the State Council said that as the project goes into operation the challenges are just emerging and that protecting the water quality will be difficult.

Money Troubles

Among the several rivers that flow into the Danjiangkou Reservoir, the Shending, a major tributary of the Han, is the largest. It flows through Shiyan, in Hubei Province, and the MEP said it is one of the most polluted rivers involved in the project.

The Shending River receives about 65 percent of the wastewater discharged from the urban area of Shiyan, or about 52 million tons every year. A pollution research report by the city government said the river contains excessive ammonia, phosphor and other pollutants. Based on national standards, the Shending River should be labeled as class five, the worst level.

The other four rivers in the Hubei Province that flow into the Danjiangkou Reservoir have reported similar level of pollution, while another two rivers that flow through Hunan Province also reportedly polluted.

Xia Qing, the chief engineer of the Chinese Research Academy of Environmental Sciences, said the water pollution is the result of industrial development.

Despite public calls to ensure the water quality of the projects, local government efforts to reduce pollution have been weak.

The State Council, the country’s cabinet, says the polluted rivers accounts for 4.3 percent of the reservoir’s total volume. This prompts some experts in Hubei to argue that the polluted rivers will have a limited impact on the overall water quality of the Danjiangkou because the pollutants will be diluted.

Xia said improving water quality will require huge investments. However, local governments have been hesitant to take action because financial support from the central government is not great enough.

A plan for the Danjiangkou Reservoir approved by the State Council says that between November 2012 and December 2015 some 445 projects will be started to reduce pollution from garbage storage, industrial discharge and mine waste. As of September 2013, some 138 have started.

But money is a problem. Under the plan, the central government will set aside 12 billion yuan for the projects, but local governments say this is far from enough.

An official in Shiyan said that to reduce pollution of the five rivers in the region, local governments would have to invest a lot. “It will be a great burden for the city. We don’t have a sufficient budget,” the official said.

The Gold Problem

The MEP has labeled the water in the Danjiangkou Reservoir as class four, mainly due to excessive levels of nitrogen. According to the national standard, class four water is for industrial use and cannot come in direct contact with people.

“Class four is polluted water, but if you call water as clear as that in Danjiangkou class four, people will feel confused,” said Weng Lida, former director of the Yangtze River Water Resources Protection Bureau.

Indeed, Weng’s bureau has for years labeled the water in Danjiangkou class two – clean water – because it excludes nitrogen in its assessments.

A high level of nitrogen is a key indicator of eutrophication. Many of the country’s major lakes have been suffering from this problem and the connected algae blooms.

“The water is covered by it (alga) and is poisoned. It is no longer consumable,” one researcher said.

Excessive nitrogen levels are usually the result of fertilizer used in agriculture. The source close to the South-North Water Transfer Project Office says the Danjiangkou Reservoir is surrounded by farmland, which is likely the main source of fertilizer pollution.

Xia said prevention of fertilizer pollution would be an important task for protecting the water quality in the reservoir. “Fertilizer use cannot be allowed near water resources. The stockpiling of garbage and sludge in rural areas also need to be tackled,” he said.

Local authorities have planned to adjust planting methods in nearby areas and mark certain zones where fertilizer use is prohibited.

Mining is another potential risk for Danjiangkou. In the upstream areas of the reservoir, mining reserves are abundant. These include gold, zinc, lead and others. But mine development and the related issues of tailing storage pose threats to the quality of water in the Danjiangkou.

An expert in Hubei said that the central government has sent several inspection teams to mining sites to investigate possible pollution and risks from tailing sites, but all local governments want to develop the resources, especially gold.

Route Risks

There are other challenges along the project’s more than 1,400 kilometer route. The central route includes 1,276 kilometers of main canal going through Henan, Hebei and Beijing. There is another 156 kilometers of canal in Tianjin, most of that underground.

All construction was completed by December 2013. However, news outlets have reported that the facilities were exposed to pollution or garbage. In August, a section of canal in Shijiazhuang, Hebei Province, was reported to be only 10 meters from a wastewater gutter and could easily be polluted because the water penetrated underground. The local environment authority later admitted the potential risks.

A source close to the situation said that along the central route about 100 kilometers of canal traveled through areas where underground water is polluted, including 30 kilometers of severe pollution.

Authorities have launched an overall inspection on the underground water quality along the central route. The water transfer project office ordered related departments to study ways to prevent underground pollution.

In 2006, several central government departments jointly issued an order requiring local governments to establish protection zones near the sources of the transfer project. Work was to be completed in September 2007. Construction and development were limited inside certain zones. However, the work has been delayed due to the lukewarm response of local governments.

A source close to the situation said Tianjin and Henan have completed drawing lines for their protection zones, and Hebei is set to finish the work by March.

A number of experts said the zones can prevent pollution from industry, agriculture and wastewater from tainting the transferred water. However, due to the large area of land that is required to sit idle, local governments have been hesitant about following the order.

A Long Battle

Experts are also concerned about ensuring the long-term quality of the central route and the Danjiangkou Reservoir. Several experts said instead of administrative orders, institutional and long-term mechanism must be established to prevent pollution.

A 2012 document approved by the State Council for the development of Danjiangkou and the nearby areas outlined challenges for local environment protection. As many people in the area live in poverty, local governments’ lack the financial ability to close polluted industries and launch protection projects. In addition, to preserve the environment around the water sources will also lead to resettlement of farmers.

Experts have suggested a compensation system to support long-term water protection efforts.

Weng Lida said it is necessary to set up a mechanism to compensate people in upstream areas who sacrifice their interests to protect the water.

The central government has agreed. Since 2008, a total of 20 billion yuan has been paid to people in 43 counties in upstream regions through transfer payments, including 4 billion yuan paid in 2013 alone.

Official have also agreed that a market-oriented compensation system should also be established.

“Because the water supplies go to Beijing, costs should be included in a water tariff,” said a source close to the government. The source added that the authorities are studying a more market-oriented compensation mechanism.

Such a mechanism is also being explored in regions where the canal passes through in order to encourage local authorities to protect the environment.

“Money is only one aspect,” said the source close to the central government. “More importantly, Beijing and Tianjin should offer more technology, talent and business assistance to set up an exchange and supportive mechanism.”