This report by Latinoamérica Sustentable (LAS) ex amines the role of the Export-Import Bank of China (China Ex-Im Bank) and Sinohydro Corporation, identifying key omissions that enabled the realiza tion of a project under conditions of elevated geo logical, environmental, climatic, and institutional risk. The analysis of both actors reveals a pattern of structural co-responsibility. While the financier failed to implement due diligence processes or effective oversight mechanisms, the contractor ex ecuted the project without incorporating adequate quality and risk management standards. [...]

Key Findings:

• Chinese actors (the bank and the construction company) bear direct co-responsibility for the adverse impacts, current problems, and persistent risks associated with CCS.

• The China Ex-Im Bank exhibited omissions and deficiencies in its due diligence, supervision, and monitoring processes in the face of known risks and early warnings related to the project.

• Sinohydro Corporation Limited exhibited planning and design failures, construction deficiencies, and inadequate management of technical and environmental risks.

• The CCS project was developed in a context of high geological, climatic, and institutional risks that were not adequately in corporated into the project's assessment, planning, and execution.

• The failures identified in CCS do not stem from isolated errors, but rather from systematic and cumulative omissions across the different stages of the project cycle.

• The regressive erosion of the Coca River and sedimentation problems evidence cumulative impacts that threaten not only the power plant, but also other strategic infrastructure and local communities.

• The possible concession to PowerChina reopens the debate on the continuity of responsibilities, the distribution of risks and costs, and the long-term sustainability of the facility.

• CCS leaves urgent lessons regarding the risks and limitations of an energy transition model based on large-scale hydroelectric projects, as well as deficiencies in the social and environmental governance of Chinese financing and investment in Latin America.