Ethiopia commenced operations of a major hydropower dam on the Nile, despite fierce opposition from downstream Egypt. The move boosts Ethiopia’s renewable energy capacity and electricity exports, enhancing regional influence. However, it inflames long-standing hydropolitical tensions with Egypt, which fears reduced water flow and agricultural impact. Negotiations appear stalled, with risks of severe inter-state conflict over shared resources. This infrastructure push exemplifies the trade-offs between development and transboundary diplomacy.