Exploring an escalating confrontation over resources with global implications.

Water scarcity, rapid economic growth and soaring energy demand are forming a tightening noose that could choke off China's modernization.

Underlying China's new standing in the world, like a tectonic fault line, is an increasingly fierce competition between energy and water that threatens to upend China's progress. Simply put, say Chinese authorities and government reports, China's demand for energy, particularly for coal, is outpacing its freshwater supply.