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Image
Senior Engineer Gregg Walker looks towards a "Picostream" floating turbine generator during installation in an old water mill.

HOOK, HAMPSHIRE - APRIL 04: Senior Engineer Gregg Walker looks towards a "Picostream" floating turbine generator during installation in an old water mill on April 04, 2023, in Hook, Hampshire. Amid persistently high energy prices and environmental concerns, interest has grown in alternative energy sources. While most of the attention is aimed at solar and wind energy, hydroelectricity is seeing an increase in available options. Founded by Henry Reily-Collins, the Fish Friendly Hydro Company is in the process of developing a floating hydropower turbine generator that can be installed in flowing water on residential and commercial properties, with their 1000-watt PicoStream producing the same amount of electricity in a year as a 40 solar panel array or a 4kW wind turbine. Designed specifically to have a very low impact on the ecology of the waterway, the turbine floats on the surface, meaning the river requires no harmful damming.

Credit: Leon Neal / Getty Images

Hydropower

Call to action:

Use alternative hydropower sources to supply clean power, boost local livelihoods and climate resilience, restore river ecosystems, and diversify renewable energy generation.

Alternatives to large-scale hydropower exist(link is external), including mini(link is external), micro(link is external), and pico(link is external) hydro systems, which are often community-based and utilize the natural flow of water. Water has been harnessed for electricity since the nineteenth century(link is external), mostly using large-scale dams and river diversions that cause significant impacts to local communities and ecosystems. Today, much of the focus(link is external) is on pumped storage hydro (PSH)(link is external), which moves water from a lower reservoir to a higher one when electricity demand is low, thereby providing storage for energy generated by wind and solar arrays used to pump the water. However, PSH can have damaging effects(link is external) on communities and ecosystems. Alternative hydro systems provide clean, reliable energy to communities, incentivize the restoration of rivers and watersheds, boost local livelihoods, and contribute to climate resilience. Although they have limitations, they can be an integral part of diversified, decentralized renewable energy(link is external) (DRE) systems(link is external), complementing wind and solar.

Nexus Rating SystemBeta

Solutions to the climate emergency have unique social and environmental effects, positive and negative. To develop a broader understanding of the solutions in Nexus, we rate each solution on five criteria.

Sources for each Nexus are graded numerically (-3 through 10), and the average is displayed as a letter grade. You can explore each source in depth by clicking “view sources” below. For more information, see our Nexus Ratings page.

Hydropower
2.94
2.92
0.00
-1.91
7.00

Hydropower

Culture
C-
Women
N/R
Biodiversity
F+
Carbon
B+
Reference Social Justice Culture Women Biodiversity Carbon
Achieving Indigenous consent for hydropower in Nepal(link is external) 5.0 8.0
Social Impacts and Social Risks in Hydropower Programs(link is external) 1.0 1.0
Controlling biodiversity impacts of future global hydropower reservoirs by strategic site selection(link is external) -3.0
Addressing energy injustice in rural landscapes: Community leadership indigenous villages and micro-hydro diffusion in Indonesia(link is external) 6.0
Navigating trade-offs between dams and river conservation(link is external) 5.0 -2.0
First hydropower Standard signals a new era for the industry but must be strengthened to avoid mistakes of the past(link is external) 0.0 0.0 -2.0
Closed-loop pumped hydro on the rise(link is external) 5.0 5.0 -2.0
Purulia pumped storage project shows why pumped hydropower may not be clean(link is external) 0.0 0.0 -2.0
Expert Interview: Dipti Vaghela Explains How Community-based Micro-Hydropower is a People Empowerment Energy Solution(link is external) 5.0 4.0
Meet the Siblings Making Hydropower That Actually Protects Rivers and Fish(link is external) 5.0 0.0
Indigenous people under threat from Asia clean energy push(link is external) -1.0 -1.0
Community Mobilization for Energy Security(link is external) 5.0 7.0
Pico Hydro-Powered Agricultural Mills in Nepal(link is external) 6.0 6.0
Using Micro Hydro Power for Rural Off-grid Village Electrification.(link is external) 6.0
Oxfam: German companies complicit in human rights violations(link is external) -3.0 -3.0
Tackling Energy Poverty in Sarawak(link is external) 2.0 2.0 -1.0
Micro-hydropower brings light to remote Afghan villages(link is external) 5.0
Small Hydropower Plants Proliferation Would Negatively Affect Local Herpetofauna(link is external) -2.0
The Same Coin:Hydropower Dams and the Biodiversity Crisis(link is external) -3.0
As Small Hydropower Expands So Does Caution on Its Impacts(link is external) 1.0 -2.0
The impacts of run-of-river hydropower on the physical and ecological condition of rivers(link is external) -2.0
Small Hydropower - Project Drawdown(link is external) 6.0
Small hydropower and Climate Change(link is external) 7.0
The role of hydropower in achieving climate resilience(link is external) 8.0
2.9 2.9 0.0 -1.9 7.0

Action Items

Individuals

Learn about the history, pros and cons, and current trends in hydropower. Humans have harnessed(link is external) the mechanical power(link is external) of water for centuries, often by using waterwheels and tide mills for labor-intensive tasks(link is external) such as milling grain and processing cloth. Waterpower was key to early industrialization(link is external). Advances in turbine technology(link is external) in the nineteenth century marked the rise of hydropower as a source of electricity. The first hydroelectric dam was built in the United States in 1882. The second half of the twentieth century saw major growth(link is external) in hydropower. Concern about the environmental and social impacts of dams led to decreased support for hydropower in the 1990s, but burgeoning demand for electricity(link is external) in emerging economies recently has led to renewed expansion.

Learn about pumped storage hydro and its pros and cons. Although large-scale dams are still being built, much of the focus of hydropower today is on pumped storage(link is external) (PSH), a system that acts like a giant battery to “balance” energy grids. It addresses the intermittency issue of other renewable energies such as solar and wind. Half(link is external) of new hydro installations in Europe and China are PSH. While carefully sited, off-river PSH generally avoids(link is external) many of the impacts of large-scale dams, but it should not be seen as a panacea for growing global energy storage needs.

Learn about the pros and cons of alternative hydropower. Alternative hydro’s geographical limitations(link is external) and relatively small generating capacity mean its role in the global transition to renewable energy should not be overstated. Furthermore, while alternative hydro is less environmentally damaging than large-scale hydro, if it were to proliferate in a single watershed the cumulative effects(link is external) could be worse than large dams. However, with adequate policy and financial support, and with regulatory oversight, alternative hydro is a compelling means of deploying decentralized renewable energy to communities while boosting local climate resilience and providing socioeconomic empowerment.

Support the shift to alternative hydropower where you live. As energy consumers, many of us can play a role in accelerating the shift away from destructive dams and toward alternative hydro projects.

  • Share knowledge about alternative hydropower with your family, friends, and communities. This online library(link is external) and this blog page(link is external) have a number of resources and case studies you can use.
  • If you have a body of water near your home or in your local area, installing a mini, micro, or pico hydro system could generate power for you and your wider community. Here(link is external) and here(link is external) are resources on how to design and build your own small-scale hydro systems.
  • Learn about(link is external) and support dam removals(link is external) in your country. Removing aging and obsolete dams can reconnect fragmented rivers and restore plant and animal life that depends on these aquatic ecosystems. Dam Removal Europe(link is external) is working to restore fragmented rivers through knowledge sharing and funding support.
  • In some places, it’s possible to check how the hydropower you use affects people and the environment. Low Impact Hydro(link is external) is an organization in the U.S. that certifies hydro projects that avoid or lessen their ecological and social impacts. 

Groups

Companies, Investors, and Insurers

Shift business to alternative hydropower. With the cost of solar and wind energy dramatically decreasing, and a generalized pivot away(link is external) from high-impact dam projects, the role of hydropower is changing(link is external). Focusing your technical expertise and investment on small-scale, low-impact hydro is a future-proof and financially sound business choice. 

Engage in partnerships with Indigenous peoples and local communities to ensure that their rights and values are integrated into the full life cycle of hydro projects. Hydropower has historically violated(link is external) Indigenous rights and territories, leading to loss of life(link is external) and displacement. Companies, investors, and insurers should ensure free, prior, and informed consent of local and Indigenous communities, in line with the Hydropower Sustainability Standard(link is external), and involve them as partners and leaders in projects.

  • By partnering with multistakeholder groups, companies, investors, and insurers should ensure that hydropower projects are fully aligned with affected communities’ aspirations and include their participation in all stages, from design to construction and maintenance. With increasing scrutiny on the social and environmental impacts of hydropower, this approach will yield greater buy-in from local communities, avoid costly litigation, and ensure that projects achieve their desired objectives.

Development Banks and Agencies

Support alternative hydropower projects and divest from large-scale dams. Since 2003, 61 percent(link is external) of World Bank–funded hydro projects were small, run-of-river systems. However, many of these projects have significant social and ecological impacts. Development banks and agencies should favor carefully sited, small-scale, community-driven projects with a capacity lower than 1 Mw, which integrate ecosystem regeneration, boost local livelihoods, and fully involve(link is external) affected communities.

  • Endorse models like Social Enterprise for Energy, Ecological and Economic Development(link is external) (SEED), which integrates small-scale hydro projects with ecosystem restoration and socioeconomic resilience. An EU-funded project has enabled the Kalasha(link is external) Indigenous community in Pakistan to use community-owned micro-hydro grids combined with reforestation to boost climate resilience and provide reliable power to their villages.
  • Support community-built and operated small-scale(link is external) hydro projects that provide power to isolated rural populations as well as economic and social empowerment. A United Nations Development Program project(link is external) in the Democratic Republic of Congo is managed by a committee of local community members, has relieved women of physically demanding agricultural processing and manufacturing tasks, and boosted basic social services.
  • Partner with local private enterprises and provide credit to local banks to ensure hydro projects are community driven and create a sense of local ownership. Micro hydro projects are more likely to be sustainable if they function as local social enterprises, particularly because they can draw on strong local networks and community trust. Practical Action(link is external) has partnered with local hydropower practitioners in Nepal to build 3,300 micro hydro systems, providing electricity for remote communities and boosting local livelihoods.
  • Divest(link is external) from dams and large-scale systems. As well as having limited life spans and high repair costs, dams are becoming less competitive as the cost of other renewable energies decrease, and less efficient(link is external) due to the increasing frequency of droughts.

Local Communities

Join the growing movement of communities harnessing alternative hydro. There is a growing global network of alternative hydro practitioners and organizations that would greatly benefit from volunteer and fundraising support.

Researchers

Contribute to a better understanding of the impacts of alternative hydro. Although small-scale, alternative hydro is generally viewed as less detrimental to ecosystems than large-scale dams. In some cases, it can severely impact rivers and even decrease resilience to climate-related disasters. Researchers can help answer a critical question in this regard: What is the environmental impact per MWh of electricity generated? In other words, at what point do the impacts of small-scale projects approach the impacts of larger ones?

  • An investigation(link is external) into devastating flooding in the Indian state of Uttakharand concluded that multiple small-scale hydro systems likely exacerbated damages and loss of life.
  • Impacts of projects that have capacities over 1 MW often have a model of ownership that is not community-based. Greater study is needed(link is external) to fully understand these impacts and make recommendations accordingly to policymakers, companies, development actors, and financial institutions.

Governance

Map and assess the costs and benefits of different decentralized renewable energies (DREs). Governments typically rely on developers' preferences when deciding which projects to support. By weighing all options(link is external), including alternative hydro, biomass, wind, and solar, projects are likely to bring greater economic, ecological, and social benefits to the communities they serve. This article(link is external) details some suggested criteria for mapping and assessment.

Clarify the regulatory framework and provide direct financial support for alternative hydro. The scaling up of decentralized mini, micro, and pico hydro has been hampered(link is external) by a lack of regulation and funding. Government support for decentralized small-scale hydro in Nepal(link is external) provides a model for best practices(link is external).

Provide tax incentives and fund research(link is external) and development for alternative hydro. The government of Panama has used a series of tax exemptions(link is external) to boost the expansion of small-scale hydro projects.

Use a systems-wide approach to planning and licensing for hydropower. Reconciling hydropower with climate and biodiversity targets requires projects that are low carbon, low cost, and low conflict(link is external) with local communities and ecosystems. Costa Rica(link is external) provides an example of how this can be achieved. Nearly 100 percent of its grid is made up of renewable energy, with hydropower used for balancing the grid, while avoiding impacts on ecosystems and local and Indigenous communities.

Implement and strengthen international hydropower sustainability standards. The San José Declaration(link is external) on Sustainable Hydropower and the Hydropower Sustainability Standard(link is external) are important frameworks for preventing the negative social and environmental impacts of hydropower, but they must go a step further. Policymakers should only support(link is external) projects that conform to these standards and work to rigorously implement(link is external) and improve(link is external) them.

Focus hydropower policy on decentralized renewable energy (DRE). By focusing(link is external) policymaking on DRE, some analysts believe that achieving Sustainable Development Goal 7 of providing reliable, renewable energy for all by 2030 is possible. With small-scale hydropower at their core, these diversified systems can provide cross-cutting benefits for local livelihoods and ecosystems. 

Key Players

United Nations Industrial Development Organization (UNIDO)(link is external) (Global) is a specialized agency of the United Nations with a unique mandate to promote, dynamize and accelerate industrial development, including hydropower. 

United Nations Development Programme (UNDP)(link is external) (Global) works in 170 countries and territories to eradicate poverty and reduce inequality, including micro-hydro development. 

Hydro Empowerment Network(link is external) (Global South) is a passionate collective of practitioners committed to the advocacy and advancement of sustainable small-scale hydropower for community empowerment in the global south.

Practical Action(link is external) (Global) developing innovative real-world solutions to build sustainable lives and livelihoods for people living on the frontlines of poverty and climate change, including the micro-hydro sector(link is external)

Sustainable Energy for All (SE4ALL)(link is external) (Global) has a global mandate to accelerate progress on the energy transition in emerging and developing countries. 

Global Energy Monitor(link is external) (Global) develops and analyzes data on energy infrastructure, resources, and uses, providing open access to information that is essential to building a sustainable energy future.

International Energy Association(link is external) (Global) works with governments and industry to shape a secure and sustainable energy future for all.

International Renewable Energy Association(link is external) (Global) is a leading global intergovernmental agency for energy transformation that serves as the principal platform for international cooperation, supports countries in their energy transitions, and provides state of the art data and analyses on technology, innovation, policy, finance and investment. 

International Rivers(link is external) (Global) protects rivers and defends the rights of communities that depend on them.

Hydropower Sustainability Alliance(link is external) (Global) drives positive change in the hydropower sector by building knowledge, promoting accountability, empowering people and embedding sustainable practices. 

International Hydropower Association(link is external) (Global) is a non-profit membership organisation and the global voice for sustainable hydropower.

WaterPower Canada(link is external) (Canada) is the national, not-for-profit trade association dedicated to representing the waterpower industry.

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