Hydropower

Hydropower

Hydropower, also known as hydroelectric power, stands as one of the oldest and most significant sources of renewable energy globally. Harnessing the natural flow of moving water to generate electricity, hydropower plays a crucial role in the energy landscape. Currently, hydropower accounts for a substantial portion of renewable electricity generation worldwide, with the United States alone relying on it for about 28.7% of its renewable electricity and 6.2% of total electricity generation.

The Hydropower Market is expected to grow at a strong CAGR of 3.8% during the forecast period owing to environmental concerns over rising carbon emissions and increasing investment in renewable energy. The Hydropower market is a growing industry with significant potential for expansion with measures being taken to increase its usage and development. The market is heavily influenced by government policies, and programmes, as most hydropower projects are government funded.

The versatility of hydropower is remarkable, ranging from massive facilities like the Hoover Dam to smaller-scale installations in municipal water facilities or irrigation ditches. The flexibility of hydropower facilities is a key asset in integrating other renewable sources like wind and solar, potentially bringing online substantial new capacities by 2035. Moreover, the cost-effectiveness of hydropower is a standout feature, with lower energy bills heavily reliant on hydropower due to its minimal operational and maintenance costs over the project's lifetime. Beyond electricity generation, hydropower offers additional benefits such as flood control, irrigation support, and water supply, making it a multifaceted and essential component of the global energy mix.

• Based on Ownership, the Hydropower Market is bifurcated into Public and Private segments. The Public segment acquired a majority share in the Hydropower Market and is expected to register a substantial growth rate during the forecast period. Global hydropower ownership is a complex landscape influenced by various factors such as economic interests, energy demands, and environmental considerations. The ownership of hydropower projects often involves a mix of public and private entities, with different countries adopting diverse approaches to ownership structures. Some countries have implemented policies to safeguard essential security interests through ownership arrangements, including temporary state-ownership or golden-share arrangements. These mechanisms allow governments to maintain control over critical assets without necessarily becoming permanent owners, especially in cases where private ownership raises concerns related to security or strategic importance.
• Based on Technology, the Hydropower Market is divided into Reservoir, Pumped Storage, and Others segments. The Reservoir segment acquired a majority share in the Hydropower Market and pumped storage is expected to showcase a substantial growth rate during the forecast period. Pumped Storage Hydropower (PSH) is a significant form of hydroelectric energy storage that plays a crucial role in the energy sector. This innovative technology involves a configuration of two water reservoirs at different elevations, functioning like a giant battery by storing and releasing power as needed. Pumped storage acts as a dynamic energy storage solution, helping to balance the electricity grid by matching fluctuating energy demands. It is a renewable and clean source of energy that contributes to the fight against climate change. The technology offers numerous advantages, including flexibility, affordability, job creation, flood control, irrigation support, and recreational opportunities.
• Based on Capacity, the Hydropower Market is divided into Under 100 MW, 100-500 MW, and Above 500 MW segments. The Above 500 MW segment acquired a majority share in the Hydropower Market and is expected to showcase a substantial growth rate during the forecast period. These mega hydropower projects, exceeding 500 MW, are often key components of countries' energy strategies, offering a reliable and sustainable source of electricity. Their substantial capacity enables them to meet the electricity needs of large populations and support industrial and economic growth. Moreover, these projects are essential in reducing greenhouse gas emissions, as hydropower is known for its low carbon footprint compared to traditional fossil fuel-based power generation.
• For a better understanding of the market adoption of the Hydropower industry, the market is analyzed based on its worldwide presence in countries such as North America (U.S.A., Canada and Rest of North America), Europe (Norway, Spain, France, Italy, and Rest of Europe), Asia-Pacific (China, Japan, India, Vietnam, and Rest of Asia-Pacific), Rest of World. APAC registered the highest market share in the Hydropower Market and is expected to witness an influential CAGR in the forecasted period. The region, encompassing countries like China, India, and Japan, stands at the forefront of hydropower expansion, with significant investments and advancements in both conventional and pumped storage hydropower technologies. China, as a global leader in hydropower, has made substantial commitments to increase its hydropower capacity, with plans to significantly expand pumped storage hydropower facilities by 2030. This includes the impressive Baihetan hydropower station, one of the world's largest projects of its kind. As countries in APAC continue to invest in modernizing existing hydropower plants and constructing new projects, there is a growing emphasis on sustainability, community engagement, and environmental stewardship. The region's commitment to harnessing the power of water for clean energy production not only contributes to meeting global clean energy goals but also creates job opportunities, boosts local economies, and enhances overall energy resilience. With ongoing advancements in technology and a strong focus on innovation, APAC is poised to lead the way in global hydropower development for a cleaner and more sustainable future.
• Some of the major players operating in the market include Siemens AG, General Electric, China Yangtze Power, Voith Group, Andritz Hydro¸ China Three Gorges Corp, Duke Energy, Statkraft UK Ltd., Electricite de France SA, and Enel SpA.