Finance and preparation
Investors and developers face a diversity of challenges when preparing a hydropower project, while governments want to ensure that it aligns with national priorities and adheres to good practice in sustainability.
When preparing a project, hydropower companies must consider the location (e.g. hydrology), regulatory environment, financing arrangements and the local infrastructure in which they will operate.
Preparation facility model
A significant barrier to private sector investment in hydropower is the financial risk associated with rigorous and complex planning and assessments, with no certainty for investors that a project will be given permission to proceed.
We are promoting a new hydropower project preparation facility model, which could help investors, developers and governments get new projects off the ground, by ensuring that each one is selected according to recognised sustainability criteria and national and regional development needs. Read more.
An innovative new investment instrument, green bonds are fixed income loans for the finance and refinance of projects and assets that help address environmental and climate risks.
We are working with partners to agree recognised eligibility criteria for green bonds to fund hydropower projects. Read more.
Latest associated content
Climate change is already having a significant impact on the world as we know it. Rising global temperatures are accelerating glacial melting around the world.Type:Blog postDate:9 September 2016
Eric Martel is the President and Chief Executive Officer of Hydro-Québec, having taken up the role in July 2015.Type:Blog postDate:23 August 2016
23 August 2016
The International Hydropower Association is expanding its knowledge networks initiative to include eight topics identified as the most challenging for the sector.Type:News postDate:23 August 2016
It has long been accepted that every hydropower project is unique, and that bespoke design solutions are required for each project.Type:Blog postDate:10 August 2016
The Climate Bonds Initiative has launched a Hydropower Technical Working Group to develop criteria for climate-friendly hydropower investment. The International Hydropower AssociationType:News postDate:3 August 2016