Global Hydropower Industry
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Hydropower remains the most widely used renewable resource for clean power generation across the globe, due in part to its power generation flexibility, a major advantage it has over other technologies. It helps to maintain grid stability and can overcome shortages during peak power demand or power losses. Hydropower technology also carries the benefit of generating lower Greenhouse Gas (GHG) emissions than other renewable energy sources. Hydropower is the simplest form of renewable energy with the longest history of use.
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Hydropower is also inexpensive, with favorable policies and incentives provided by governments around the world and still, much of its global potential remains untapped, and while the share of other renewable resources are expected to increase in the future, hydropower is expected to remain at the top of global renewable installed capacity, accounting for up to 70% of the total renewable installed capacity.
The global hydropower market is expected to expand substantially in the coming years. South and Central America, the Middle East and Africa are going to be key hydropower markets by 2020 as demand for electricity expands and attention turns to the significant untapped hydropower potential in those regions.
Increasing government support will drive this growth, as favorable policies encourage investments from both public and private players. Almost all regions of the world have significant untapped hydropower potential waiting to be exploited. While the lack of proper infrastructure and investments are inadequate to support the maintenance and renewal of existing hydropower plants, increasing electricity requirements in these developing nations, have lead governments to develop lucrative policies and incentives to secure stronger investment. The combined effect of these factors is expected to drive the market at an exponential rate.
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