The International Energy Agency (IEA) has accepted in its latest World Energy Investment Special Report titled “Reducing the Cost of Capital: Strategies to unlock clean energy investment in emerging and developing economies” has candidly accepted that hydropower (excluding pump storage) is no longer the high-priority sector.

Among the challenges hydropower faces, according to IEA, include long permitting time necessary considering the high and complex impacts of hydropower projects amd delays during construction. IEA figures show that the capacity of Chinese developed hydropower projects that had high proportion of installed hydropower capacity globally in any year for decades, was the lowest in 2023 since 2014. The report accepts that high cost of capital with high interest rates can have a major impact on Cost of electricity, affecting competitiveness of the hydropower projects.

Continue reading “DRP NB 220424: International Energy Agency accepts high-cost high risk hydro is no longer High Priority” →