As one of the world’s largest producers of hydropower, with 90% of the country’s electricity generated by it, Norwegian hydropower plays a key role. And although the sector may view itself as being green, a study by the Norwegian research centre for renewable energy HydroCen, shows significant variation in how the industry handles challenges related to environmental measures. Some companies are proactive and invest in environmental measures regardless of regulatory requirements, while the majority take a more wait-and-see approach
The survey conducted among 48 of the largest energy companies reveals that the industry already perceives its sustainability level as being high, with ambitions for further improvements by 2030. However there are major variations in what companies report as being environmentally sustainable which, the report acknowledges, could be due to unclear regulations. Indeed many hydropower companies are uncertain on how to adapt to new regulations for sustainable financing and environmental adaptation, including EU Taxonomy and Norway’s implementation of the EU Water Framework Directive.
The European Free Trade Association’s Surveillance Authority has even expressed dissatisfaction with Norway’s implementation of environmental measures in the hydropower sector, and is considering taking the case to the court. Part of this criticism centres upon the unequal treatment of older and newer hydropower plants, as well as the slow implementation of licensing revisions.
The HydroCen report recommends five measures to ensure Norwegian hydropower maintains its position as a sustainable energy source:
- Strengthening Regulatory Frameworks: Providing clear and consistent guidelines to help companies meet sustainability standards.
- Economic Incentives: Offering financial support and incentives for companies investing in sustainable technologies and practices.
- Enhancing Social Acceptance in Future Projects: Hydropower companies should invest in early and continuous involvement of stakeholders. Open and transparent communication is vital in order to develop solutions that provide both local benefits and environmental considerations.
- Promoting Best Practices: Sharing successful case studies and best practices to encourage broader implementation of sustainable measures.
- Future Research: Continuing planned research under the research centre FME RenewHydro will provide more knowledge that is in demand.
“For Norwegian hydropower to remain a sustainable energy source, not only are technological solutions needed but also a clear strategy on how environmental measures should be implemented in an economically and regulatory predictable manner,” says Berit Köhler who headed the project. “Our study shows that the industry has great ambitions, but uncertainty regarding regulations and financing may slow down the necessary transition. It is crucial that authorities and the industry work together to create clear framework conditions for a greener hydropower sector.”
US collaboration
Norway’s research centre Renew Hydro has recently signed an agreement with the US Department of Energy, to strengthen joint efforts of addressing challenges posed by modernising hydropower systems and safeguarding river ecosystems.
“It is essential that renewable energy development goes hand in hand with nature, both in Norway and internationally. This agreement also ensures we maintain strong collaboration with our US colleagues,” says Tonje Aronsen, Research Director at the Norwegian Institute for Nature Research.
“Strong partnerships drive innovation, and innovation strengthens America’s energy future,” US Energy Secretary Chris Wright commented. “Hydropower is a tremendous resource…By signing this Memorandum of Understanding with Norway, we are building upon our two nations’ shared expertise.”
This new agreement is an extension of an existing one. In 2020, the US and Norway signed a five-year MOU Annex that brought together DOE’s Water Power Technologies Office and the Norwegian Research Centre for Hydropower Technology to collaborate on hydropower research and development. Under the extended MOU the scope of this collaboration now includes marine energy. The two parties have agreed to share foundational information, tools, and technologies that reduce barriers to the development, testing, and advancement of both marine energy and new hydropower technologies.
“Our collaboration with Norway – another country that is rich in water power resources – will help us expand our generation capacity, upgrade existing facilities, and cultivate the technical expertise we need to make the most of these opportunities,” the US’ Principal Deputy Assistant Secretary for Energy Efficiency and Renewable Energy Lou Hrkman added.
Opening Up
Earlier in the year the Norwegian parliament voted to open up protected rivers to hydropower plants. Power plants over 1MW will now be allowed to be built in protected waterways, providing there are significant benefits and acceptable environmental consequences.
Environmental campaigners criticised the government’s decision, describing it as being a historic attack on Norwegian nature. Opposition to the bill has been significant, with campaigners presenting a petition with 25,000 signatures against the measure.
Norway currently protects nearly 400 waterways from large-scale hydropower development to preserve ecological integrity. Environmentalists are concerned the introduction of hydropower projects in these areas could further impact fish populations and biodiversity, necessitating careful site selection and design considerations.
Supporters of the proposal claim approval criteria remains unchanged and companies seeking to build hydropower dams would still face strict assessments before being granted a permit. They add the significant flood-reducing effects of such projects mustn’t be overlooked while it’s good that the decision is not a ‘free pass’ for the construction of new facilities in protected watercourses.
