The British Hydropower Association (BHA) is a leading trade body representing the UK hydropower sector. It brings together developers, operators, investors and supply chain companies across run-of-river, pumped storage and tidal range technologies. The Association works to promote the role of hydropower in delivering a secure, low-carbon electricity system, engaging with government and regulators to ensure that policy and market frameworks support the long-term deployment of these technologies.
The changing role of the association
Formally established in 2006, the Association is a continuation of the former National Association of Water Power Users, reflecting a sector that has been organised and represented for many decades in one form or another. For much of its earlier life, this meant a primary focus on run-of-river schemes. Hydropower in the UK experienced a prolonged lull towards the end of the 20th century, as, with the roll out of the national grid, there was a reduction in new hydropower schemes being built and many hydropower schemes were paid to decommission. As we entered the 21st century and a new focus was brought to the negative environmental effects of gas and coal, the hydropower industry was revitalised by support mechanisms such as the Renewables Obligation Certificates and the Feed-in Tariff. These schemes unlocked investment, brought forward a new generation of smaller-scale projects, and re-established hydropower as a viable part of the UK’s renewable mix.
This changing remit of the BHA is reflected in the composition of its Board. The Association draws on decades of combined experience across development, engineering, policy, and operations. In recent years, the Board has also evolved to better reflect the wider sector, with Joanna Gray bringing expertise in tidal range, alongside Mary Drury, our new Chair, who brings 30 years of hydropower experience and a strong focus on ensuring the UK deploys PSH to meet the Clean Power 2030 mission.
Run-of-river hydropower
Despite over a century of hydropower operating as the backbone of our electricity network, the sector faces a number of structural challenges, particularly for run-of-river hydropower. The operating environment is becoming increasingly constrained, with rising business rates, higher operating and maintenance costs, and growing regulatory burdens. At the same time, the closure of legacy support schemes such as the Renewables Obligation and the Feed-in Tariff will leave projects with a large revenue gap, and new schemes without a clear route to market.
In theory, Contracts for Difference should fill this gap. In practice, it does not. The scheme is designed around large-scale generation and competitive auctions and is not well suited to smaller, site-specific hydropower projects. As a result, hydropower finds itself in a difficult position. It is directed towards a support mechanism it cannot realistically access, while facing increasing financial pressure elsewhere.
The BHA is actively working to address these issues. For run-of-river hydropower, this includes advocating for reforms to the Contracts for Difference and Capacity Market to better reflect hydropower’s characteristics and focusing on the potential to develop Local Energy Markets, where hydropower’s ability to provide reliable, low-carbon, and dispatchable energy across the distributed network can be properly valued.
Pumped storage hydropower
Pumped storage hydropower is increasingly recognised as essential to balancing a renewable-led grid, reflecting a broader shift in how hydropower’s system value is understood. Following years of petitioning for a price stabilisation mechanism, the UK Government is working towards introducing a cap and floor mechanism for Long Duration Energy Storage. This is a significant breakthrough for the sector, with a wave of large-scale hydropower deployment likely to commence in the next 12 to 18 months. This will be the largest mobilisation of hydropower in nearly 40 years, and the BHA is looking forward to supporting the sector as it delivers this next generation of projects.
Tidal range hydropower
Tidal range is on a similar trajectory to pumped storage hydropower, with a slower but steadily growing recognition of its value to the energy system. Its predictability and long asset life offer clear advantages, particularly in supporting a more flexible, low-carbon grid, though these are not yet fully reflected within current policy frameworks. The BHA, through its role as secretariat to the Tidal Range Alliance, continues to advocate for the sector across government, working to build a clearer understanding of its long-term value. Progress remains incremental but is moving in the right direction.
Alongside its policy work, the BHA continues to act as a convening body for the sector. Its Summer Conference, which took place on the 3rd & 4th of June, brought together industry stakeholders to discuss current challenges and future opportunities. The Association also maintains a regular programme of engagement through newsletters, consultation responses, and its quarterly magazine spotlight.
Looking ahead, the role of organisations such as the BHA will only become more important. As the UK energy system evolves, ensuring that hydropower’s full value, including reliability, flexibility, and longevity, is recognised within market and policy frameworks will be critical. Hydropower has a clear role to play in the energy system of tomorrow. The challenge now is ensuring the framework around it is fit for delivery.
To learn more about the BHA, and to become a member, visit: https://british-hydro.org/ or email william.gallimore@british-hydro.org
