The Fljótsdalur Hydropower Project in Iceland has become the first in Europe to receive Gold certification under the Hydropower Sustainability Standard (HSS), marking the adoption of the standard on all six major continents.
The certification recognises the Fljótsdalur project’s high performance across environmental, social and governance (ESG) criteria. With this, Europe joins Africa, Asia, North America, South America, and Oceania in applying the HSS to assess and certify hydropower projects.
Since its launch in 2021, the HSS has become a global benchmark for evaluating sustainability in hydropower. Certification levels – Bronze, Silver, and Gold – are awarded based on independent assessments covering topics such as biodiversity, water quality, climate resilience, community engagement, and indigenous peoples’ rights.
Eddie Rich, CEO of the International Hydropower Association (IHA), said: “Going forward, the only acceptable hydropower is sustainable hydropower – and the Hydropower Sustainability Standard is the main way to demonstrate it. Hydropower development is picking up rapidly as the world responds to the global need for green, secure, flexible and affordable electricity. But it needs to be clean as well as green. Not only is that the right thing to do – it also ensure that the asset will maximise its effectiveness and its life, and it unlocks finance and permits. That’s why we are now seeing this internationally-recognised Standard adopted in every corner of the world.”
The Hydropower Sustainability Alliance (HSA), which oversees the standard, has led training and capacity-building efforts in countries such as Nigeria, Mozambique, Malaysia, France, China, and Colombia to support local implementation.
João Costa, Executive Director of the HSA, said: “We are proud to see the Hydropower Sustainability Standard applied across six continents. The progress made over the past three years has been remarkable. Not only are we seeing a growing commitment from hydropower developers to raise the bar on sustainability, but more financial institutions are integrating the principles of the Standard into their risk management frameworks.
“With many more projects in the assessment pipeline across all regions, this is just the beginning. The future of hydropower lies in transparency, accountability, and long-term sustainability, and the Standard provides a clear pathway to achieving that. As adoption expands, so too does our ability to deliver real, measurable benefits for ecosystems and communities.”
Certification for Fljótsdalur follows previous assessments under earlier sustainability tools. According to the HSA, its improved performance demonstrates how the HSS supports ongoing progress through action plans and regular evaluations.
With global hydropower capacity projected to double by 2050 to meet climate goals, the HSS is seen as a key mechanism to ensure that growth aligns with international best practices.
