This project aims to explore the unique role of hydropower in producing significant amounts of firm renewable energy and storage to support VRE’s, and providing flexible energy services to support electricity systems – collectively termed ‘hydro balancing’. Specifically, Phase 2 will develop an understanding of two key strategic themes: (1) How hydropower may be valued in future electricity market scenarios, and (2) How hydropower may be valued in providing climate change adaptation services (e.g. flood control).Phase 2 will capture the contribution of hydropower by documenting the capabilities, challenges, opportunities, and market structures for compensating hydropower services in TCP member countries as well as additional countries recruited to the effort.
