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Data and Tools for Exploring New Pumped Storage Hydropower Deployment Opportunities

Pumped storage hydropower (PSH) is a flexible energy storage technology with the potential to facilitate variable renewable energy integration into the decarbonized electric grid of the future. NREL is developing new data and tools to help understand opportunities for new PSH deployment, including nationwide resource assessment data, a bottom-up component-level cost model, and a lifecycle greenhouse gas emissions calculator. These datasets lay the foundation for better-informed grid planning decisions about how PSH fits into a future portfolio of generation, transmission, and storage assets.

CEM↗

EverGREEN 2045: An Energy mix to Decarbonize Washington State

The Clean Energy Transformation Act transitions Washington State to 100% clean energy by 2045. As the future resource mix will likely include intermittent renewables, hydropower, and new, carbon-free, flexible technologies including advanced nuclear reactors and enhanced geothermal systems, we assess the cost and feasibility of the future resource mix with proprietary cost data from our industry partners for new technologies. For plausible future resource mix scenarios, we find that revenues are sufficient to cover variable operations and maintenance costs for most technologies, but capacity payments or power purchase agreements will be necessary for new, flexible resources to participate in the future resource mix.

clean energy, energy policy, energy transition, re↗

Baseline Cost Model for Hydropower: Documentation (2025)

Hydropower currently contributes about 80 GW of conventional and 23 GW of pumped storage capacity to the United States (US) power grid. Previous studies have estimated a considerable amount of remaining US hydropower resources, including non-powered dams (NPD) (Hadjerioua et al., 2012), new stream-reach developments (NSD) (Kao et al., 2014), pumped storage hydropower (PSH) and canal/conduit (Kao et al., 2022). The combined theoretical capacity potential of these various hydropower resources is comparable to the existing US hydropower capacity. There is a continuing interest in developing this hydropower potential, particularly to help meet the increasing demand for electricity. However, available data (Sasthav and Oladosu, 2022) show that the rate of new hydropower development has slowed considerably over time despite the interest of industry stakeholders. This is partly due to the competition from other energy resources and from the highly dispersed nature of remaining hydropower resources, which lead to high information requirements for evaluating the feasibility of potential projects. Cost information provides the most succinct summary of the feasibility of a potential hydropower project required by stakeholders, including developers, investors, policymakers, consumer groups, etc., considering investment options. The best estimates of hydropower costs can be obtained through detailed engineering design and cost assessments of individual projects. However, this approach has high data and resource (time, funds, cross-disciplinary expertise) requirements that render it inapplicable for rapid cost estimation with limited data. Although innovative approaches can overcome some of these impediments (see Oladosu and Ma, 2024 for such an application to potential NPD projects), the development of such approaches still requires significant amounts of resources and are not generally applicable to all hydropower project types. Therefore, statistical and parametric methods using simpler cost specifications remain of significant utility to hydropower stakeholders and are, at the least, complementary to more detailed approaches, particularly when evaluating many potential projects.

13 HYDRO ENERGY↗

An Assessment of Hydropower Potential at National Conduits

In support of the mission of the US Department of Energy Water Power Technologies Office to promote domestic next-generation hydropower growth, this study provides a first-of-its-kind assessment of the hydropower development potential on existing water conduits nationwide. This study evaluates the potential for conduit hydropower development in the municipal, agricultural, and industrial sectors across the United States. The research team developed systematic methods to evaluate conduit hydropower capacity potential (MW) and energy generation potential (GWh/year) at four categories of conduits across the United States. They include the following: (1) Water supply pipelines for municipal and industrial uses, (2) Wastewater discharge conduits from municipal and industrial systems, (3) Agricultural water conduits including irrigation canals and ditches in the 17 western states that rely heavily on irrigation, and (4) Thermoelectric power plant cooling water discharge conduits. For each type of conduit, the team developed and implemented a method to estimate hydraulic head and annual water flows—and the hydropower potential—based on analyses of satellite imagery, topography, and existing data sets on water systems and power plants. These methods support a consistent, replicable estimate of conduit hydropower potential across 3 sectors and all 50 states, aggregated at the county and state levels. The assessment was conducted at the reconnaissance level, considering resources that could be available for development at the state and national levels using present-day assumptions about conduit hydropower technology.

13 HYDRO ENERGY↗

Hydropower Cybersecurity Value-at-Risk Framework

Hydropower remains one of the strongest forms of renewable energy generation methods. It is crucial to address the increasing risks associated with the rapid digitization. The push towards decarbonization also factors in the need to ensure security and resilience for grid-connected renewable energy resources. This report summarizes the U.S. Department of Energy's Water Power Technologies Office's effort to develop a cybersecurity valuation methodology that assists hydropower stakeholders in assessing risks associated with plan operations and gathers valuation guidance through a web-based application. The Hydropower Cybersecurity Value-at-Risk Framework delivers a platform for industry members to perform self-assessments and make informed decisions on their cybersecurity investments.

13 HYDRO ENERGY↗

Overcoming persistent challenges in putting environmental flow policy into practice: a systematic review and bibliometric analysis

The implementation of environmental flows (e-flows) aims to reduce the negative impacts of hydrological alteration on freshwater ecosystems. Despite the growing attention to the importance of e-flows since the 1970s, actual implementation has lagged. Therefore, we explore the limitations in e-flows implementation, their systemic reasons, and solutions. We conducted a systematic review and a bibliometric analysis to identify peer-reviewed articles published on the topic of e-flows implementation research in the last two decades, resulting in 68 research and review papers. Co-occurrence of terms, and geographic and temporal trends were analyzed to identify the gaps in environmental water management and propose recommendations to address limitations on e-flows implementation. We identify the underlying causes and potential solutions to such challenges in environmental water management. The limitations to e-flow implementation identified were categorized into 21 classes. The most recognized limitation was the competing priorities of human uses of water (n = 29). Many secondary limitations, generally co-occurring in co-causation, were identified as limiting factors, especially for implementing more nuanced and sophisticated e-flows. The lack of adequate hydrological data (n = 24) and ecological data (n = 28) were among the most mentioned, and ultimately lead to difficulties in starting or continuing monitoring/adaptive management (n = 28) efforts. The lack of resource/capacity (n = 21), experimentation (n = 19), regulatory enforcement (n = 17), and differing authorities involved (n = 18) were also recurrent problems, driven by the deficiencies in the relative importance given to e-flows when facing other human priorities. In order to provide a clearer path for successful e-flow implementation, system mapping can be used as a starting point and general-purpose resource for understanding the sociohydrological problems, interactions, and inherited complexity of river systems. Secondly, we recommend a system analysis approach to address competing demands, especially with the use of coupled water-energy modeling tools to support decision-making when hydropower generation is involved. Such approaches can better assess the complex interactions among the hydrologic, ecological, socioeconomic, and engineering dimensions of water resource systems and their effective management. Lastly, given the complexities in environmental water allocation, implementation requires both scientific rigor and proven utility. Consequently, and where possible, we recommend a move from simplistic flow allocations to a more holistic approach informed by hydroecological principles. To ease conflicts between competing water demands, water managers can realize more 'pop per drop' by supporting key components of a flow regime that include functional attributes and processes that enhance biogeochemical cycling, structural habitat formation, and ecosystem maintenance.

54 ENVIRONMENTAL SCIENCES↗

Informing Cybersecurity Decisions With the Value-at-Risk Framework

Security at every site is critical to making hydropower a strong contributor to the country's grid, but with ongoing development and expanding capabilities, the diversity of the existing hydropower fleet makes across-the-board investment decisions difficult. The threat of cyberattacks naturally increases as the interconnection of Information Technology and Operational Technology networks broadens. Hydropower plants require custom analyses that are specific to the unique challenges and characteristics of any given facility. Facilities, however, often do not have the necessary resources for managers to make informed decisions on investments based on assessed capabilities and risks.

cybersecurity↗

EverGREEN 2045: An Energy Mix to Decarbonize Washington State

Washington State’s future resource mix is likely to be comprised of intermittent renewables and carbon-free generation including hydropower by 2045. Generation will likely be comprised of wind, solar photovoltaic (PV), batteries, pumped storage hydropower (PSH), existing nuclear power plants, and potentially enhanced geothermal systems and advanced nuclear reactor technologies. To assess the cost and stability of the future resource mix, we partner with X-energy (advanced reactor design) and AltaRock Energy (enhanced geothermal system) for proprietary cost data. After estimating the costs of these two new technologies, we design plausible future resource mix scenarios to meet Washington State’s Clean Energy Transformation Act which transitions the state to carbon-free generation by 2045. We assess the cost and stability of the future resource mix with power system analysis tools, finding revenues are sufficient to cover variable operating and maintenance costs for most technologies providing power in 2030 and 2045, but capacity payments or power purchase agreements will likely be necessary for flexible resources, including enhanced geothermal systems and advanced nuclear reactors, to participate in the future resource mix.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Hydro-battery Hybrids – A Case for Holistic Assessment of Hybrid Energy Systems

With increasing penetration of renewable energy resources like solar and wind, the flexibility offered by the hydropower generation facilities would be instrumental in providing grid reliability. However, hydropower’s capabilities are often constrained to meet asset management targets and environmental flow requirements. To meet these necessary requisites while simultaneously being able to utilize hydropower’s full potential, hydro plus battery hybrids offer a logical solution. However it is often challenging to make the case for economic feasibility of hydro-battery hybrids at the required scale of battery storage. To that end, this paper proposes a multi-objective optimization framework to maximize advantages of hydro-battery hybrid systems from three different avenues: new market opportunities, environmental benefits and machine wear and fatigue. Using an illustrative case study of a peaking plant, we simulate hydropower operations for with and without 120 MWh of battery storage for four different simulated flow patterns ranging from peaking operations to run-of-the-river operations and two intermediate flow patterns in between. The results demonstrate that hybridizing the hydropower plant can potentially generate additional revenue while simultaneously enable more environmental friendly operations and reduce the overall machine wear and tear.

Chalishazar, Vishvas H.↗

Informing Cybersecurity Decisions With the Value-at-Risk Framework

Security at every site is critical to making hydropower a strong contributor to the country's grid, but with ongoing development and expanding capabilities, the diversity of the existing hydropower fleet makes across-the-board investment decisions difficult. The threat of cyberattacks naturally increases as the interconnection of Information Technology and Operational Technology networks broadens. Hydropower plants require custom analyses that are specific to the unique challenges and characteristics of any given facility. Facilities, however, often do not have the necessary resources for managers to make informed decisions on investments based on assessed capabilities and risks.

50 EE - Wind and Water Power Program - Water (EE-4↗

The Prospects for Pumped Storage Hydropower in Alaska

Key Takeaways: The resource mapping analysis confirmed that numerous locations in Alaska are suitable for the development of pumped storage hydropower (PSH) projects, both larger grid scale projects and smaller projects that could be suitable for remote communities; The resource assessment for larger, grid-scale projects showed the potential for more than 1,800 closed-loop systems in Alaska, with a total energy storage capacity of about 4 terawatt hours (TWh); Because of their small reservoir sizes and dam heights, many locations were identified as potentially suitable for small-scale PSH systems. Nearly 50% of the identified potentially suitable small-scale PSH sites are in Southeast Alaska; PSH candidate sites were part of the optimal capacity expansion solution in all scenarios analyzed for the Railbelt system. Depending on the scenario, the new PSH capacity that the model selected for the analysis period until 2046 ranged from 300 MW to 600 MW. The locations and timing of new PSH investments vary in different scenarios; Lithium-ion batteries were also selected a source of new generating capacity in all analyzed scenarios for the Railbelt system, indicating that the system will need a mix of short- and long-duration energy storage to support variable renewable energy sources and provide system reliability in the future; For rural communities, analysis results showed that PSH suitability is very site-specific; in addition to diesel fuel costs and PSH capital costs, suitability depends heavily on available renewable resources and existing infrastructure (e.g., reservoirs, transmission access and construction road access); The analysis for rural communities also showed that PSH projects with 10-hour energy storage are likely to be more economical for remote community applications in Alaska than those with larger reservoirs that could provide 10 days of energy storage; Lithium-ion batteries seem to be an economically more viable energy storage option for small, remote communities in Alaska.

13 HYDRO ENERGY↗

Assessing the Costs of Hydropower at Non-Powered Dams Using a Reference Site Model

Hydropower capacity in the United States currently stands at approximately 103 GW, and there are remaining water resources that could help meet the rapidly increasing demand for electricity and ancillary grid services. Existing dams that do not generate power, known as non-powered dams, are a near-term solution to enhance the contribution of hydropower to the US power grid. However, there are thousands of such sites, and the lack of detailed information about their specific characteristics and associated costs presents significant challenges for stakeholders. This study addresses these challenges by developing a reference site model to evaluate the potential costs of hydropower at non-powered dams using currently available technologies. An application of the model reveals a wide range of estimates for capacity, capital costs, levelized cost of electricity, and cost components. While many sites are competitive with current technologies, the majority would need cost-reducing innovations to be viable. Despite the limited available information, the model offers valuable insights into the relative competitiveness of hydropower projects at non-powered dams. The simulation results highlight the need for continued technological advancements in hydropower and provide a basis for evaluating the benefits of new innovations.

cost drivers↗

Pumped Storage Hydropower Potential and Opportunities

Pumped storage hydropower (PSH) is a flexible energy storage technology with the potential to improve grid reliability, resiliency, and stability in the electric grid of the future. NREL has developed a range of data and tools to help understand opportunities for new PSH deployment, including nationwide resource assessment data, a bottom-up component-level cost model, and a lifecycle greenhouse gas emissions calculator. These datasets can then be used to inform grid planning models, analysis, and decision making to understand the role PSH can play in the power sector.

cost↗

Cybersecurity Value-at-Risk Framework: Preprint

As more variable renewable energy sources are added to the grid, the critical role of hydropower as a reliable baseline and firming resource is rapidly growing. However, the U.S hydropower fleet is not fully prepared to face modern issues such as cybersecurity threats. Hydropower accounts for 37% of U.S. utility-scale renewable electricity but is challenged by diverse infrastructure and legacy devices that predate modern security practices. While new cybersecurity solutions cannot simply be added to current hydropower generation and operation technologies, custom cybersecurity assessments can reveal system-specific threats and risk probabilities and identify mitigating enhancements.

cybersecurity valuation↗

Commercialization of Pumped Storage Hydropower Technologies

Argonne National Laboratory and the National Laboratory of the Rockies were tasked by the U.S. Department of Energy’s Water Power Technology Office (WPTO) to conduct the Commercialization of Pumped Storage Hydropower Technologies study to investigate commercialization challenges faced by developers of pumped storage hydropower (PSH) projects and technologies by going beyond literature review to gather direct industry insights, lessons learned and best practices from interviews and webinars with industry specialists to create this report for PSH stakeholders and the general public. Researchers explored key challenges faced by PSH developers and innovators seeking to commercialize new technologies to improve PSH design, siting, construction, and operations. Along with highlighting challenges, the study sought to identify the best practices in developing and deploying new PSH projects and innovations. This report is designed to present insights, lessons learned, and best practices relevant to those with an interest in highlighting, informing, or advancing these PSH commercialization efforts. Along with highlighting challenges and best practices, the study sought to identify avenues by which DOE and national laboratories can help support and streamline PSH commercialization and project development processes.

13 HYDRO ENERGY↗

The Cybersecurity Value-at-Risk Framework

Hydropower remains one of the strongest forms of renewable energy generation methods. It is crucial to address the increasing risks associated with the rapid digitization. The push towards decarbonization also factors in the need to ensure security and resilience for grid-connected renewable energy resources. This report summarizes the U.S. Department of Energy's Water Power Technologies Office's effort to develop a cybersecurity valuation methodology that assists hydropower stakeholders in assessing risks associated with plan operations and gathers valuation guidance through a web-based applicaiton. The Hydropower Cybersecurity Value-at-Risk Framework delivers a platform for industry members to perform self assessments and make informed decisions on their cybersecurity investments.

CVF↗

Insights for Canadian electricity generation planning from an integrated assessment model: Should we be more cautious about hydropower cost overruns?

Hydropower accounts for approximately 60% of electricity generation in Canada, with growth expected in the coming decades as part of renewable energy transitions; however, frequent cost overruns threaten the viability of this growth. Here, using the integrated assessment model GCAM, we develop an endogenous representation of hydropower for Canada that accounts for market dynamics, thus permitting analysis of hydropower competition with other electricity generation technologies, both with and without cost overruns. Results show that modelling hydropower resources endogenously increases Canadian hydropower deployment relative to an assumption of fixed hydropower production, from 417 to 495 TWh annually by 2050. In scenarios that apply cost overruns at historical levels, hydropower loses market share to more easily scalable technologies like wind power. When including high cost overrun assumptions, the model determines that hydropower falls from about 73% to 65% of Canadian electricity generation by 2050, while wind power increases from about 8% to 11%. Countries may be better able to achieve electrification and renewable energy targets at lower cost by avoiding large-scale, overrun-prone hydropower and nuclear generation projects. Model results support that cost overruns are important considerations for policy decisions related to electricity sector development in Canada and elsewhere.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

The value of hydropower flexibility for electricity system decarbonization

Hydropower is an abundant, dispatchable, clean energy resource that will play an important role in supporting the clean energy transition. In particular, dispatchable hydropower can provide the operational flexibility that will be required in future systems with high variable renewable energy penetrations. However, the theoretical operational flexibility of hydropower can be restricted in practice by various non-power constraints. In this paper, we quantify how increasing the operational flexibility of dispatchable hydropower resources with reservoirs impacts least-cost generation portfolios and supports power system decarbonization. Specifically, we conduct a capacity expansion analysis of a two-zone system: a hydro-dominated region and a neighboring region with aggressive decarbonization targets that are represented by the United States Pacific Northwest and California respectively. We then introduce a quantifiable index for characterizing the operational flexibility of reservoir hydropower and assess how changes in this metric impact the system-optimal generation portfolio. We find that increasing hydropower flexibility leads to more investment in wind generation, less investment in natural gas generation, lower system costs, and lower system emissions. We further demonstrate a substitution effect between the grid services provided by flexible hydropower operation, increased transmission capacity on a congested line, and energy storage resources. Finally, we show that increasing the operational flexibility of hydropower increases the effective load carrying capability of both hydropower and wind resources. This research supports a more nuanced understanding of how hydropower can support electricity system decarbonization and may motivate reassessing the cost-benefit tradeoffs of non-power constraints that restrict operational flexibility.

Capacity expansion modeling↗