Engineering Papers⌕ Search

SEARCH · Engineering Papers

Results for “Pumped Hydro”

Search indexed NASA NTRS and DOE OSTI research on propulsion, heat transfer, battery materials and energy systems. Follow report and document links to the original sources.

Quote a phrase for an exact phrase match. Source license links do not imply unrestricted reuse.

At least 127 records · Page 7

Furthering Advancements to Shorten the Time (FAST) to Commissioning for Pumped Storage Hydropower (PSH) Prize (CRADA Final Report)

NREL initiated a prize with support from Argonne National Laboratory (ANL), Oak Ridge National Laboratory (ORNL), and Pacific Northwest National Laboratory (PNNL), and sponsored by the U.S. Department of Energy Water Power Technologies Office (DOE WPTO) to encourage ideas to reduce the time to commissioning for PSH projects. As a result, Southwest Research Institute (SWRI) was chosen as one of nine finalists to develop their concept in advance of the FAST Prize Pitch Contest held on October 27, 2021. The National Labs provided technical and business advisement to SWRI in preparation for this Pitch Contest.

13 HYDRO ENERGY↗

Furthering Advancements to Shorten the Time (FAST) to Commissioning for Pumped Storage Hydropower (PSH) Prize: Cooperative Research and Development, CRADA Number CRD-19-00837 (Final Report)

The National Renewable Energy Laboratory (NREL) initiated a Prize with support from Argonne National Laboratory (ANL), Oak Ridge National Laboratory (ORNL), and Pacific Northwest National Laboratory (PNNL), and sponsored by the U.S. Department of Energy Water Power Technologies Office (DOE WPTO) to encourage ideas to reduce the time to commissioning for PSH projects. As a result, nine finalists have been chosen to develop their concepts in advance of the FAST Prize Pitch Contest to be held on October 7, 2019. The national labs will provide technical and business advisement to the noted FAST Prize finalists in preparation for this Pitch Contest.

13 HYDRO ENERGY↗

Methods for Assessing Opportunities for Ring Dam Pumped Storage Hydropower

There is growing interest in new pumped storage hydropower (PSH) deployment to provide a range of grid flexibility, reliability, and resiliency services under an evolving and uncertain future power sector. The National Laboratory of the Rockies develops open PSH resource assessment and cost modeling tools to help evaluate PSH deployment opportunities, and this report describes expansions to those tools to consider an additional PSH system configuration - ring-dam reservoirs built on flat topographical features that are constructed from roller-compacted concrete material. This reservoir type is common among current PSH proposals and requires new methods to identify sites with this reservoir geometry throughout the United States and characterize the associated dam cost. Cost characterization for ring dam reservoirs required collecting historical dam cost data for earthen, rockfill, and roller-compacted concrete dams and regressing equations that relate costs between alternative materials. The ring dam site identification algorithm follows a 5-step procedure to identify circular geometry reservoirs. Once ring dam reservoirs are identified, they are then paired with potential dry-gully reservoirs, and the full set of potential paired reservoirs is cost-optimized to produce a least-cost set of potential PSH sites with no overlapping reservoirs. The resulting analysis found 1,663 ring-dam to dry-gully systems in the contiguous United States that are lower cost than any overlapping dry-gully to dry-gully systems, 29 in Alaska, and none in Hawaii or Puerto Rico. These systems constitute 1.5 TW of capacity in the contiguous United States and nearly 29 GW in Alaska, demonstrating that under suitable topography and head, ring-dam systems can provide cost-effective PSH opportunities. The greatest density of these opportunities are found in the intermountain west where there are mesas and flat land at bases of mountain ranges, but continued work could incorporate additional site characteristics or consider more complex reservoir shapes to find additional PSH deployment opportunities.

13 HYDRO ENERGY↗

NPD Hydro

This tool, the Non-Powered Dam Hydropower Development and Ranking Opportunity Tool (NPD HYDRO), allows users to prioritize or rank NPD sites for future development based on user-defined priorities. Benefits can be evaluated in several categories: the grid, community, industry, and environment (represented by the GCIE impact scores in the tool. In addition, the tool provides the user with a qualitative measure for the feasibility of adding energy storage during NPD conversion, specifically battery, hydrogen electrolysis, and pumped-storage hydropower (PSH). By taking a holistic approach to the potential range of benefits provided by NPD conversions with results tailored to the user’s priorities, NPD HYDRO provides the opportunity for national-level screening and enables users to focus on the sites that are most closely aligned with their interests.

Woodruff, Nathan↗

Non-Powered Dam Hydropower Development and Ranking Opportunity Tool

In pursuit of a net-zero-carbon emissions economy in the United States, non-powered dams (NPDs) represent a large opportunity to develop hydropower while leveraging existing infrastructure. With almost 600 NPD sites in the United States identified as having over 1 megawatt (MW) of potential capacity, only a small portion of the total potential capacity at these sites has been developed in recent years. , Conventional NPD retrofit feasibility analysis primarily focuses on the developer’s perspective but fails to consider the broader impacts of developing a dam, including on the neighboring communities. This tool, the Non-Powered Dam Hydropower Development and Ranking Opportunity Tool (NPD HYDRO), allows users to prioritize or rank NPD sites for future development based on user-defined priorities. Benefits can be evaluated in several categories: the grid, community, industry, and environment (referred to as the four impact scores in the tool as discussed in Section 2.2). In addition, the tool provides the user with a qualitative measure for the feasibility of adding energy storage during NPD conversion, specifically battery, hydrogen electrolysis, and pumped-storage hydropower (PSH). By taking a holistic approach to the potential range of benefits provided by NPD conversions with results tailored to the user’s priorities, NPD HYDRO provides the opportunity for national-level screening and enables users to focus on the sites that are most closely aligned with their interests.

13 HYDRO ENERGY↗

Closed-Loop Pumped Storage Hydropower Resource Assessment for the United States. Final Report on HydroWIRES Project D1: Improving Hydropower and PSH Representations in Capacity Expansion Models

Pumped storage hydropower represents the bulk of the United States' current energy storage capacity: 23 gigawatts (GW) of the 24-GW national total (Denholm et al. 2021). This capacity was largely built between 1960 and 1990. PSH is a mature and proven method of energy storage with competitive round-trip efficiency and long life spans. These qualities make PSH a very attractive potential solution to energy storage needs, particularly for longer-duration storage (8 hours or more); such storage will be crucial to bridge gaps in electricity production as variable wind and solar production continue to comprise an ever-larger portion of the United States' energy portfolio (Cole et al. 2021; Frazier et al. 2021). However, it is unclear how much potential the United States has for the development of new PSH. No new large PSH has been constructed in the United States since the 1990s, and attempts to quantify technical potential capacity from PSH project applications to the Federal Energy Regulatory Commission (FERC) suffer from inconsistent site and cost evaluation methodologies and likely are not representative of all PSH opportunities. This study seeks to better under understand the technical potential for PSH development in the United States by developing a national-scale resource assessment for closed-loop PSH. Individual sites are not modeled in sufficient detail for project-level development, but they do provide valuable insights into potential resource areas across the United States, including the ability to provide estimates for a range of long-term development scenarios.

13 HYDRO ENERGY↗

Hybridization Assessment of Trybrid Pumped Storage Hydropower System—Part 1: A Case Study of Corral Summit

This report is a part of the deliverables for technical assistance provided to Cat Creek Energy for the Coral Summit Trybrid (Triple Hybrid-Pumped Storage Hydropower, Battery Energy Storage System, and photovoltaic solar energy) energy project. This report explores the operational benefits and challenges of hybridizing an open loop PSH (200MW) located at Mackay, Custer County, Idaho with solar PV (Ground mount 300MW and floating 40MW) and battery (720MWhr). This document reports two activities performed as a part of the hybridization assessment task 1) optimal resource allocation and energy management strategy, and 2) power quality and reliability assessment. From optimal resource allocation and energy management strategy (activity 1), the following key findings can be observed: • Conventional PSH (CPSH) with two reversible pump turbines and separate penstocks can provide required flexibility equivalent to that from two ternary PSH with separate penstock. With single unit CPSH, upper reservoir head cannot be maintained accurately, the variation of water level is rapid and pump mode flexibility is not available. These disadvantages can be overcome by single unit TPSH. However, using two CPSH units with separate penstocks also overcome these disadvantages with the formation of the hydraulic short circuit between two conventional units. • Flooding of the lower reservoir is a severe concern when considering continuous operation for black start. This limits the duration of continuous operation from PSH alone to around 50 hours. Due to the complementary PV and battery action, the duration of continuous operation and smooth power output can be extended. • An optimization problem is framed that maximizes the power output on an hourly basis while minimizing constraint violations and respecting seasonal variations of solar PV and load profiles . Two value streams, arbitrage and baseload generation are served by this profile. It was uncovered that for smooth power output during regular operation, PV curtailment will be required, or the battery capacity needs to be increased above 90MW to accommodate additional PV. From power quality and reliability assessment (activity 2) the following takeaway points can be observed: • The Trybrid, when integrated at the Lost River bus, and limited to 250MW in generation mode and -150MW in the pump mode, causes no violation of voltage or flow.

13 - HYDRO ENERGY↗

Corral Summit Pumped Storage Hydropower Hybrid: Site Suitability Assessment

In 2024, Idaho National Laboratory (INL) and Pacific Northwest National Laboratory (PNNL) initiated a technical-assistance project to support Cat Creek Energy, LLC, (CCE) in evaluating site suitability for the proposed Corral Summit Pumped Storage Hydropower (PSH) project in south-central Idaho near Mackay Reservoir. The Corral Summit facility incorporates battery storage and photovoltaic (PV) solar arrays in a Trybrid configuration to deliver large-volume long-duration (LVLD) storage solutions for rural electric cooperatives in eastern Idaho. The evaluation process focused on determining the most-suitable location for the upper reservoir of the PSH system, guided by a comprehensive assessment framework spanning multiple categories, including physical characteristics, environmental constraints, building infrastructure, regulatory constraints, cultural resources and sensitivity, social factors, and power market and grid integration. Each site was analyzed based on a ranking scale (0–1), which scores ranging from “severely disfavored” to “highly favored,” allowing detailed comparisons of site-specific conditions. Categories such as hydraulic head, utilities corridor, land ownership, and transmission-grid limitations emerged as key contributors to the overall assessment. Site 2 (Idaho Trust) demonstrated a slight advantage over Site 1 (Bureau of Land Management) primarily due to favorable outcomes in regulatory constraints, building infrastructure, and power-market integration. However, Site 1 outperformed Site 2 in factors related to physical characteristics and social factors. The report emphasizes the need for further evaluation of both sites before clear determination of which site is preferred, due to the limited information available on either site at the time of this report. Key areas of evaluation to clearly define the preferred site are ecological impacts, cultural-resource surveys, and economic-feasibility assessments. For successful project execution, recommended follow-up actions include seismic and geotechnical surveys, groundwater and habitat monitoring, regulatory reviews of water rights and right-of-way agreements, cultural engagement with local tribal governments, and enhanced stakeholder strategies. These efforts will ensure the Corral Summit Trybrid facility meets local energy needs while balancing environmental, social, and regulatory responsibilities.

13 - HYDRO ENERGY↗

Corral Summit Pumped Storage Hydropower Hybrid Site Suitability Assessment (Rev.1)

In 2024, Idaho National Laboratory (INL) and Pacific Northwest National Laboratory (PNNL) initiated a technical-assistance project to support Cat Creek Energy, LLC, (CCE) in evaluating site suitability for the proposed Corral Summit Pumped Storage Hydropower (PSH) project in south-central Idaho near Mackay Reservoir. The Corral Summit facility incorporates battery storage and photovoltaic (PV) solar arrays in a Trybrid configuration to deliver large-volume long-duration (LVLD) storage solutions for rural electric cooperatives in eastern Idaho. The evaluation process focused on determining the most-suitable location for the upper reservoir of the PSH system, guided by a comprehensive assessment framework spanning multiple categories, including physical characteristics, environmental constraints, building infrastructure, regulatory constraints, cultural resources and sensitivity, social factors, and power market and grid integration. Each site was analyzed based on a ranking scale (0–1), which scores ranging from “severely disfavored” to “highly favored,” allowing detailed comparisons of site-specific conditions. Categories such as hydraulic head, utilities corridor, land ownership, and transmission-grid limitations emerged as key contributors to the overall assessment. Site 2 (Idaho Trust) demonstrated a slight advantage over Site 1 (Bureau of Land Management) primarily due to favorable outcomes in regulatory constraints, building infrastructure, and power-market integration. However, Site 1 outperformed Site 2 in factors related to physical characteristics and social factors. The report emphasizes the need for further evaluation of both sites before clear determination of which site is preferred, due to the limited information available on either site at the time of this report. Key areas of evaluation to clearly define the preferred site are ecological impacts, cultural-resource surveys, and economic-feasibility assessments. For successful project execution, recommended follow-up actions include seismic and geotechnical surveys, groundwater and habitat monitoring, regulatory reviews of water rights and right-of-way agreements, cultural engagement with local tribal governments, and enhanced stakeholder strategies. These efforts will ensure the Corral Summit Trybrid facility meets local energy needs while balancing environmental, social, and regulatory responsibilities.

13 - HYDRO ENERGY↗

Pumped Storage Hydropower Resource and Deployment Potential

There is growing interest in deploying new pumped storage hydropower (PSH) to meet grid needs for flexibility, reliability, and resiliency. This presentation describes how NLR resource assessment, cost modeling, and capacity expansion modeling are used to identify technical and economic PSH deployment potential and support industry decision-making on PSH investments. NLR's open data and tools demonstrate the vast technical potential of PSH on the order of 80 TW, and modeling shows economic PSH deployment under an attractive cost-value proposition.

13 HYDRO ENERGY↗

Pumped Storage Hydropower Operation & Maintenance Cost Estimation

The National Laboratory of the Rockies (NLR) develops and hosts a pumped storage hydropower (PSH) cost model that is the most detailed bottom-up PSH cost model available to the public. It is available both as a spreadsheet and an interactive web tool, enabling users with a variety of PSH interests to transparently characterize costs of alternative PSH sites and designs. The NLR PSH cost model was designed originally to consider only upfront capital costs only. This slide deck describes methodology to expand the cost model to include operations and maintenance (OM) costs. OM costs are characterized as five distinct components with unique sources and methods for cost estimation. By combining methods for each of these components into a cumulative OM cost estimate, these methods allow a more complete estimation of total OM costs that agrees with existing literature values. The methods are scalable and transparent, allowing them to be readily to applied to any prospective PSH facility for a representative preliminary OM cost estimate in advance of detailed site-specific engineering and other studies.

13 HYDRO ENERGY↗

Globally Gridded Groundwater Extraction Volumes and Costs under Six Depletion and Ponded Depth Targets

This repository contains simulated outputs from superwell – a hydro-economic tool for long-term assessment of groundwater cost and supply – providing globally gridded groundwater extractable volumes and associated unit costs ($/km³) for accessible groundwater production, based on a variety of user-defined depletion and ponded depth scenarios. Key model documentation: Niazi, H., Ferencz, S. B., Graham, N. T., Yoon, J., Wild, T. B., Hejazi, M., Watson, D. J., & Vernon, C. R. (2025). Long-term hydro-economic analysis tool for evaluating global groundwater cost and supply: Superwell v1.1. Geoscientific Model Development, 18(5), 1737-1767. https://doi.org/10.5194/gmd-18-1737-2025 Find the source code of the superwell model on GitHub: https://github.com/JGCRI/superwell Repository Overview Main output: superwell_outputs.7z contains 6 files (4.5 GB) named as superwell_py_deep_all_0.*PD_0.*DL.csv. These files present superwell outputs of global groundwater extraction volumes and cost estimates on a 0.5° scale for six scenarios with different Ponded Depth (PD; 0.3 and 0.6 m) and Depletion Limit (DL; 5%, 25%, and 40% of available volume) targets over the entire pumping lifetime of a grid cell superwell_py_deep_all_0.3PD_0.25DL_sample_100.csv contains superwell outputs for 100 data points sampled to match the global inputs' distribution superwell_py_deep_all_0.3PD_0.25DL_Grid_72548.csv contains superwell output for a single grid cell concept_v5.png provides an overview of the superwell workflow Outputs Description year_number: year of pumping depletion_limit: set depletion limit (DL) as a volume fraction of total available groundwater Mappings: continent, country, gcam_basin_id, Basin_long_name, grid_id: geographic identifiers and basin information Inputs: grid_area (km²): area of the grid cell whyclass: hydrogeological classification of the aquifer permeability (m/day), porosity (%), total_thickness (m), depth_to_water (m): aquifer properties. The geo-processed input data has been published separately: https://doi.org/10.57931/2307831 Model outputs: orig_aqfr_sat_thickness (m), aqfr_sat_thickness (m): original and remaining/instantaneous saturated thickness of the aquifer hydraulic_conductivity (m/day), transmissivity (m²/day): hydraulic properties of the aquifer radius_of_influence (m), areal_extent (km²): well radius and area of influence from the center of the well number_of_wells (-): number of wells in a grid cell determined by a ratio of well area and grid area max_drawdown (m), drawdown (m), drawdown_interference (m): well and aquifer drawdown during extraction total_head (m): total lift for the groundwater (depth to water plus drawdown) total_well_length (m): total depth of wells drilled well_yield (m³/day): pumping rate or well yield power (kW), energy (kWh): power and energy required for pumping groundwater Volume Outputs: volume_produced_perwell (m³), cumulative_vol_produced_perwell (m³): production volume metrics per well volume_produced_allwells (m³), cumulative_vol_produced_allwells (m³): aggregate extraction volumes for all wells in a grid cell available_volume (m³): available groundwater in storage for the grid cell as determined by aquifer properties depleted_vol_fraction: fraction of total volume pumped over available volumes in a grid cell (same as depletion limit) Cost Outputs: well_installation_cost ($): well installation cost based on the hydrogeological complexity of the aquifer annual_capital_cost, maintenance_cost, nonenergy_cost ($): nonenergy costs energy_cost_rate ($/kWh): electricity rate energy_cost ($): energy cost of pumping groundwater total_cost_perwell ($), total_cost_allwells ($): total annual energy and non-energy cost for each and all wells in a grid cell a unit_cost ($/m³), unit_cost_per_km3 ($/km³), unit_cost_per_acreft ($/acre-ft): total cost of pumping a unit of groundwater, indicated for different spatial units Key Resources Model documentation: Niazi, H., Ferencz, S., Graham, N., Yoon, J., Wild, T., Hejazi, M., Watson, D., & Vernon, C. (2024; In-prep). Long-term Hydro-economic Assessment Tool for Evaluating Global Groundwater Cost and Supply: Superwell v1. Geoscientific Model Development. Input data: Niazi, H., Watson, D., Hejazi, M., Yonkofski, C., Ferencz, S., Vernon, C., Graham, N., Wild, T., & Yoon, J. (2024). Global Geo-processed Data of Aquifer Properties by 0.5° Grid, Country and Water Basins. MSD-LIVE Data repository. https://doi.org/10.57931/2307831 superwell source code: https://github.com/JGCRI/superwell Cite as Niazi, H., Ferencz, S., Yoon, J., Graham, N., Wild, T., Hejazi, M., Watson, D., & Vernon, C. (2024). Globally Gridded Groundwater Extraction Volumes and Costs under Six Depletion and Ponded Depth Targets. MSD-LIVE Data repository. https://doi.org/10.57931/2307832 Contact Reach out to Hassan Niazi or Stephen Ferencz or open an issue in the superwell repository for questions or suggestions.

Earth Systems↗

Hydropower Value Drivers

Conventional hydro resources generate the majority of their value by providing energy under most conditions, but the relative fraction of value generated by providing ancillary services and capacity increases with increasing penetration of resources with zero fuel costs. Pumped storage hydropower resources generate the majority of their value by providing capacity under most conditions, but the relative fraction of value generated by providing energy increases with increasing penetration of resources with zero fuel costs. The total value of conventional hydropower generally decreases in systems with increasing penetration of resources with zero fuel costs; this is largely due to the associated decrease in average energy prices. The total value of pumped storage generally increases in systems with increasing penetration of resources with zero fuel costs, largely due to opportunities to operate in pumping mode when energy prices are low or even negative. Energy storage representation must be enhanced to ensure that models accurately capture system value streams for these resources. Current power system models have a limited ability to capture the price dynamics of ancillary services, and it is still challenging to assess the role and magnitude of ancillary service value streams in future systems. Power systems are currently in a state of rapid and dramatic evolution due to a number of different factors, including the increasing penetration of variable renewable energy (VRE) sources, such as wind and solar, and battery energy storage systems (BESS). This evolution will change the way power systems are fundamentally planned and operated. Some of these changes may be incremental, while others may be more significant, but the result will likely be parallel evolution in the definition and requirement of different grid services and therefore a subsequent shift in their relative values. This report presents a framework developed to identify such system value drivers and quantify their relative impact on several different value streams, with a specific focus on implications for conventional hydropower and pumped storage hydropower (PSH) resources. This value drivers framework (VDF) encompasses five core analytical steps: 1. Identify potential drivers and develop scenarios, 2. Execute production cost models, 3. Calibrate prices, 4. Optimize hydropower operations, and 5. Quantify value drivers.

13 HYDRO ENERGY↗

Validation of the NLR Pumped Storage Hydropower Cost Model

The National Laboratory of the Rockies (NLR) first released its pumped storage hydropower (PSH) cost model in 2023 as the most detailed bottom-up PSH cost model available to the public. It is available both as a spreadsheet and an interactive web tool, enabling users with a variety of PSH interests to transparently characterize costs of alternative PSH sites and designs. The PSH cost model cannot replace detailed site-level studies and design, but it is important to validate it against other industry PSH cost estimates. The initial model methodology report validated the cost model for a single proposed site, the Eagle Mountain Project in California. This slide deck documents an expanded validation exercise using cost data from six other sites: Goldendale (Washington), Seminoe (Wyoming), Gordon Butte (Montana), Swan Lake (Oregon), White Pine (Oregon), and Lewis Ridge (Kentucky). It compares itemized costs from Federal Energy Regulatory Commission (FERC) applications and other reported costs with NLR PSH cost model outputs after customizing inputs for each site. The validation exercise finds that the NLR model's conservative indirect cost assumptions often drive overall cost overestimation, with direct cost comparisons typically agreeing more closely. All cost model estimates are well within an Association for the Advancement of Cost Engineering (AACE) Class 5 estimation range (-50% to +100%), with five within the AACE Class 4 range (-30% to +50%) and four being within 15%. This result is considered reasonable performance for a parametric model applied at a preliminary design stage.

13 HYDRO ENERGY↗

Pumped-Storage Hydropower using Abandoned Underground Mines (PSH-AUM) as an Innovative Energy Storage Technology for Fossil-Integrated Systems

Pumped-storage hydropower (PSH) provides around 95% of all utility-scale energy storage in the U.S. and globally. Additional deployment of PSH is hampered by excessively long permitting and commissioning requirements and is constrained to locations for which natural topography provides suitable elevation relief between the upper and lower reservoirs (the ΔH challenge). The purpose of this research was to evaluate Pumped-Storage Hydropower using Abandoned Underground Mines (PSH-AUM) as a means to solve the ΔH challenge and initiate the commercialization pathway for a promising new energy storage technology. Four primary tasks were conducted: Screening and ranking of candidate sites for project development; multiphase reservoir modeling to evaluate mine performance; techno-economic analysis and preliminary designs for PSH-AUM systems integrated with fossil-fuel power units; and stakeholder engagement to identify pathways to commercialization of this new technology. Key results were achieved in each of the four primary tasks. Candidate site screening determined that nearly 10,000 underground mines were spatially locatable, of which more than 100 sites appear suitable for integration with existing fossil power plants that are expected to remain in longer-term operation. Mine reservoir models were developed using PNNL’s STOMP simulator and parameterized using candidate site data to evaluate interactions with the surrounding groundwater system and confirm the potential for some mines to accommodate inflows and outflows on the order of 100 m3/s over 8-hour durations (1.6 GWh system) without excessive aqueous pressures. Techno-economic analysis resulted in a project cost optimization scheme to identify key sensitivities and the development of preliminary designs that can minimize overall costs of deployment. Finally, stakeholder engagement with industry, state government, and local economic development leaders confirmed the viability of PSH-AUM as a promising new technology. Our Phase I project results suggest that PSH-AUM technology has a domestic market potential on the order of $100+ Billion with ample space for technology development to commercialization within the next decade.

13 HYDRO ENERGY↗

Hydropower Investment and Public-Private Ecosystem Assessment

The U.S. Department of Energy's (DOE's) Water Power Technologies Office (WPTO) commissioned this Report to evaluate the primary challenges in raising investment in medium-sized hydropower and PSH, defined as projects with five (5) to 30 megawatts (MW) of installed capacity, and to understand potential opportunities to increase mobilization of private sector investment in hydropower and PSH projects in the future. Based on stakeholder interviews, a market survey, and industry reports, this Report considers the investment and development trends and future opportunities for five hydropower project types: capacity additions, conduits, PSH (both open and closed loop), non-powered dams (NPDs), and new stream-reach development (NSD).

13 HYDRO ENERGY↗

A Comprehensive Framework for Valuation of Ecosystem Services in the Context of Hydropower

While models to value ecosystem services exist, they suffer from a lack of “portability” in the sense that a single modelling framework developed for one site cannot be imported and applied to another. Additionally, benefit estimations are often fragmented, incomplete, incomparable, and in heterogenous metrics, thus preventing aggregation to arrive at one comprehensive value. In the context of hydropower, the methods, as well as the metrics used to value the associated ecosystem services, vary between stakeholders (e.g., competing water users, agencies, etc.), detracting from the ability to assess the total value of a hydropower project, water management schemes, or comparing value between competing water users. Further, current methods to value water neglect non-market ecosystem services’ values by failing to account for externalities, resulting in misallocation of costs (e.g., obligatory stakeholder payments for water use) and misinterpretation of hydropower benefits. The benefit-cost ratios in hydropower development are often incomplete because non-market benefits are excluded (e.g., benefits, such as fish habitat resiliency and agricultural water reliability, derived from hydropower development). An approach to enable consistent, standardized hydropower benefit-cost analyses does not currently exist. This paper conceptualizes a methodology to standardize ecosystem services valuation in the context of hydropower projects through the integration of the U.S. Environmental Protection Agency’s existing Final Ecosystem Goods and Services Classification System framework and economic valuation techniques, and demonstrates the applicability of this methodology through a limited proof-of-concept application (the New Waddell Plant, a pumped hydroelectric energy storage facility in Phoenix, AZ). The beauty of our proposed framework lies in its ability to be imported and applied to any other pumped storage facility after accounting for site-specific features.

13 HYDRO ENERGY↗