Financing hydropower to meet 2050 targets

In order to meet net zero goals, hydropower projects need to be built at twice the pace they are at present globally. The biggest challenge cited is financing. High initial capital costs and uncertain financial returns make it difficult to make the projects bankable in developing and developed markets.

In addition, governments have competing needs (political, economic, and fiscal considerations), and often limited finance for the large-scale projects needed for net zero in the power sector. This is especially the case for projects in regions where the cost of borrowing is high and electricity access is still limited.    

Innovation in public and private finance is needed while also providing governments with the tools to increase their energy independence. This session will explore the evolving role of development and project financing, which may include different models of support, off-taker agreements, and the use of innovative debt models.

Attendees will hear about risks (including bankable and finance related risks), how these can be mitigated, and hear directly from expert speakers about their experiences in developing hydropower projects.

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Speakers:

• Christoph Meindl, Energy Specialist​, ADB​ (Moderator)
• Wu Wenhao, Secretary General​, International Forum of China Society for Hydropower Engineering (IF-CSHE)​​
• Lars Meier, Head of Sales​, Voith Hydro​
• Lamtiurida Hutabarat, Principal Investment Officer, International Finance Corporation (IFC)‍
• ‍Frederik Peper​, President Director​, PT. Energi Banyu Kencana​
• Nicolas Sans, Lead Energy Specialist, World Bank