Hydropower industry in Europe - statistics & facts
Hydropower is an essential component of the European energy landscape, providing a reliable and sustainable option for meeting the continent's energy needs. In 2023, hydropower plants were the fourth most significant source of electricity in Europe, accounting for approximately 819.85 terawatt-hours, corresponding to around 16.5 percent of the total power produced in the continent that year. In 2023, Europe reached a record installed hydropower capacity of 259 gigawatts. In addition to electricity generation, pumped energy storage plays a vital role in maintaining the stability of Europe’s energy grid.
However, this growth contrasts with a decline in Europe’s pumped storage capacity, which dropped to 54.17 gigawatts in 2023, from a high of 57.46 gigawatts in 2018. These trends suggest that while conventional hydropower continues to expand, there remains significant potential for pumped storage hydropower to facilitate renewable energy storage solutions and further support grid stability in Europe.
Nevertheless, with the long operational lifespans of hydropower plants and the continued push for renewable energy, the sector remains an important part of Europe’s energy portfolio. While challenges such as declining pumped storage capacity and economic and social pressures persist, the sector’s steady growth and ambitious new projects highlight its enduring significance.
Installed hydropower capacity & production
The growth in Europe’s hydropower capacity from 249 gigawatts in 2017 to 259 gigawatts in 2023 demonstrates the steady investment within this energy resource across the continent. Norway stands out with 117 operational facilities and the highest consumption of hydroelectricity in Europe, at 1.27 exajoules in 2023. Other key contributors include Sweden, Turkey, and France. In 2023, Europe produced a total of 637 terawatt hours of electricity from hydropower.However, this growth contrasts with a decline in Europe’s pumped storage capacity, which dropped to 54.17 gigawatts in 2023, from a high of 57.46 gigawatts in 2018. These trends suggest that while conventional hydropower continues to expand, there remains significant potential for pumped storage hydropower to facilitate renewable energy storage solutions and further support grid stability in Europe.
Europe’s upcoming hydro projects
The future of hydropower in Europe looks promising, with 4.2 gigawatts of new capacity under construction and 17 gigawatts in pre-construction as of 2024. Eastern European countries, particularly Bosnia and Herzegovina, are making notable contributions, with plans to deliver 13 percent of the region’s additional capacity by 2037. Economic trends, however, tell a more nuanced story. The industry’s turnover has decreased from a peak of 12.25 billion euros in 2018 to only 7.5 billion euros in 2022. Additionally, concerns about the environmental impacts of developing new hydropower projects, such as ecosystem disruption and habitat loss, highlight the need for careful planning and mitigation strategies in future developments.Nevertheless, with the long operational lifespans of hydropower plants and the continued push for renewable energy, the sector remains an important part of Europe’s energy portfolio. While challenges such as declining pumped storage capacity and economic and social pressures persist, the sector’s steady growth and ambitious new projects highlight its enduring significance.
