Hydro

Investing in Hydro:

Canada is one of the world’s leading nations in hydroelectric power. Canada has both the environmental conditions necessary and the experience to provide successful new hydroelectric plants. Several new hydroelectric power projects are being planned or already in construction in Canada in the next few years. Hydro Quebec has announced plans to complete a 768 MW power plant near Eastman Quebec and a 120 MW plant at Sarcelle Quebec by 2011. Also in the plans are a 1,550 MW plant in La Romaine Quebec, a 2000 MW project at Lower Churchill River/Gull Island in Labrador and Newfoundland, and a 1,500 MW project on the Lower Nelson River in Manitoba.

State of the Industry:

Hydroelectric power is by far the largest form of renewable energy in the world. In 2005 hydroelectric accounted for approximately 63% of renewable energy worldwide. In 2006 the US generated 289,246,416,000 kW hours of hydroelectric energy 99% of which was for electric power. The largest net producer and user of hydroelectric power in the world in 2005 was China with 396.99 billion kWh, followed closely by Canada with 359.88 billion kWh then Brazil with 334.08 billion kWh and the US with 270.32 billion kWh. Total world net hydroelectric increased from 2,645.36 billion kWh in 2000 to 2,900.03 in 2005.

Hydro Leaders:

In Canada hydroelectricity provided 60% of the nation’s electricity in 2004.

Hydro Electric Energy in Canada

Similarly in Brazil, hydro makes up a substantial portion of fuel type used for electricity generation.

Industry Growth:

The US Energy Information Administration predicts that world hydroelectric power generation will increase at an average annual rate of 1.7% from 2004 to 2030.

Advantages and Disadvantages:

• Hydro is a cheap form of power.
• Relative to burning fossil fuels, there is very little air pollution from a hydroelectric power plant.
• Hydro power can be stored.
• It is efficiently combined with wind power because hydro can be stored for use when the wind isn’t blowing.
• Disadvantages include that most appropriate hydro sites have already been developed.
• There are environmental impacts from damming rivers that affect plant and wildlife habitat. Fish are particularly impacted. Many hydroelectric dams now provide fish ladders so that spawning fish can navigate upstream without being obstructed by the dam.

How it works:

Hydroelectricity is suited to geographies where there are both large rivers and drops in elevation. Run-of-river hydroelectric projects include building a dam to contain and store large amounts of water. Gravity forces water down a channel at the bottom of the dam where it then turns a turbine. The mechanical energy from the moving turbine is converted into electric energy which is carried via electric power lines.