The International Hydropower Association (IHA) reported strong global momentum in hydropower development in its 2025 World Hydropower Outlook, driven by a significant increase in pumped storage hydro (PSH) capacity.
Hydropower remains the largest source of renewable electricity worldwide, accounting for 14.3% of global power generation and providing grid flexibility in more than 150 countries, the report said.
In 2024, the world added 24.6 gigawatts (GW) of new hydropower capacity, while generation rose 10% to 4,578 terawatt-hours (TWh), recovering from drought-related declines in the previous year. The increase included 8.4 GW of PSH capacity, bringing global pumped storage capacity to 189 GW, a 5% rise over 2023.
Annual additions of PSH have nearly doubled over the past two years, with a five-year average now at 6 GW per year, compared to 2-4 GW in the prior two decades.
The global hydropower development pipeline reached over 1,075 GW by the end of 2024, comprising roughly 600 GW of PSH and 475 GW of conventional projects, with most under construction expected to come online by 2030.
Despite these positive trends, the report highlighted a potential shortfall of 60-70 GW in hydropower capacity by 2030 compared to targets set by the International Renewable Energy Agency (IRENA) under its “tripling renewables” scenario. The IHA urged accelerated project approvals and increased financing to meet demand.
Malcolm Turnbull, IHA president, said: “Encouragingly, this year’s World Hydropower Outlook shows that global new capacity is accelerating after several years of stagnation. With increased solar and wind power on the grid, hydropower plays an increasingly vital role in the global energy transition. But markets alone won’t deliver what is needed. Continued momentum will require bold policy action, including reforms to reward hydropower’s multiple benefits, and faster permitting. The only resource we lack is time.”
China led global growth in 2024, adding 14.4 GW of new hydropower capacity, over half of which was pumped storage, positioning the country to surpass its 120 GW PSH target by 2030. Tanzania, Ethiopia, Bhutan, and Pakistan also ranked among the top countries for new installations.
Europe experienced a landmark year for renewables in 2024, with hydropower, wind, and solar frequently dominating the EU power mix. Exceptional rainfall boosted hydropower output to a decade-high 680 TWh, underscoring its key role alongside other renewables.
The global hydropower workforce exceeded 2.3 million in 2024, and total hydropower generation equated to roughly ten times France’s total electricity consumption, the report noted.
