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Europe |


Norway’s hydro faces green test


As one of the world’s largest hydropower countries, Norway is having to re-assess its green credentials


Above: Hydroelectric power plant on the Svartevatnet Lake in Rogaland, Norway


AS ONE OF THE world’s largest producers of hydropower, with 90% of the country’s electricity generated by it, Norwegian hydropower plays a key role. And although the sector may view itself as being green, a study by the Norwegian research centre for renewable energy HydroCen, shows significant variation in how the industry handles challenges related to environmental measures. Some companies are proactive and invest in environmental measures regardless of regulatory requirements, while the majority take a more wait-and-see approach The survey conducted among 48 of the largest


energy companies reveals that the industry already perceives its sustainability level as being high, with ambitions for further improvements by 2030. However there are major variations in what companies report as being environmentally sustainable which, the report acknowledges, could be due to unclear regulations. Indeed many hydropower companies are uncertain on how to adapt to new regulations for sustainable financing and environmental adaptation, including EU Taxonomy and Norway’s implementation of the EU Water Framework Directive.


16 | October 2025 | www.waterpowermagazine.com


The European Free Trade Association’s Surveillance Authority has even expressed dissatisfaction with Norway’s implementation of environmental measures in the hydropower sector, and is considering taking the case to the court. Part of this criticism centres upon the unequal treatment of older and newer hydropower plants, as well as the slow implementation of licensing revisions. The HydroCen report recommends five measures to


ensure Norwegian hydropower maintains its position as a sustainable energy source: 1. Strengthening Regulatory Frameworks: Providing clear and consistent guidelines to help companies meet sustainability standards.


2. Economic Incentives: Offering financial support and incentives for companies investing in sustainable technologies and practices.


3. Enhancing Social Acceptance in Future Projects: Hydropower companies should invest in early and continuous involvement of stakeholders. Open and transparent communication is vital in order to develop solutions that provide both local benefits and environmental considerations.


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