Hydropower - Canada

The Hydropower Market in Canada is experiencing negligible growth, influenced by factors such as aging infrastructure, regulatory challenges, and competition from other renewable sources like wind and solar, which are attracting more investment and innovation.

Customer preferences: As environmental awareness grows, Canadian consumers are increasingly prioritizing sustainable energy sources, driving interest in hydropower's potential benefits despite its current stagnation. Younger demographics, particularly millennials and Gen Z, favor clean energy solutions, seeking transparency and community involvement in energy projects. Additionally, urbanization and lifestyle changes are prompting interest in distributed energy systems, where hydropower can complement local initiatives, fostering a cultural shift towards renewable energy advocacy and participation.

Trends in the market: In Canada, the hydropower market is experiencing a resurgence of interest as consumers increasingly demand sustainable energy solutions. The push for renewable energy is particularly pronounced among younger generations, who are advocating for transparency and local engagement in energy initiatives. As urbanization continues, the integration of hydropower into distributed energy systems is gaining traction, allowing communities to harness local resources. This cultural shift towards renewable energy not only enhances public support but also presents opportunities for industry stakeholders to innovate and collaborate, ensuring a more sustainable energy future.

Local special circumstances: In Canada, the hydropower market is shaped by its vast and diverse geography, featuring countless rivers and lakes ideal for energy generation. Cultural values emphasizing environmental stewardship and community engagement drive public support for hydropower projects. Additionally, strong regulatory frameworks, including federal and provincial policies promoting renewable energy, create a favorable investment climate. This unique combination of geographical resources, cultural priorities, and supportive regulations fosters innovation and collaboration, positioning Canada as a leader in sustainable hydropower development.

Underlying macroeconomic factors: The hydropower market in Canada is significantly influenced by macroeconomic factors, including global energy trends, national economic stability, and government fiscal policies. As the world shifts towards sustainable energy solutions, Canada benefits from increased demand for renewable energy, positioning hydropower as a key player. Nationally, a robust economy bolstered by supportive fiscal measures enhances investments in infrastructure and technology for hydropower projects. Furthermore, international commitments to carbon reduction and environmental sustainability spur innovation and collaboration within the sector, ultimately driving growth and reinforcing Canada’s leadership in renewable energy.

Data coverage:

The data encompasses B2B enterprises. Figures are based on the value of electricity production in the energy market.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as annual reports of the market-leading companies and industry associations, third-party studies and reports, national statistical offices, international institutions, and the experience of our analysts.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting electricity generation due to the non-linear growth of this market, especially because of the direct impact of climate change on the market.

Additional notes:

The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year.