HSA launches HydroSelect: a game-changer for early-stage hydropower planning
The Hydropower Sustainability Alliance (HSA) has launched HydroSelect – a new decision-making tool designed to help developers, governments, and investors identify the most promising and sustainable hydropower project concepts at the earliest stages of development.
The new tool is expected to transform how early-stage decisions are made in the hydropower sector, by helping users evaluate multiple project options before significant resources are committed. HydroSelect allows developers to assess potential benefits and risks from an environmental, social and governance (ESG) perspective, ensuring that only the most viable and responsible projects are pursued.
“Too often, developers commit to a site without fully understanding the risks, only to face costly delays, community opposition, or environmental barriers later on,” said Alain Kilajian, Deputy Executive Director of the Hydropower Sustainability Alliance. “HydroSelect helps to avoid situations like this. It brings sustainability to the front of the decision-making process, enabling smarter and more responsible planning.”
HydroSelect is designed for use by a wide range of stakeholders, including public and private developers, utilities, government planners, financial institutions and civil society groups. It supports better alignment between energy needs and project design by encouraging the consideration of a broader suite of locations, rather than defaulting to legacy project sites.
The tool is structured around a simple, three-part process that guides users through assessing energy needs, reviewing potential project concepts, and ranking them according to sustainability-related criteria. This includes environmental and social risks, potential for public acceptance, and likelihood of securing permits and financing.
The launch follows a global public consultation on HydroSelect in 2024, which gathered feedback from members of the Hydropower Sustainability Council’s four stakeholder chambers, including representatives from government, industry, financial institutions and NGOs.
"An essential resource for guiding early-stage decision-making"
Kate Lazarus, Senior ESG Advisory Regional Lead, Asia Pacific, International Finance Corporation (IFC), said: “The HydroSelect tool is an essential resource for guiding early-stage decision-making in hydropower development supporting proactive project siting and contributes to basin-wide strategic and cumulative impact assessments.
“HydroSelect empowers stakeholders to identify potential environmental and social risks early on. This approach enables more informed planning, fosters responsible development, and strengthens long-term sustainable environmental and social strategies.
“IFC has been proud to collaborate with Hydropower Sustainability Alliance and contribute to its development and advocate for its use as part of our ESG Landscape Advisory in Asia Pacific.”
Nasib Man Singh Pradhan, Director, Nepal Electricity Authority, said: "HydroSelect strengthens Nepal Electricity Authority's (NEA’s) early-stage decision-making by providing structured insights into environmental and social risks.
“While only projects with extreme risk are screened out, tools like this help clarify uncertainties early on – guiding our Screening and Ranking Program toward smarter, more sustainable hydropower development aligned with both national priorities and community needs."
Marta Juhasz, Environmental and Social Officer, FMO (Dutch Entrepreneurial Development Bank), said: “Early decisions revolve around planting the right seed. In the case of hydropower development, this means integrating environmental and social considerations into day one of a project.
“HydroSelect offers a practical way to do this. FMO is proud to support the tool’s launch“.
Govind Ghimire, CEO, NMB Bank said: “Piloting HSA’s HydroSelect sharpened our early ESG screening and improved credit calls.
“It helps clients lay solid foundations for meeting global sustainability standards and could channel more finance toward responsible low-carbon hydropower. We’re keen to share our experience and support its wider adoption.”
The Hydropower Sustainability Alliance will now work with partners to support the rollout of HydroSelect in countries where hydropower development is expected to grow, to ensure that future developments are aligned with international best practice.