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RAPID / Hydropower / Jurisdictions

Hydropower Regulations and Permitting

Hydropower Regulations and Permitting

Choose a state from the map below to explore federal and state regulations and permitting processes that apply to hydropower projects. Or compare regulatory and permitting requirements in different states by selecting a topic and up to 4 jurisdictions at the bottom of the page. Users can also browse an overview of federal regulations that apply to all states.

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Compare Hydropower Regulations and Permitting Across States

Compare aspects of the permitting process among states.

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Hydropower Facility, Licensing & Certification Comparison

The hydropower facility's location, size, type of customer the facility sells energy to, and whether the facility sells energy in "interstate commerce" will determine what state and federal permits the facility requires. A hydropower project may require state public utility commission approval. In general, if a facility sells its power to the public, the facility is considered a state "public utility" for the purposes of regulation by the state public utility regulatory body. This typically requires the regulatory body to issue a certificate for its construction, operation, or sell of electricity.

Some states may also require a certification for renewable portfolio standard (RPS) eligibility. These certified facilities must comply with state specific procurement and accounting requirements, and may count their generation towards the facility’s RPS goal or mandate. The state then may use the electric generation from these certified facilities to count towards the state’s RPS mandate or goal. Most states utilize renewable energy certificate (REC) tracking systems to account for renewable energy generation used towards the state’s RPS. Most states’ recognize hydropower, in some form, as a RPS eligible technology.

Small-low-impact projects may qualify for state run enhanced permitting assistance programs. Each state has its own unique small-low-impact hydropower program however most states have a pre-screening process to determine if the project meets the programs low-impact criteria, a coordinated resource agency review practice, and a single point of contract for applicants (developers). Most states also institute shorter comment periods for certain permits, conduct multi-agency site visits, and may submit a letter to FERC indicating that state agency requirements are satisfied or submit a FERC exemption application on the developer’s behalf, expediting the permitting timeline. Each state defines small hydropower differently, but all states require projects to meet specific cultural and natural resource criteria including minimum flows, water quality, fish passage, watershed protection, threatened and endangered species, recreation, and cultural resource protection. FERC Small/Low Impact Hydropower Program Website; Oregon Department of Energy Small, Low-Impact Hydropower Website; Colorado Energy Office: Colorado Small Hydropower Handbook; Small Hydropower Assistance Program.

More Information

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Public Utility Certificate

Certificate Agency

Certificate Threshold

Regulated Entity Definition

Certificate Exemptions

Small Hydropower Program

Small Hydropower Program Agency

Small Hydropower Definition

Renewable Portfolio Standard (RPS)

RPS Eligible Hydropower

RPS Regulatory Agency / Tracking System

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Hydropower Siting & Interconnection Comparison

The siting of a hydroelectric facility requires the developer to consider issues related to associated transmission lines and interconnection of the facility to the electric grid.

Pursuant to the Federal Power Act, the Federal Energy Regulatory Commission (FERC) has jurisdiction over interconnection of wholesale generators that need to connect their generation facilities to a transmission system. FERC has authority over “public utilities,” which under 16 USC 824a(e) includes any person who owns or operates facilities subject to jurisdiction of FERC.

Depending on the requirements of the particular state, the developer may need to obtain a Certificate of Public Good (CPG), a Certificate of Public Convenience and Necessity (CPCN), or other approval from a state utility regulatory authority such as a public utilities commission for transmission line extension projects outside of the FERC license boundary. In some cases, the CPCN process for interconnection may be combined with the CPCN process for the generation facility. Whether the transmission facility will require a CPCN differs by state, possible requirements include:

• Whether the transmission facility is within the a specific kilovolt (kV) threshold requiring regulation; or
• Whether the developer is regulated by the state utility regulatory authority (e.g., the developer falls under the definition of a “public utility” within the relevant state statute).

More Information

Topic to Compare

Public Utility Certificate

Certificate Agency

Certificate Threshold

Regulated Entity Definition

Interconnection Request

Interconnection Request Agency

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Hydropower Environmental Review Comparison

Hydropower projects maybe subject to federal and state environmental review. Some states have developed state environmental review processes similar to the federal National Environmental Policy Act (NEPA).

A developer will be required to go through the NEPA process if the project involves a "major federal action." The level and scope of the NEPA review will vary depending on the nature of the project and to what degree the federal government will be involved. Some actions and projects will receive a categorical exclusion while others may require a full Environmental Impact Statement (EIS). NEPA review is handled by a "lead agency." A “lead agency" is the federal agency responsible for writing the main NEPA document(s) and coordinating with any other federal, state, or tribal agencies.

State environmental review processes vary between states, but are often similar to NEPA and designate a lead agency to conduct and coordinate the review.

Topic to Compare

Environmental Review

Environmental Review Agency

Applicable MOU with FERC

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Hydropower Water Quality Comparison

The Clean Water Act (CWA) (33 U.S.C. § 1251 et seq.) requires a Section 404 permit to discharge dredge or fill material into navigable waters of the United States and Section 401 compliance with state water quality standards through a Water Quality Certification process. Both a CWA Section 404 Dredge and Fill Discharge Permit and a Federal Energy Regulatory Commission (FERC) license require the developer to obtain a CWA 401 Water Quality Certification.

States have the primary responsibility in issuing 401 Water Quality Certifications. Under Section 401(a)(1) of the CWA (33 U.S.C. § 1341), states have the authority to review and approve, condition, waive, or deny a 401 WQC. See also 10 V.S.A. §1004. Some states also require a 401 WQC for FERC exemptions.

More Information

Topic to Compare

401 Water Quality Certification

401 Certification Agency

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Hydropower Water Access & Rights Comparison

Water access and water rights are predominantly governed by state law. Based on the nature of the energy resource, hydropower projects require access to water, which in many instances will require a determination by the relevant state authority as to whether a water right is necessary. In addition, a developer may require water for, among other uses, dust suppression for roads and construction activities. Depending on the situation and demands of a project, a developer may seek water from a lease-holder, a municipality, or a permanent water right.

In the western United States, surface water rights are most often governed by a system of prior-appropriation, which allocates rights by priority based on the date of application to a beneficial use; first in time, first in right. While in the eastern United States, surface water rights are governed by a system of riparian rights, which allocates rights based on property ownership adjacent to a body of water. In addition, some states have a hybrid system, such as California, which integrates both the riparian and prior-appropriation doctrines.

More Information

Topic to Compare

Water Right Classification

Water Right Agency

Is a Water Right Required for the Project?

Defined Terms

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