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Financial Opportunities

The Water Power Program focuses on technological development and deployment of innovative technologies capable of generating electricity from water. The program funds research and development activities through competitive solicitations.

In 2014, Congress appropriated funds for Hydroelectric Production Incentives under Section 242 of the Energy Policy Act of 2005. Qualified hydroelectric facilities– existing powered or non-powered dams and conduits that added a new turbine or other hydroelectric generating device– may receive up to 1.8 cents per kilowatt hour, indexed for inflation (approximately 2.3 cents per kilowatt hour today) with maximum payments of $750,000 per year for hydroelectric energy generated by the facility during the incentive period.

The Energy Department accepted feedback on the initial draft guidance in July, 2014 and released revised draft guidance for public comment from Oct. 20-Nov. 4, 2014 for Section 242 of the Energy Policy Act of 2005 the "Hydroelectric Production Incentive Program." The Energy Department anticipates that it will accept applications in late 2014 for electricity production in calendar year 2013.

Small Business Innovation Research and Small Business Technology Transfer Program Topics, FY 2015, Phase I (2 Water Power Program Topics) 11/24/2014 02/03/2015


For information on federal grants and tax incentives for the purchase and operation of water energy systems, please see the Related Opportunities page.

To explore previous funding opportunities, please visit the Past Opportunities page.