Core Insights - China continues to invest heavily in hydropower, maintaining a leading position in the global renewable energy sector, with 14.4 GW of the 24.6 GW of new hydropower capacity added globally last year [1][3] - Over half of the new hydropower capacity in China last year came from pumped storage projects, which are essential for grid stability and flexibility [3] - China has set a carbon neutrality goal for 2060 and has already surpassed its initial 2030 targets for solar and wind capacity, achieving over 1.2 billion watts by the end of 2024 [3] Hydropower Capacity and Technology - China's total hydropower capacity is nearing 436 GW, accounting for over three-quarters of Asia's total hydropower capacity [3] - Pumped storage hydropower plants are recognized for their peak shaving, frequency regulation, pressure control, and black start capabilities, making them the most mature and economically viable green flexible power sources [3] Global Context and Challenges - Other countries, including Australia, Vietnam, Thailand, Laos, and the Philippines, are also advancing new hydropower projects, but face significant challenges outside of China due to high upfront costs and long investment recovery periods [5] - The lack of clear capacity service assessment mechanisms in many markets complicates investment for developers, while some regions face technical and climatic limitations that hinder energy development [5]