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3 Approach and results 3.1 Hydropower 3.1.1 Technical potential Hydropower is by far the largest renewable energy source currently used. Its current (2002) use is estimated at 2640 TWh/y (WEC, 2004). It is generated by mechanical conversion of the potential energy of water in high elevations. The availability of hydropower depends therefore on local and geographical factors as the availability of water and the height difference for runoff water. Vari- ous studies have indicated the technical potential of hydropower at a regional level. Most of the sources refer to the World Atlas and Industry Guide, (1998), e.g. UNDP/WEC, 2000; WEC, 2001. The total global technical potential is estimated at around 50 EJ/y, (UNDP/WEC, 2000; Bartle, 2002; Johansson, 2004; Bjornsson et al, 1998). Lako et al., 2003 and the recent IPCC Fourth Assessment report, (IPCC, 2007) present much lower numbers at around 25 EJ/y. The re- gional distribution is slightly different but in the same order of magnitude among all studies. The largest difference between the regional distribution of e.g. WEA and Lako et al., 2003 is in OECD Europe where the latter indicates a much lower technical potential, around 1800TWh/y in WEA compared to around 600 TWh/y by the other two sources. To be consistent with the eco- nomic data, we have used data from World Energy Assessment on the technical potential at a re- gional scale. The World Energy Assessment considered this estimate still conservative as the po- tential in many developing countries are weakly assessed. However, according to other sources, it might also be more limited. This indicates the uncertainty in the results. 3.1.2 Electricity Costs The World Energy Assessment also presents the economically accessible potential of hydro- power. This is done by looking in more detail to the local situation and the availability and acces- sibility of hydropower. However, the definition of economic accessible is not given, nor is the re- lated costs. Various sources indicate that the costs for hydropower range between 2 – 8 ¢/kWh for the present situation and will slightly increase over time (NEA/IEA/OECD, 2005, IPCC, 2007). In addition, a detailed cost supply curve for the EU is available (Ragwitz et al., 2003) indicating that the costs in the EU range from 3.6 – 12.4 €c/kWh. For this assessment it was therefore assumed that the currently produced hydropower is produced at the lowest costs, 5 ¢/kWh, that the economic potential is available ate at cost under 10 ¢/kWh and that the total technical potential is available up to costs of 15 ¢/kWh. 10

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