Maintaining and Enhancing Hydroelectricity Incentives - American Cities Climate Challenge
Need help finding federal funding sources for your projects? Try our new and improved Funding Tool

Maintaining and Enhancing Hydroelectricity Incentives

Federal Agency


Office of Energy Efficiency & Renewable Energy (EERE)


To incentivize owners and operators of hydroelectric facilities for capital improvements related to maintaining and enhancing hydroelectricity generation by improving grid resiliency, improving dam safety, and environmental improvements.

Applicant and/or Project Eligibility Requirements

An eligible hydroelectric facility must be (1) a project licensed by the Federal Energy Regulatory Commission; or constructed, operated, or maintained pursuant to a permit or valid existing right-of-way granted prior to June 10, 1920, or a license granted pursuant to the Federal Power Act; (2) placed into service before enactment of [the IIJA]; and (3) compliant with all applicable Federal, Tribal, and State requirements (or will be compliant as a result of proposed capital improvements).

Decarbonization Considerations

Hydroelectric power generation is ostensibly renewable and can, in certain areas, be a substitute for carbon-based electricity. Optimized generation facilities can generate more power with less waste.

Equity Considerations

Hydroelectric facilities should be supported with regard to up- and downstream communities, as well as natural ecosystems and neighborhoods that might be (dis)affected by generation activities. Planning and engagement should be conducted to clearly communicate and/or mitigate potential negative impacts that would disproportionally affect underserved communities.

Helpful Tips

If interested, check the draft application guidance here to prepare:

Other Notes

$553,600,000 in funding available until expended.

Deadline (Announced or Anticipated)

Expected Spring 2023

Funding Available


Max Award Amount


Expected Allocations


Average Award (Estimated)


Matching Funds

70% cost share required

Go to Program Website