Hydro generators, also known as hydroelectric generators, are used to convert kinetic energy of flowing water into electrical energy. They are primarily used in hydroelectric power plants for power production. Hydro generators have rotor coils which rotate within a stationary set of magnets or coils due to the flow of water, consequently generating electricity through electromagnetic induction. They offer advantages such as low maintenance requirements, flexible load handling, low operating costs and negligible emission of greenhouse gases. With growing concerns over climate change, many countries are focusing on increasing the share of renewable energy in their overall energy mix which has resulted in the rising demand for hydro generators.
The hydro generators market is estimated to be valued at USD 156.22 billion in 2024 and is expected to reach USD 247.55 billion by 2031. It is projected to grow at a compound annual growth rate (CAGR) of 6.8% from 2024 to 2031.
Key Takeaways
Key players operating in the Hydro Generators market are General Electric Company, Siemens AG, Andritz AG, Voith Group, Toshiba Corporation. These players are focusing on new product launches and partnerships to strengthen their global presence.
The increasing deployment of small hydro power plants globally due to their flexibility and low installation costs presents significant Hydro Generators Market Growth opportunities. Government incentives and initiatives towards hydrokinetic resource development are also fueling market opportunities.
Leading players are expanding their hydro generator offerings globally with a focus on developing countries. For instance, Voith inaugurated a new manufacturing plant for hydropower components in India in 2022 to cater to the rising demand.
Market Drivers and Restraints
Growing focus on renewable sources of energy due to environmental concerns is driving the demand for hydro generators. Hydropower offers reliable and sustainable energy to meet rising energy demands. Favorable government policies and investments in hydrokinetic energy projects are boosting market growth. Renewable purchase obligations and feed-in-tariffs encourage the adoption of hydro power generation. High initial investments associated with hydro power plant setup pose challenges, especially in developing nations. Environmental issues related to flooding of land for dam construction can hinder market potential to a certain extent in some regions.
Segment Analysis
The hydro generators market can be segmented based on capacity into small (below 15MW), medium (15–30 MW) and large hydro power (above 30MW). Large hydro power segment dominated the market in 2025 as most of the hydropower generation around the world takes place through large hydro power projects. Countries have been increasingly investing in projects having 100MW or higher individual plant capacity to optimize power generation.
Global Analysis
Regionally, Asia Pacific held the largest share of the global hydro generators market in 2025 and is expected to continue its dominance during the forecast period. This is attributed to increasing investment in hydropower projects to meet the growing demand for electricity. Countries like China, India and Japan have been aggressively focusing on large scale hydropower generation to reduce dependence on fossil fuels. Europe followed Asia Pacific in terms of market share in 2025 due to rapid expansion of renewable power capacity to achieve decarbonization targets. Supportive regulatory policies are encouraging the adoption of hydro power in countries like Norway, Sweden, Switzerland.
Get This Report in Japanese Language: 水力発電機市場
Get This Report in Korean Language: 수력발전기시장
About Author:
Ravina Pandya, Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc.
