Small hydropower financing in China: External environment analyses, financing modes and problems with solutions

The development of small hydropower in China plays an important role in many aspects reflecting national and local public policies such as raising the level of rural electrification, driving rural economic and social development, improving farmers׳ production and living conditions, promoting energy conservation and reducing greenhouse emissions. This paper introduced the current development of small hydropower; analyzed the external environment of small hydropower investment; summarized small hydropower financing models in China; dissects the problems existing in the small hydropower investment and financing; finally puts forward some suggestions to improve the current situation of the small hydropower investment and financing policies and measures.