Hydropower benefit-sharing and resettlement: A conceptual review

Globally, hydropower developers are increasingly expected to share benefits with people living in project-affected areas. Nevertheless, benefit-sharing has not found sufficiently widespread application, and the concept is yet widely understood. The present paper aims make following contributions: First, we clarify commonalities differences between benefit-sharing, compensation related concepts, which refer processes transfer resources people. We suggest that can be understood as a ‘sustainability intervention’, i.e. focus on making an additional positive long-term development impact, beyond replacing or marginally improving lost assets. Further, propose defined by of services 1) substantively different from those serving for assets; 2) determined via participatory 3) delivered later stages timeline dam planning operation. Second, explore some governance challenges pathway towards ‘good’ highlighting: (i) effective participation requires capacity building over time, involving gradual control spending decisions; (ii) appropriate institutional set-up may dependent existing governments dam-hosting location. Legally mandated mechanisms raise funds more context high state capacity, whereas developer-led will required where low. In practice, mix multiple arrangements possible desirable.