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1. INTRODUCTION The upsurge in interest in alternative energy sources following the oil lIshocksll of the early and late 1970's focused on hydroelectric power as an historically proved, but underexploited, source of renewable energy. The National scope of enthusiasm for hydroelectric projects, as well as the fact that rivers. and lakes often cross State borders, necessitated both Federal and State participation in the planning and operation of hydroelec- tric projects. The purpose of this manual is to bring together pertinent information for assessing the potential environmental impacts of small- scale hydroelectric (SSH) projects. 1.1 OBJECTIVE AND SCOPE OF THE MANUAL This manual is designed to meet the special needs of U.S. Fish and Wildlife Service (FWS) and Environmental Protection Agency (EPA) field level personnel, who have a legal responsibility to review the numerous SSH projects bei ng developed or proposed for development throughout the coun- try. This manual and its companion Mitigation Handbook should prove useful to personnel in other Federal agencies and in State fish and game agencies who have similar responsibilities towards fish and wildlife resources potentially affected by SSH technology; they should also be useful to the private sector. FWS and EPA biologists and other assessment personnel face simi lar challenges: (1) the time available for the review of projects is limited; (2) information that might be useful in an assessment is widely scattered or often cannot be obtained within the allotted review period; (3) biologists often lack background or experience in pertinent hydroelec- tric engineering concepts and terminology; (4) SSH projects vary tremendously in design concept, physical layout, and operational mode; and (5) regional differences in environmental factors influence the engineering approach chosen and its effect on fish and wildlife and their habitats. The complex and constantly changing Federal, State, and local regula- tions and ordinances applicable to SSH development are not discussed. Instead, the report emphasizes the technical aspects of SSH projects and their impacts on the natural environment. This manual explains, in a general way, how the various pieces of equipment used in SSH projects work, how they are assembled into power plants, and how their characteris- tics relate to environmental impacts. In addition to pointing out the potential environmental impacts resulting from SSH equipment and their 1