The primary objective of this study is to strengthen the World Bank’s understanding of the hydropower sector in the FBiH and to support the Bank’s due diligence regarding PSH projects in FBiH. The study aims to address existing knowledge gaps related to the condition and suitability of potential PSH sites. By doing so; it will enable the Bank to engage in strategic dialogue with clients; development partners; stakeholders; and other interested parties; as well as to conduct thorough due diligence on the detailed project preparation activities undertaken by clients.