As mentioned above, Norway is highly dependent upon hydropower for its electricity needs. In 2004, the country generated 107.7 Bkwh of hydropower, or 99 percent of total electricity generation. Norways hydroelectric infrastructure consists of many small plants. The largest, Kvilldal, has an installed capacity of 1,240 megawatts (MW), or 4 percent of national installed capacity. Norways reliance on hydropower does leave the country vulnerable to climatic fluctuations, which requires imports to meet seasonal shortages, but also opens the possibility of exports during wetter conditions. Norway still has the potential to increase hydro-generated power, through refurbishing existing facilities, as Well as constructing new hydropower plants. However, most of Norways waterways have been developed and any new facilities would likely consist of small developments. In addition, many waterways are protected from further development as a result of environmental concerns. As an alternative to hydroelectricity, the Norwegian government has tried to encourage the diversification of the countrys power sector by granting permits for the construction of Natural Gas-fired power plants. Naturkraft, a joint venture of Norsk Hydro and Statkraft, plans to complete construction by the end of 2007 on a 400-MW gas-fired plant near the gas terminal at Karsto. In 2006, Norways Water Resources and Energy Directore approved plans by Statoil to build an 860-MW gas-fired power plant in Tjelbergodden. Despite these developments, the future of gas-fired generation capacity in Norway is in doubt, due to government regulations concerning Carbon dioxide emissions and resistance from environmentalists.