Power is essential to our daily lives. Under the continuous increasing of power consumption and environmental consciousness, the method of hydroelectric power plant with low pollution method is still the essential part of power generation for human beings. Common hydraulic power plants belong to underground construction, they are more difficult for escaping when a fire occurs; therefore, probable improving methods were investigated via fire simulation. This study employed the CFD (Computational Fluid Dynamics) based FDS(Fire Dynamics Simulator)software to conduct a fire simulation of the power generation unit at the Dajia Creek Hydraulic Power Plant. Owing to lack of official design information and detailed equipment information, this study utilized reference literature to draw a 1:1 full-size model. By using the 3D dynamic simulation results of CFD to show the fire hazard of CO concentration, oxygen deficiency and temperature variation, and the smoke dispersing condition, one can investigate the influence of smoke produced by fire and its impact on personnel escape. Various recommendations of improvement can be proposed via this method and to employ in practical fire preventing application. The study results show that install extendable fire door or fire damper is a more economical way and has a more significant effect as compared with the other methods of improvement. It is suggested to set the extendable fire door or fire damper at the higher fire risk area in order to effectively prevent the expansion of the fire scope and to reduce the fire caused damage to persons and properties.