Latin America and the Caribbean (LAC) is progressing toward a high share of renewable power, chiefly driven by hydropower, with growing momentum in solar, wind, and green hydrogen. While the region has relatively low fossil fuel reliance compared to other developing economies, it remains at an early stage in scaling emerging technologies such as energy storage, CCUS, EVs, and SAFs.
Latin America and the Caribbean (LAC) remains at an early stage of the energy transition for emerging technologies such as energy storage, CCUS, and hydrogen. However, a substantial project pipeline is emerging for solar and wind, and the region is gaining momentum as a prospective green hydrogen export hub.
The region is on track to achieve a high share of renewable power generation, with renewables projected to supply over 75% of LAC’s electricity mix by 2025. While hydropower currently makes up the majority of this share, solar and wind capacity are expanding, helping to unlock the region’s full renewable potential.
Despite LAC’s strong performance in renewable power and relatively low reliance on fossil fuels compared to other developing economies, the adoption of other energy transition technologies, such as EVs and SAFs, remains limited.
Latin America and the Caribbean (LAC) remains at an early stage of the energy transition for emerging technologies such as energy storage, CCUS, and hydrogen. However, a substantial project pipeline is emerging for solar and wind, and the region is gaining momentum as a prospective green hydrogen export hub.
The region is on track to achieve a high share of renewable power generation, with renewables projected to supply over 75% of LAC’s electricity mix by 2025. While hydropower currently makes up the majority of this share, solar and wind capacity are expanding, helping to unlock the region’s full renewable potential.
Despite LAC’s strong performance in renewable power and relatively low reliance on fossil fuels compared to other developing economies, the adoption of other energy transition technologies, such as EVs and SAFs, remains limited.
Key Highlights
- The LAC region is on track to achieve a high share of renewable power generation, with renewables set to account for over 75% of LAC’s power mix in 2025. This percentage is set to increase to over 80% by 2035, with Brazil, Guatemala, and Chile leading the region for highest renewable generation share.
- The region is still heavily reliant on hydropower, but is planning on expanding its solar and wind infrastructure so as to harness the full potential of renewables.
- The region has also announced 36 new green hydrogen projects set to come online in 2030, as LAC looks to position itself as a key hydrogen exporter.
- Other, more nascent, energy transition technologies, such as energy storage, SAFs, and CCUS, are however lagging.
Scope
- Latin American climate targets, CO2 emissions, renewable energy potential, leaders in renewable energy, renewable energy policies, power consumption and demand, renewable power capacity and generation, decommissioning of thermal power, energy storage capacity, electric vehicle and hybrid vehicle sales, upcoming renewable refineries, biodiesel, ethanol, RD, SAFs, CCUS outlook, upcoming CCS projects, hydrogen policies, upcoming hydrogen capacity by stage, type and end use.
Reasons to Buy
- Assess key changes and trends that are taking place in the region, such as growing hydrogen infrastructure as LAC aims to position itself as a key global producer and exporter of green hydrogen.
- Assess how the region is taking strides to increase its solar and wind capacity, so as to reduce its reliance on hydropower, which is becoming a more variable source of renewable power due to droughts, which have been exacerbated by climate change.
- Identify who the key players are in a range of energy transition technologies, in terms of owners, as well as equipment manufacturers and EPC providers.
- Identify the development stage and legislative framework the following energy transition technologies are currently in: renewables, energy storage, EVs and hybrids, renewable fuels, CCUS, and hydrogen.
Table of Contents
- Executive Summary
- Sector Readiness and Leaders
- Power Outlook & Generation
- Renewable Energy Policies & Economics
- Power Capacity Share Outlook
- Power Generation Share Outlook
- Largest Economies’ Renewable Generation Share
- Thermal Power: Decommissioning & Emissions
- Major Players in Renewable Power
- Energy Storage
- Energy Storage Outlook and Leading Geographies
- Electric Vehicles
- Passenger BEV and Hybrid Vehicles Outlook
- Policies and Initiatives
- Renewable Fuels
- Largest Active and Upcoming Renewable Refineries
- Renewable Diesel and SAF
- FAME Biodiesel and Ethanol
- Renewable Fuels’ Blending Targets
- CCUS
- CCUS Projects and Outlook
- Hydrogen
- National Hydrogen Strategies
- Largest Active and Upcoming Hydrogen Plants
- Low-Carbon Hydrogen Outlook
- Intended Use Sectors for Low-Carbon Hydrogen
- Sector grid and leaders
- Key countries’ renewable energy and emission targets
- Top 10 solar PV EPC providers
- Top 10 solar equipment manufacturers
- Top 10 wind EPC providers
- Total Top 10 wind equipment manufacturers
- Largest 10 active and upcoming renewable refineries in LAC
- Biofuels’ blending targets
- CCUS active and upcoming projects
- Largest 10 active and upcoming hydrogen plants
- LAC power capacity share, 2018-2035
- LAC power capacity share, 2025
- LAC power capacity share, 2035
- LAC power generation share, 2018-2035
- LAC renewable generation by type, 2018-2035
- Largest LAC economies by renewable generation share
- LAC decommissioning and upcoming thermal capacity, 2025-2030
- LAC’s emissions from thermal power
- Top 10 solar PV owners by active and pipeline capacity
- Top 10 wind owners by active and pipeline capacity
- Top 5 countries in the LAC region for energy storage active and upcoming projects
- Argentina and Brazil BEV sales forecast and share of LV sales forecast, 2025-2037
- Argentina and Brazil hybrid sales forecast and share of LV sales forecast, 2025-2037
- RD production capacity in the LAC region, 2020-2030
- SAF production capacity in the LAC region, 2020-2030
- FAME biodiesel production capacity, 2020-2030
- Ethanol production capacity (MERCOSUR), 2020-2030
- Regional ranking for active and upcoming low-carbon hydrogen capacity, 2025YTD
- LAC low-carbon hydrogen production by development stage and project count, 2025-2030
- LAC target end-use sectors for low-carbon hydrogen
Companies Mentioned (Partial List)
A selection of companies mentioned in this report includes, but is not limited to:
- BYD Company Limited
- Great Wall Motors Company Limited (GWM)
- Volvo Group
- SGP BioEnergy Holdings LLC
- Galp Energia SGPS S.A.
- Enegix Energy Pty Ltd.
- RP Global Austria GmbH
- Inter-American Development Bank (IDB)
- Enel SpA
- The AES Corporation
- Serena Energy S.A.
- Verano Energy SpA
- Solarig Energy SL
- Atlas Renewable Energy
- RIC Resources
- Canadian Solar Inc.
- Engie S.A.
- GreenYellow
- Petróleo Brasileiro S.A. (Petrobras)
- TotalEnergies SE
- Shell Energy do Brasil Ltda
- Shell plc
- Ocean Winds SL
- BlueFloat Energy LLC
- SPIC Bravo Ventos
- Equinor ASA
- Iberdrola S.A.
- Power Construction Corporation of China
- Andrade Gutierrez S.A.
- China National Machinery Industry Corporation
- Elecnor S.A.
- Prodiel Proyectos de Instalaciones Eléctricas S.L.
- China Energy Engineering Group Co. Ltd.
- TSK Group
- Scatec ASA
- Shapoorji Pallonji and Company Private Limited
- Ellaktor S.A.
- Jinko Solar Holding Co. Ltd.
- JA Solar Technology Co. Ltd.
- Trina Solar Co. Ltd.
- LONGi Green Energy Technology Co. Ltd.
- First Solar Inc.
- Chint Group Co. Ltd.
- SunPower Corporation
- Jinko Power Technology Co. Ltd.
- Siemens Energy AG
- Vestas Wind Systems A/S
- General Electric Company
- SDV Energía e Infraestructura S.L.
- CIR Renewables SGPS S.A.
- Nordex SE
- IMPSA S.A.
- Cox Energy S.A.B. de C.V.
- Enercon GmbH
- Goldwind Science & Technology Co. Ltd.
- Ming Yang Smart Energy Group Ltd.
- WEG S.A.
- Suzlon Energy Limited
- Government of Panama
- Panama Oil Terminals S.A.
- Avalon BioEnergy Uruguay S.A.
- ECB Group
- Mubadala Investment Company
- Ocyan S.A.
- Ultra Group of Companies Inc.
- HIF Global
- Steamboat Fuels LLC
- Porto de Suape
- Qair Group
- RPC Resource Project Management Services Lda
- Solatio Energia
- Parex Resources Inc.
- TCI Gecomp SL
- Port of Pecem
- China Petrochemical Corporation (Sinopec)
- Pre-Sal Petroleo S.A.
- ArcelorMittal S.A.
- Mitsui & Co. Ltd.
- Linde Inc.
