Argentina Renewable Energy - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)

The argentina renewable energy market size was valued at 18.99 gigawatt in 2025 and estimated to grow from 20.48 gigawatt in 2026 to reach 29.91 gigawatt by 2031, at a CAGR of 7.86% during the forecast period (2026-2031). This report is Segmented by Technology (Solar Energy, Wind Energy, Hydropower, Bioenergy, Geothermal, and Ocean Energy) and End-User (Utilities, Commercial and Industrial, and Residential). The Market Sizes and Forecasts are Provided in Terms of Installed Capacity (GW).

Argentina Renewable Energy Market Trends and Insights

Renewable-energy auction rounds (RenovAr & MATER)

Argentina’s RenovAr and MATER programs have evolved into sophisticated capacity allocation tools that deliver bankable PPAs for private investors. A new MATER call assigned 209 MW of dispatch priority along corridors with superior resources, ensuring revenue visibility for Patagonia and the Litoral projects. The third RenovAr round added 400 MW for small-scale plants, broadening market access for distributed generation. Since 2016, auction rounds mobilized more than USD 11 billion, adding 8.7 GW and positioning the Argentine renewable energy market as the region’s benchmark for transparent procurement. World Bank guarantees underpinning these PPAs reduce counterparty risk in a country still rated high-yield. Continuity of the schemes under the Milei administration signals long-term policy support and sustains deal flow into the next decade.

Declining LCOE for solar PV & on-shore wind

Global cost declines place solar PV at USD 0.044/kWh and wind at USD 0.033/kWh in 2024, figures already below Argentina’s thermal generation costs. Patagonian wind farms achieve capacity factors above 40%, and north-western solar plants exceed 25%, magnifying the cost advantage. The 312 MW Cauchari complex, completed in July 2024, proved that large solar assets in remote deserts can achieve grid parity. Residential and commercial solar reached break-even in high-tariff provinces, stimulating rooftop uptake and feeding the emerging distributed segment. Falling hardware prices, therefore, underpin the 8.0% CAGR that solar is expected to post within the Argentine renewable energy market.

Macroeconomic instability & FX-risk deterring FDI

Although projected to drop to 18-23% by end-2025, inflation remains the highest in the G20 and complicates cost pass-through in long-term PPAs. Capital controls limit the conversion of peso revenues into USD, clouding the repatriation path for foreign sponsors. A 50% peso devaluation in late 2023 strained projects with peso-cost and USD revenue mismatches, prompting lenders to demand higher debt-service reserves. Fiscal consolidation reduces the state's ability to co-finance transmission, pushing more burden onto private balance sheets. These factors elevate hurdle rates and slow commitment pacing in Argentina's renewable energy market.

Other drivers and restraints analyzed in the detailed report include:

• International climate-finance inflows (green, sustainability-linked bonds)
• National grid expansion (Plan Federal I & II)
• Transmission bottlenecks in high-resource regions (Patagonia, NOA)

Segment Analysis

Hydropower held 62.74% of the Argentine renewable energy market share in 2025, backed by legacy dams such as Yacyretá (3.2 GW) and Salto Grande (1.9 GW). Expansion opportunities are confined to run-of-river schemes, while pumped storage remains capital-intensive at more than USD 2,000 per kW. Wind contributed 18.60% of 2025 capacity, capturing Patagonia’s 45% capacity factors, yet offshore remains dormant owing to challenging seabed conditions. Solar delivered 12.80% of installations, propelled by irradiance above 2,200 kWh/m² in NOA provinces and supported by Canadian Solar and Trina Solar modules that meet a 30% local-value rule. Geothermal, rising at a 22.7% CAGR, is set to commission the 30 MW Copahue plant by 2026 following a USD 120 million IDB facility.

Complete Report Scope:

• By Technology
  • Solar Energy (PV and CSP)
  • Wind Energy (Onshore and Offshore)
  • Hydropower (Small, Large, PSH)
  • Bioenergy
  • Geothermal
  • Ocean Energy (Tidal and Wave)
• By End-User
  • Utilities
  • Commercial and Industrial
  • Residential

List of Companies Covered in this Report:

• Pampa Energía SA
• YPF Luz
• Genneia SA
• Central Puerto SA
• 360 Energy SA
• Enel Green Power S.p.A.
• Acciona Energía
• Nordex Argentina
• Siemens Gamesa Renewable Energy
• Vestas Argentina
• TotalEnergies Renewables Argentina
• AES Argentina Generación
• Invenergy Argentina
• Canadian Solar
• Trina Solar
• Neoen Argentina
• Senvion GmbH
• Arrebeef SA (biomass co-gen)

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support