The energy transition in Latin America

There is no doubt that the energy transition is underway in Latin America and the Caribbean. Also beyond doubt is that the LAC region has some important advantages relative to the rest of the world. Excluding hydropower, where the region is already strong, the share of renewables in primary energy consumption is 33% in Latin America, well ahead of the rest of the world on 18%. Investment in renewables such as solar and wind has maintained a strong upward path. The Ukraine war and global economic headwinds have caused disruption, but the net effect seems to have accelerated the search for alternatives to fossil fuels.