A Clean Energy Paradise: Caribbean and Central America

Though generally characterised by a lack of conventional fossil-fuel reserves, the diverse group of nations that include the Caribbean and Central Americas region are nonetheless blessed with an abundance of attractive renewable energy resources. Indeed, many of the region’s countries already exploit significant hydropower and geothermal capacity to supply a considerable proportion of their energy. Now though, there is a region-wide push to develop other forms of renewable energy, in particular solar, wind and bioenergy, where rich resources largely remain untapped.

abundance of attractive renewable energy resources

Given that much of the region (with the exception of oil-rich Trinidad and Tobago) relies on expensive imported liquid fossil fuels, such as diesel or LNG, to run thermal power generation equipment, falling renewables technology costs are making these kinds of generation projects thoroughly cost-competitive in several markets which face sky-high prices today.

Perhaps recognising this opportunity and its challenges, a growing number of nations are introducing new policies to attract inward investment. Some have established deregulated and competitive electricity markets to foster private investment, others have adopted different government-backed approaches. But with concerns over security of energy supplies, environmental and social development pressure, high electricity prices and growing power demand, it is evident that renewables are being pushed up the political agenda region-wide. 

growing power demand

A full free report on the Caribbean and Central American clean energy markets is available at https://www.recamweek.com/report and the marketplace will be meeting at RECAM Week next month.