Colombia Renewable Energy: A note from AFRY Management Consulting

11/05/2020

The majority of installed capacity in Colombia comes from Hydro, making the country exposed to extreme weather-related events. In an effort towards diversifying its energy mix and realizing its high solar and wind potential, in October 2019, Colombia held its first renewable auction.

In this note, AFRY Management Consulting revisits the renewable auction, analysing the rules, the participation and the results of this process, which was a milestone in the energy sector of the country.

Read the full report

AFRY Management Consulting - Review of Colombia Renewables Auction - May 2020_0.pdf
Colombia’s generation mix is greatly concentrated on Hydro. As of 2018, hydro installed capacity was 68% of total and, between 2010 and 2018, the monthly proportion of demand supplied by this generation source was, on average, 76%. This dependence on rainfall makes Colombia heavily exposed to extreme weather-related events like ‘El Niño’, a periodic anomaly in ocean temperatures over the tropical East Pacific, which leads to strong reductions in precipitation in the country. During ‘El Niño’ episodes, e.g. the last quarter of 2015 and first quarter of 2016, hydro share in the generation mix can drop to nearly 50%, and electricity prices rise substantially...

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Julia Dupuy

Principal, AFRY Management Consulting

Julia has a degree in Applied Mathematics and Economy. She joined AFRY in 2014 and is a Principal at the Madrid Management Consulting Office. Julia has an extensive experience working as an economist, carrying out economic analysis and forecasts both for the private and public sectors. Within AFRY, Julia is mainly focused in the new gases offering services for Iberia and Latin American markets.