Colombia Invests $1.7B to Power Caribbean With Clean Energy

Colombia is making one of Latin America's biggest bets on clean energy, and millions of people are about to benefit.

The Colombian government announced last week it will invest $1.7 billion to completely overhaul the electrical grid across its Caribbean region. The "Connected Caribbean" project will fix long-standing bottlenecks and make room for 6 gigawatts of new renewable energy capacity, mostly from solar and wind power.

The upgrade covers six regions in northern Colombia, including La Guajira, Cesar, Magdalena, Atlántico, Córdoba and Sucre. For years, these areas have struggled with unreliable electricity and an outdated grid that couldn't handle modern energy demands.

The project includes 15 synchronous compensators, four major transformers for the national system, three reactors, and over 13 works for the regional transmission network. These technical upgrades will stabilize the grid and allow clean energy to flow smoothly to homes and businesses.

"We are correcting decades of neglect in the Caribbean's electrical infrastructure," said Edwin Palma, Minister of Mines and Energy. He emphasized that these aren't small fixes but transformative changes that will protect users from outages, overloads, and poor service quality.

The timing couldn't be better. Colombia has been rapidly expanding its solar capacity, with a 2024 auction alone securing 4.4 gigawatts of solar projects. The government also created a dedicated solar development entity in December that will build 650 megawatts of solar farms across the country.

The Ripple Effect

This investment does more than just add clean energy to Colombia's grid. It's creating a blueprint for how developing nations can leapfrog outdated, polluting infrastructure and jump straight to renewable power.

The upgrade will reduce Colombia's reliance on expensive, carbon-heavy thermal power plants. That means cleaner air for Caribbean communities and lower electricity costs for families and businesses once the system becomes more efficient to operate.

Solar industry experts have noted that Colombia and Peru are entering a new phase where solar energy bolsters national energy security. Wood Mackenzie identified grid infrastructure as the main barrier holding back solar expansion across Latin America, making Colombia's proactive investment even more significant.

The project proves that governments can tackle climate goals and infrastructure gaps at the same time. By building a stronger grid now, Colombia is ensuring that its renewable energy boom benefits everyone, not just those in well-connected urban areas.

A cleaner, more reliable energy future is coming to Colombia's Caribbean coast.