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This report by the Stockholm Environment Institute, authored by Fundación Ivy, identifies regional best practices in Latin America and the Caribbean for accelerating the deployment of non-conventional renewable energy (NCRE). It analyzes five pillars: political and institutional frameworks, strategic planning, regulatory frameworks for investment and operation, demand response, and regional integration. The document uses case studies from countries such as Uruguay, Chile, Brazil, and Mexico to illustrate successful strategies and contrasts these with the current situation in Colombia.

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  • Long-term state energy policies that transcend government cycles are essential for attracting investment and providing stability. Uruguay's National Energy Policy 2005–2030 and Chile's "Energía 2050" strategy are cited as examples of policies backed by broad political consensus that have significantly increased NCRE participation in their electricity matrices.
  • Effective strategic planning for NCRE must be proactive, binding, and coordinated across generation, transmission, and storage. Mexico's PLADESE (Plan de Desarrollo del Sistema Eléctrico Nacional) provides a binding 15-year program for the installation and retirement of power plants, while Brazil's PDE (Plan Decenal de Expansión de Energía) integrates generation and transmission expansion to avoid systemic underinvestment or mislocation.
  • Competitive auctions and long-term Power Purchase Agreements (PPAs) have become the predominant mechanisms for contracting large-scale renewable energy in the region. Brazil, Chile, and Uruguay have successfully used these to assign capacity efficiently, with Brazil utilizing a regulated contracting environment (ACR) and Uruguay employing 20-year fixed-price PPAs to ensure project bankability.
  • Coordinating transmission expansion with generation is critical to avoid bottlenecks in high-resource areas. Best practices include incorporating grid access costs into auction designs (Uruguay) and allowing hybrid plants to share transmission infrastructure to optimize asset use (Brazil).
  • Operational regulations must adapt to the variability of NCRE. This includes assigning zero variable costs to renewable dispatch and implementing mechanisms to manage energy surpluses (curtailment). Some countries, like Chile and Brazil, are shifting toward requiring generators to manage their own variability through hourly delivery profiles and penalties for deviations, whereas Uruguay has prioritized bankability by using a "pay-as-produced" logic.
  • Demand response mechanisms, such as Time-of-Use (ToU) tariffs and dynamic pricing, help align consumption with renewable availability. Uruguay's "Oferta de Oportunidad" allows the state utility to offer surplus energy at reduced prices to subscribed customers, managing both demand and energy surpluses simultaneously.
  • For distributed generation and self-consumption, the report recommends moving from net metering to net billing to avoid cross-subsidies and better reflect the marginal cost of energy. Uruguay implements a system where injected energy is remunerated at the hourly spot price, provided the user remains a net consumer annually.
  • Regional electrical integration allows countries to valorize renewable surpluses through exports. The report describes a process of independent optimization where countries identify exportable surpluses and coordinate transactions via spot markets, as seen in the Southern Cone (Brazil, Argentina, and Uruguay) and the Central American Regional Electricity Market (MER).

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APA
Stockholm Environment Institute (2026). reporte-buenas-practicas-regionales-junio2026-uk-pact-1-f006dd2621d03e10.pdf. https://www.sei.org/wp-content/uploads/2026/06/reporte-buenas-practicas-regionales-junio2026-uk-pact-1.pdf
Chicago
Stockholm Environment Institute. reporte-buenas-practicas-regionales-junio2026-uk-pact-1-f006dd2621d03e10.pdf. 2026. https://www.sei.org/wp-content/uploads/2026/06/reporte-buenas-practicas-regionales-junio2026-uk-pact-1.pdf.
Wikipedia
{{cite report |author=Stockholm Environment Institute |title=reporte-buenas-practicas-regionales-junio2026-uk-pact-1-f006dd2621d03e10.pdf |date=2026 |url=https://www.sei.org/wp-content/uploads/2026/06/reporte-buenas-practicas-regionales-junio2026-uk-pact-1.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{stockholmenvironmentinstitute2026reportebuenaspracticasregionalesjunio2026ukpact1f006dd2621d03e10pdf, author = {{Stockholm Environment Institute}}, title = {{reporte-buenas-practicas-regionales-junio2026-uk-pact-1-f006dd2621d03e10.pdf}}, institution = {Stockholm Environment Institute}, year = {2026}, url = {https://www.sei.org/wp-content/uploads/2026/06/reporte-buenas-practicas-regionales-junio2026-uk-pact-1.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }

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