ABC de la Ley 2099 de 2021
Summary
The document provides a detailed analysis of Law 2099 of 2021, which aims to modernize Colombia's energy transition. It examines the expansion of public utility declarations for renewable energy projects, the modification of tax incentives to include hydrogen and geothermal energy, and the consolidation of energy funds into FONENERGÍA. The report highlights significant risks, including the promotion of 'blue hydrogen' from fossil fuels, the potential for environmental degradation due to streamlined licensing, and the risk of displacing populations lacking formal land titles. It also discusses the specific challenges of geothermal development in páramo ecosystems and the government's continued reliance on combustible gas as a transition bridge.
Key insights
- Law 2099 expands the 'public utility' declaration to all stages of the electricity value chain, including production, storage, and maintenance of non-conventional renewable energy sources (FNCER), designating them as Projects of National and Strategic Interest (PINES).
- Tax incentives for FNCER have been expanded to include hydrogen (blue and green), geothermal energy, and carbon capture and sequestration technologies, with some benefits extended up to 30 years.
- The report warns that Law 2099 treats blue hydrogen—derived from fossil fuels—the same as green hydrogen regarding tax benefits, which may divert investment from truly low-emission projects and contradict decarbonization goals.
- The law streamlines environmental licensing by prioritizing approvals for energy and gas projects and eliminating the requirement for the Environmental Alternatives Diagnosis (DAA), which the report argues contradicts sustainable resource management.
- Law 2099 merges several energy funds (FAZNI, FAER, FECFGN, and PRONE) into a single entity called FONENERGÍA, while maintaining FENOGE for energy efficiency and FNCER promotion.
- The Colombian government views combustible gas as a fundamental bridge to the energy transition, projecting that its share in the energy matrix will increase to approximately 46% by 2050.
- In Non-Interconnected Zones (ZNI), which represent 52% of Colombia's territory, Law 2099 introduces subsidies for individual photovoltaic solutions and establishes sustainability requirements for new service providers.
Cite the original document
- APA
- Transforma (n.d.). ABC de la Ley 2099 de 2021. https://transforma.global/wp-content/uploads/2025/05/ABC_de_la_Ley_2099_de_2021.pdf
- Chicago
- Transforma. ABC de la Ley 2099 de 2021. n.d. https://transforma.global/wp-content/uploads/2025/05/ABC_de_la_Ley_2099_de_2021.pdf.
- Wikipedia
- {{cite report |author=Transforma |title=ABC de la Ley 2099 de 2021 |url=https://transforma.global/wp-content/uploads/2025/05/ABC_de_la_Ley_2099_de_2021.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{transformandabc, author = {{Transforma}}, title = {{ABC de la Ley 2099 de 2021}}, institution = {Transforma}, url = {https://transforma.global/wp-content/uploads/2025/05/ABC_de_la_Ley_2099_de_2021.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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