Analysis of the Partnership Model for financing and its applicability JUST ENERGY TRANSITION IN COLOMBIA

The document explores the application of Just Energy Transition Partnerships (JET-P) in Colombia, analyzing international experiences from South Africa, Indonesia, Vietnam, and Senegal. It identifies a significant financing gap, noting that public investment currently represents only 0.01% of required resources. The brief proposes a country platform to attract international public and private capital, while emphasizing the need for grants over loans to avoid increasing public debt. It prioritizes strategic projects such as energy communities and the phase-out of coal plants, while arguing against financing fossil fuel infrastructure or inefficient subsidies.

• Colombia faces a substantial financing gap for its just energy transition, with public investment estimated to cover only 0.01% of the required resources.
• Investment needs for Colombia's energy transition vary by source, with estimates ranging from COP $283 trillion (National Government) to COP $2,394 trillion (CAMPETROL) for the period ending in 2050.
• International JET-P experiences in South Africa, Indonesia, Vietnam, and Senegal reveal a tendency for financing to be dominated by loans rather than grants, which increases the debt burden for recipient emerging economies.
• The Colombian government has identified six strategic accelerator programs for the JET: Caribbean Solar Burst, Energy Communities, progressive phase-out of public coal power plants, Green Hydrogen+ Power-to-X, Electric mobility, and JET 'Life Corridors' in coal regions.
• The TermoGuajira plant in Dibulla is designated as the first coal-fired plant in Colombia to be transformed into decarbonized electricity generation using solar panels and battery energy storage systems (BESS).
• A proposed financing platform for Colombia should prioritize addressing energy poverty, noting that 3.45% of households still lack electricity and many decentralized users have limited daily service.
• To ensure a just transition, the document argues that financing must exclude new fossil fuel infrastructure, projects without measurable climate impacts, and inefficient fossil fuel or electricity consumption subsidies.
• The brief recommends that Colombia's JET financing model prioritize grants over loans to avoid exacerbating public debt, noting that in Latin America, 88% of climate finance has been distributed as loans.

APA

Pabón, G., Fava, G., Guzmán, A., & Pinzón, Á. (2024). Analysis of the Partnership Model for financing and its applicability JUST ENERGY TRANSITION IN COLOMBIA. Transforma. https://transforma.global/wp-content/uploads/2025/05/JUST-ENERGY-TRANSITION-IN-COLOMBIA.pdf

Chicago

Pabón, Giovanni, Gian Fava, Alexa Guzmán, and Álvaro Pinzón. Analysis of the Partnership Model for financing and its applicability JUST ENERGY TRANSITION IN COLOMBIA. Transforma, 2024. https://transforma.global/wp-content/uploads/2025/05/JUST-ENERGY-TRANSITION-IN-COLOMBIA.pdf.

Wikipedia

{{cite report |last1=Pabón |first1=Giovanni |last2=Fava |first2=Gian |last3=Guzmán |first3=Alexa |last4=Pinzón |first4=Álvaro |title=Analysis of the Partnership Model for financing and its applicability JUST ENERGY TRANSITION IN COLOMBIA |publisher=Transforma |date=June 2024 |url=https://transforma.global/wp-content/uploads/2025/05/JUST-ENERGY-TRANSITION-IN-COLOMBIA.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{pabn2024analysis, author = {Pabón, Giovanni and Fava, Gian and Guzmán, Alexa and Pinzón, Álvaro}, title = {{Analysis of the Partnership Model for financing and its applicability JUST ENERGY TRANSITION IN COLOMBIA}}, institution = {Transforma}, year = {2024}, month = jun, url = {https://transforma.global/wp-content/uploads/2025/05/JUST-ENERGY-TRANSITION-IN-COLOMBIA.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }