LATIN AMERICA ADVISOR

Energy ADVISOR

A daily publication Of the dialogue

November 15, 2024

Does Latin America Rely too Heavily on Hydropower?

South America’s ongoing drought has been the continent’s worst in more than 50 years. A hydroelectric dam in Brazil is pictured in 2022. // File Photo: Ceará State Government.

Q

A

Cecilia Aguillon, nonresident fellow at the Institute of the Americas: “Latin America must wean itself off of relying on hydropower as the main source of electricity. Hydroelectric plants have supplied low-cost electricity for decades, but the increased severity and frequency of droughts begs for a refocus on other renewable technologies such as wind, solar, biomass and geothermal. Thanks to its natural resources, Latin America’s levelized cost of solar and wind energy is among the lowest in the world, because the amount of electricity production is greater than in the global north, and the capital costs of construction tend to be lower. Therefore, governments should enact clear laws and regulations that promote an acceleration of investments in renewable projects. Maximizing local resources to produce electricity can help secure capacity and reduce price volatility. It has been proven…”

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ABOUT THE Energy ADVISOR

A sister publication of the Inter-American Dialogue’s daily Latin America Advisor, the weekly Energy Advisor captures fresh analysis from business leaders and government officials on the most important developments in oil and gas, biofuels, the power sector, renewables, new technologies, and the policy debates shaping the future of energy in the Western Hemisphere and beyond. To subscribe or for more information, contact Gene Kuleta, editor of the Advisor, at gkuleta@thedialogue.org.

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Gene Kuleta
Editor
P. 202.463.2920
E. gkuleta@thedialogue.org

Carl David
Goette-Luciak
Reporter

Nili Blanck
Reporter

board of advisors

Nigel Blackaby
Global Head, International Arbitration Group,
Freshfields Bruckhaus Deringer

Jimena Blanco
Chief Analyst,
Verisk Maplecroft

María José Cortés
Head of ESG,
Atlas Renewable Energy

Jeffrey Davidow
Senior Counselor,
The Cohen Group

Analia Gonzalez
Leader, Arbitration & Litigation,
Laitn America, BakerHostetler

Jonathan C. Hamilton
Partner,
White & Case

Raul Herrera
Partner, Corporate &
Securities Practice,
Arnold & Porter

James R. Jones
Chairman,
Monarch Global Strategies

Jorge Kamine
Partner, Corporate &
Financial Services,
Willkie Farr & Gallagher

Craig A. Kelly
Senior Director,
Int’l Government Relations,
Exxon Mobil

Jeremy Martin
Director,
Energy Program,
Institute of the Americas

Larry Pascal
Chairman, Americas
Practice Group,
Haynes & Boone

R. Kirk Sherr
President,
Clearview Strategy Group

Daniela Stevens
Director,
Energy Transition and Climate Program,
Inter-American Dialogue

Doris Rodríguez
Partner,
Hunton Andrews Kurth

Alexandra Valderrama
Director,
International Government
Affairs, Chevron

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