Empowering Colombia’s Just Energy Transition with a holistic strategy to strengthen the renewable energy ecosystem and facilitate social acceptance

Implementing partner: Stockholm Environment Institute (SEI)

 Consortium partner: POLEN Transiciones Justas and Fundación   Ivy 

 Implementation period: October 2025 - March 2027

 Sector: Just Energy Transition

 
 
Colombia has committed to shifting from fossil fuels to renewable electricity, yet the transition is still in progress. The country has about 16 GW of approved wind and solar projects that remain unbuilt, and the share of these technologies in the power mix is still low. As a result, Colombia is missing opportunities to cut emissions.
 
Concerns about whether the electricity system can absorb large amounts of intermittent renewables and rules and market arrangements not adapted to the new energy reality slow down the development of wind and solar projects. Besides, few benefit-sharing mechanisms make local communities often see little direct gain from projects.
 
These issues are national in scale but play out locally — for example, regions with coal plants or mining activity face particular social and economic challenges. A recent study by Fundación IVY shows an optimal expansion path requires a balanced mix of wind and solar and estimates the need for at least 7 GW of wind in northern Colombia by 2036, underscoring the urgency in places like La Guajira. 
Policy reforms must be proposed nationally while diagnostics, stakeholder engagement and tailored benefit-sharing models are developed in priority territories. The project combines technical analysis, stakeholder engagement and capacity building efforts to make reform feasible and politically timely. 
 
This project addresses three main barriers to Colombia’s wind and solar rollout stated before, to tackle them in an integrated way. It will produce evidence on the regulatory, planning and market adjustments needed to create fair conditions for renewables; design auction approaches that better match the characteristics of wind and solar; and develop guidance for phasing out coal in a way that protects grid reliability and supports affected territories.
 
The project will work with communities, companies and authorities to improve benefit-sharing practices and strengthen local participation in decision-making. It will also map skills gaps in coal-dependent regions and deliver training programmes that help workers and local institutions prepare for new economic opportunities linked to the energy transition. Together, these actions aim to support a transition pathway that is technically robust, socially inclusive and responsive to Colombia’s territorial realities. 
 
Activities combine technical analysis, regional best practices, workshops, interviews, capacity building activities and policy engagement to maximise its policy uptake. By pairing national reform proposals with locally grounded pilots and capacity building, the project aims to support Colombia’s just energy transition. 

 Expected results

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  • Implementation of adjustments to the regulatory framework and market design that accelerate the implementation of large-scale NCRE projects.
  • Enhanced benefit-sharing schemes from NCRES projects.
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  • Progress achieved in the coal power phase-out including labour and productive reconversion.