Scaling up rural electrification via capacity building to public and private sectors, phase 2

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  Country:  Colombia

  Sector:  Energy 

Supporting the sustainable electrification of 100,000 rural households, as committed by the Colombian government.

This project is strengthening the planning and implementation capacity of sub- national entities and rural communities to deploy high-quality renewable energy rural electrification solutions. It has provided solutions that can bring reliable and clean electricity to 1,447 off-grid citizens. It has also demonstrated the attractiveness of the rural electrification market for private sector investors, leading the design and marketing of four innovative rural electrification solutions to investment commitment. In its new phase, the project will provide targeted technical assistance to the Ministry of Mines and Energy and the Institute for Planning and Promotion of Energy Solutions for Non-Interconnected Areas to implement Colombia's new Energy Transition Law 2099 of 2021, including the operationalization of FONENERGIA – Colombia’s new energy fund – and the promotion of hybrid solutions across off-grid areas.

Key project actions:

  • Enhancing the capacity of sub-national entities to design, plan, structure and implement renewable energy solutions;
  • Increasing the quality and number of rural electrification projects funded by the Royalties System Programme;
  • Providing technical assistance to selected private sector developers to deliver replicable off-grid electrification business models;
  • Developing and producing the operational manual for FONENERGIA - Colombia’s new sustainable energy fund;
  • Conducting a feasibility study for the development of PV hybrid rural electrification solutions to displace the use of fossil fuels in off-grid areas.

 

 

 

 

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Beneficiaries: 
 
 
 
 
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GGGI Colombia map

 

 Key facts

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  • The project builds on the successful delivery of its earlier phase which helped design four renewable energy projects with cumulative installed capacity exceeding 42MWp and US$78m in investment commitments.

  • The Colombian government has committed to providing sustainable electricity services to 100,000 households by 2022, primarily through public funds (FAZNI, FAER, FENOGE). This goal has been challenging for sub-national entities to deliver. This project aims to fill capacity gaps in this area.

  • This project is providing technical assistance to the municipality of Puerto Caicedo in Putumayo and the community of La Plata, Bahia Malaga, in Valle del Cauca to design rural electrification solutions.

  • Over 500,000 households in Colombia lack access to electricity.

Key achievements so far

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  • Four private-sector led off-grid projects have been designed, structured, and marketed in collaboration with national developers, obtaining letters of intent formalizing investors' cumulative early investment commitments of USD 307,922,310 for sustainable rural electrification.

  • The virtual course “Formulation and structuring of rural electrification projects with renewable energy” launched on February 17, 2022 is now available to subnational entities. It will strengthen their capacity to design renewable energy rural electrification projects.

  • Technical assistance to the municipality of Puerto Caicedo and the community of Bahia Malaga in Valle del Cauca to design rural electrification solutions and submit funding requests to the National Royalties Programme for funding, benefitting 1,447 unelectrified households.

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Colombia GGGI img2

 

 

Watch these videos and sign up to GGGI's course on rural electrification

Working together for universal access to energy in Colombia

Working together for universal access to energy in Colombia


Opportunities and challenges for the energy transition in Colombia.

Register to participate in the online course

Training course: Formulación y estructuración de proyectos de electrificacion rural con energías renovables

Click on Formulación y estructuración de proyectos de electrificacion rural con energías renovables to register

VI gathering of non-interconnected zones

VI gathering of non-interconnected zones


Outlook of the sector, tools and financing schemes for energy transformation projects.

Who is this project assisting and how?

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Ministry of Mines and Energy logo-1 energia-ipse (v2)
 
This project is supporting Colombia's Ministry of Mines and Energy and The Institute of Planning and Promotion of Energy Solutions in the Non Interconnected Zones. It provides technical assistance in the key areas shown on the right. 

GGGI infographic 2 Colombia