<aside> 💡 “Latin America and the Caribbean will be the first region to achieve universal electricity access,” @IDB

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Both countries are different in LATAM in terms of their electricity mix, commitments, and nationalization of infrastructure, making for a diverse landscape of needs and go to market approaches to accelerate and support a green transition. For example, Costa Rica made commitments that their energy grid will be entirely electric by 2050. Meanwhile, Mexico has just passed legislation to limit the demand that fossil fuel alternatives can meet. Nonetheless, demand for electricity in the region is expected to double by 2050, according to the Inter-American Development Bank. To comply with this rising demand, Latin America’s energy supply and access will need to undergo significant transformation to meet the goals of the Paris Climate Agreement and create a more sustainable future.

Fortunately, the emergence of industrial grade cost saving solutions such as AI-powered demand monitoring, policy programs that can be modeled after existing success cases globally, and the rapidly shifting public sentiment towards clean energy have fundamentally changed the outlook of even the most conservative petrol economies.

Three current trends driving climate innovation stand out in Latin America’s energy sector:

• Decarbonization: Developing a cleaner energy mix to meet global emission reduction goals.
• Digitization: The implementation of technology solutions that enable a smarter digital grid.
• Decentralization: The ability to produce, store, and sell distributed renewable energy.

Content Overview

Main Challenges and Opportunities

• Batteries
• Cooling
• Unemployment
• Machinery Malfunction
• Politics
• Funding

Market Data

• The Latin American renewable energy market reached an installed capacity of nearly 2,455 gigawatts in 2020. The industry in Latin America is expected to grow at a **[CAGR of 4.13%](https://www.expertmarketresearch.com/reports/latin-america-renewable-energy-market#:~:text=The Latin America renewable energy,forecast period of 2022-2027.)** in the forecast period of 2021-2026
• It's predicted that by 2030, lower-income non-OECD countries will show the strongest per annum increases in electricity demand, almost four times greater than that of the OECD countries, as they expand their power grids to support economic growth.