Argentina’s biggest renewables player permanently analyzing opportunities

Argentina’s biggest renewables generator by installed capacity, Genneia, is constantly looking at how to expand its generation park, investors were told.

The company, which has three construction-phase projects underway, is also working to secure transmission priority dispatch capacity for multiple others.

“The speed of incorporation of these [new] projects will depend on the macroeconomic trends and access to long-term competitive financing,” Genneia CFO Carlos Palazón told the company's Q2 results call, echoing comments made last half.

“We foresee solid demand for renewable energy looking forward as the energy transition gathers momentum.” 

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In terms of priority dispatch, Genneia presented five development-phase projects in the latest auction, for Q2, after winning capacity for seven in a process corresponding to Q1. The company was also awarded capacity last year and has been authorized to carry out two transmission expansion projects. 

The auction process is managed by wholesale power market administrator Cammesa. 

Projects looking to participate in the Mater term market, where large users and distribution companies contract green electricity from generators or traders under corporate power purchase agreements, seek priority dispatch capacity.

Mater has been driving growth of the country’s non-conventional renewables energy park in recent years. High-ranking officials in the government have said they prefer a decentralized contract market like Mater rather than large, centralized government supply auctions such as those under the RenovAr program. Officials are reportedly working on a restructuring of the local power market, as commissioned by the federal government. 

Meanwhile, companies apply for both standard priority dispatch capacity, known as Mater Pleno, and Mater Reference A. Under Mater Reference A, introduced via a 2023 rule change, Cammesa can award priority dispatch on congested transmission corridors to Mater projects, on the understanding that some associated output may be curtailed (8% probability of curtailment).

Genneia has previously said it was working on clean energy supply solutions for the mining sector, in line with what fellow generators YPF Luz and Central Puerto are doing.

Demand exists for clean power on the part of new energy metals projects, typically located in remote zones. Both isolated and grid-connected solutions are being mulled with various configurations, including some incorporating energy storage.  

Genneia construction-phase projects, installed capacity

Genneia’s biggest project is the 180MW Mendoza province solar plant Anchoris, which was announced in June. Estimated outlay is US$160mn and the plant is due online in 4Q25. 

Elsewhere on the map, Genneia has brought 122MW of the 162MW Buenos Aires wind park La Elbita into service. Completion of the US$240mn asset is due in the coming months, the call heard.

In Mendoza, the company is also building the 90MW Los Molles solar park. The US$90mn project is due to be completed in 2Q25.

Genneia will need to secure US$154mn, including from company cash flow, to cover unfunded capex for Los Molles and Anchoris, whose combined price tag is US$250mn, investors were told.  

Genneia’s portfolio of assets targeting the Mater term market is expected to stand at 636MW in 2026, compared with 144MW in 2023, driven by the three projects and 60MW San Juan province solar park Tocota III, completed in February. Offtakers include oil companies Shell Argentina and Vista Energy and miner Newmont.

Genneia’s installed capacity currently stands at 1.48GW, of which 1.11GW are renewables.

Genneia development-phase projects competing in the Q2 auction

Project: San Juan Sur
Technology: Wind
Max priority dispatch capacity sought: 90MW

Project: San Rafael I
Technology: Solar
Max priority dispatch capacity sought: 50MW

Project: San Rafael II
Technology: Solar
Max priority dispatch capacity sought: 50MW

Project: Vidal
Technology: Wind
Max priority dispatch capacity sought: 52MW 

Project: Hucalito I
Technology: Wind
Max priority dispatch capacity sought: 90MW
 

Genneia development-phase projects awarded capacity in the Q1 auction

Project: Pomona III
Technology: Wind
Priority dispatch capacity assigned: 78MW (Reference A)

Project: Hucalito II
 Technology: Wind
Priority dispatch capacity assigned: 60MW (Reference A) 

Project: Retamito
Technology: Solar PV
Priority dispatch capacity assigned: 30MW (Pleno)

Project: San Luis
Technology: Solar PV
Priority dispatch capacity assigned: (33MW Pleno, 7MW Reference A)

Project: Coiron I
Technology: Wind
Priority dispatch capacity assigned: 74MW (Reference A)

Project: Los Patrios
Technology: Wind
Priority dispatch capacity assigned: 151MW (Reference A)

Project: Vidal
Technology: Wind
Priority dispatch capacity assigned: 48.8MW (Reference A)

Click here to access the full list of Argentine generation projects awarded transmission priority dispatch capacity by Cammesa.