Spotlight: LatAm telcos' renewable energy projects

Latin American telecom operators are sharpening their focus on renewable energy amid hydrological crises, growing ICT usage, rising energy costs, and demand for sustainable power.

A June report by the Boston Consulting Group (BCG) said global demand for digital communications, accelerated by the COVID-19 pandemic, has caused the ICT industry to consume more energy than ever.

Currently, the sector is responsible for up to 4% of global CO2 emissions, around double the figure of the aviation sector, according to BCG.

"And with global data use estimated to grow 60% this year, the industry could be responsible for up to 14% of global CO2 emissions by 2040 unless significant steps are taken to lower the environmental impact of telco and communication technology companies," according to the BCG report. 

Among the main regional markets, Brazil has stood out in the adoption of renewables, particularly solar, by the ICT sector, but others have followed suit.

Total self-generation of installed solar energy in Brazil already represents more than 6GW, which is equivalent to over 40% of the Itaipu hydroelectric plant’s power, the largest in Latin America, according to Rodrigo Sauaia, head of PV solar power association Absolar.

The rising demand is driving sales in the supplier ecosystem. Fronius do Brasil, the local unit of Austrian photovoltaic inverters manufacturer Fronius, forecasts a 50% growth in equipment sales this year.

BNamericas looks at the latest ICT solar projects announced in Latin America.

Oi

Brazil’s Oi activated two distributed generation solar plants in Mato Grosso and Goiás states, adding 22.3GW/y to its renewable supply. 

At present, around 50% of Oi's energy mix comes from renewable sources, according to the telco, which includes biomass, biogas, solar and hydro. The goal is to up this share to 80% by 2022 and 100% by 2025.

The two new solar parks were built by French group GreenYellow. 

Both companies signed a contract about a year ago for the supply of 29.5GWh annually to Oi, which includes another plant under construction in the Federal District and one in operation since October in Minas Gerais.

Oi has five other solar plants in operation, including a project with Brazil’s Faro Energy.

Overall, Oi plans to have 32 distributed generation plants in the country by the first quarter of 2022. Once all are up and running, the company forecasts that the energy produced will be equivalent to the annual consumption of more than 86,000 homes.

GreenYellow has 1,400 energy projects in Brazil, where it has been operating since 2013. It claims to have over 40 solar plants under construction or in operation, for 120MWp of installed power.

AMÉRICA MÓVIL

GreenYellow is also developing solar plants with Mexico’s América Móvil. 

In June, the firm delivered four plants, with capacity of more than 25MW to the company’s Claro Brasil subsidiary.

That was the second batch of solar plants commissioned by Claro from GreenYellow. In the first half of 2020, the French company completed four other solar plants with installed capacity of 19.3MWp.

Claro has also started using a 4.65MW distributed generation biogas plant, which the telco claims to be the largest of its kind in the DG segment in Brazil. The plant is operated by RZK Energia. 

The telco also secured a wind turbine for its own supply in the Campo Largo Wind Complex 2, operated by Engie.

Claro lists 52 exclusive plants in operation under its renewables program, which kicked off in 2017, generating energy equivalent to the consumption of 240,000 homes, as well as others that are under development.

Together, the active plants supply over 20,000 Claro consumer units.

Like Oi, Claro Brasil aims to obtain 80% of its mid-voltage electricity from renewable sources by 2022.

América Móvil said in its latest sustainability report from 2020 that it planned to have 50% of energy coming from clean sources, mainly wind and solar, by the end of that year. 

The goal referred to the 25 countries where it operates. According to the company, however, it achieved 54% at end-2020 already.

TIM

Brazil’s TIM launched its distributed generation project in 2017, aiming to have 60 plants by the end of 2022, including solar, hydro and biogas, totaling monthly generation of 38GWh.

The operator has 34 solar, hydro and biogas power plants in operation. TIM's three main renewable suppliers are EDP, Enel X and, more recently, Faro Energy.

In 2020, 13 plants started operations (10 solar, two hydro and one biogas), in the states of Ceará, Mato Grosso do Sul, Paraíba, Pernambuco, Sergipe and São Paulo.

TELEFÓNICA

In Colombia, Telefónica’s Movistar implemented photovoltaic systems in its high-power consumption technical centers such as Delicias in Barranquilla, Toberín in Bogotá and Buitrera in Cali. This made it possible to generate 98,375kWh/y of solar energy, according to the telco.

In sites not connected to the electricity grid, the company implemented hybrid systems involving solar, lithium batteries and motor generators, which allowed a 53% reduction in operating costs per month.

In 2020, Movistar Colombia signed a power purchase agreement (PPA) with Sun Colombia. The aim of the contract is to buy renewable energy from the solar generation system at its Celta facility in Bogotá.

Currently, 61% of the Colombian operation’s electricity comes from renewable sources. 

Meanwhile in Brazil, Telefónica announced last week the activation of two solar power plants in Rio de Janeiro state, built and operated by Athon Energia, bringing the total to 19 such plants in operation in different regions of the country.

Telefônica Brasil will have another five plants by October in Rio de Janeiro state, of which five are solar, two biogas and one is a hydro unit.

The company said it intends to expand its distributed generation project to 83 from 70, in all regions of Brazil and have 89% of its low-voltage consumption through distributed generation from renewable sources by mid-2022.

ICE

Costa Rica's public power utility ICE, which is also the country’s largest telecom company, has guaranteed its electricity supply with renewable sources, including solar, for the next 15 years.

The information is part of the company’s latest update on its recently released 2020-2035 Generation Expansion Plan.

Costa Rica has attained over 98% of renewable sources in its electricity mix since 2015. By end-year, it expects to reach 99%.