The markets driving LatAm renewables growth

South America's installed renewable energy capacity expanded by more than 4.1% last year despite the crippling effects of the coronavirus pandemic, new figures show. 

Countries in the region reported combined clean generation capacity – including hydropower – of 233GW on December 31, up from 224GW a year earlier, according to a report published by the International Renewable Energy Agency (IRENA) on Monday. 

Brazil led the way, adding 5.5GW in the year, followed by Argentina (1.38GW), Chile (1.3GW) and Colombia (1.19GW).

The Abu Dhabi-based entity said renewable power capacity jumped from 16.01GW to 16.34GW in Central America and the Caribbean and from 390GW to 422GW in North America. 

Mexico was a major contributor to the expansion as its renewables mix climbed to 28.4GW from 25.7GW.

The greatest wind power growth in Latin America and the Caribbean came in Brazil, which added 1.76GW from the source. It was followed by Mexico (1.54GW), Argentina (0.54GW), Chile (0.53GW) and Colombia (0.49GW).

In the solar segment, Brazil saw capacity jump to 7.88GW from 4.62GW while the figure in Mexico reached 5.64GW, up from 4.44GW a year earlier. Chile's generation potential from completed solar projects rose 560MW to 3.21GW in 2020 and that of Argentina reached 764MW, up from 442MW. Colombia's solar capacity moved 17MW higher to 107MW.

IRENA said global renewable energy capacity on December 31, 2020 increased to 2.80TW from 2.54TW 12 months prior. 

"Around 80% of all new electricity capacity was renewable, showing that it is increasingly the preferred source of new power generation globally," IRENA director general Francesco La Camera said in the report. 

"The case for an accelerated transition is increasingly attractive. Costs are falling, clean tech markets are growing and never before have the benefits of the energy transition been so clear."

He added: "Amid the challenges and uncertainty of 2020, these numbers tell a remarkable story of resilience and hope for a better, more equitable, clean and just future."

The full report can be seen here