South America Outdoor Power System

Is hydropower the future of South America?

Hydropower remains the backbone of South America’s energy system, and as the region embraces innovation and sustainability – through certified projects and hybrid systems such as floating solar – its vast Andean-Amazon potential continues to shape a resilient, renewable future. Cachoeira Caldeirão hydropower project, Brazil. Credit: Engie

Why is hydropower important in South America?

Hydropower is vital for South America’s energy mix, and thanks to natural resources such as the Andes mountains and the Amazon basin, potential for generation is vast. A mere 30% of the region’s hydropower potential is currently being exploited, but even that satisfies approximately 45% of the continent’s electricity demand.

What is Latin America's power system transformation?

Advancing Latin America’s Power System Transformation2 Executive summary Latin America and the Caribbean (LAC) is rich in renewable energy resources and generates nearly 70% of its electricity from clean sources – significantly above the global average.

How can a regionally integrated power system transform Latin America?

Advancing Latin America’s Power System Transformation 14 Indeed, in Central America, the development of a regionally integrated system demonstrated cost reductions and improved energy diversification thanks to the extended interconnection.