Colombia s new energy storage policy

From 2019 to 2021, domestic energy supply of coal decreased by 36% and the use of coal for electricity generation fell by 45%. Coal resources belong to the state and their exploitation is controlled by the MME. Colombia's energy and climate policy strategies do not include specific phase-out targets for coal production or consumption.

The main mechanism to ensure security of electricity supply is Colombia's reliability charge, which has also seen increasing participation from renewable energy capacity since 2019. The scarcity pricing formula was reformed in 2015/16 and today reflects the cost of the oldest diesel generator.

Colombia could benefit from the development of a normative energy system scenario that is consistent with the legislated goal of net zero emissions by 2050, set out in the Climate Action Law (2169/2021).

Under Colombia's long-term strategy (E2050), oil continues to play a role for exports but declines strongly in the domestic energy system. By 2050, the country targets an increase in electrification of final energy consumption of 40-70% of final energy use, multiplying by seven the electricity consumption in 2015.

In 2021, the Colombian government adopted new security of gas supply rules. Resolution 40280 of 30 August 2021 updated the framework for the MME to regulate gas demand constraints and rationing of the supply of natural gas to satisfy essential demand of priority consumers. refineries.

Colombia is pursuing a reindustrialisation policy with the aim to shift from an extraction economy to a productive and sustainable knowledge economy. In parallel to the elaboration of the PND, the government is preparing a national just energy transition road map.