Between June 2018 and June 2019, partners from Argentina (FARN), Brazil (Centro Clima) and Mexico (ICM) collaborated on the topic of the energy transition in Latin America.
Partners analysed how Argentina, Brazil and Mexico are addressing climate change trough the energy sector, by analysing and comparing the energy transition process in each country. The results of the analysis have been presented and discussed with stakeholders from all sectors (incl. government, trade unions, workers unions, companies) at workshops.
The synthesis paper, entitled “Accelerating the Energy Transition in Latin America”, shares challenges and opportunities in energy transition as well as policy recommendations on how Argentina, Brazil and Mexico could become regional and global leaders in the fight against climate change and in the adoption of a socially just energy transition.
The following recommendations should be implemented:
- Harmonize climate and energy policies through a long-term and sectorial decarbonization strategy, particularly for the energy sector.
- Redirect investments and rapidly eliminate fossil fuels subsidies.
- Assess the opportunity to implement a progressive tax on fossil fuels based on the social and environmental cost of carbon.
- Accelerate renewable energy integration in the power sector and avoid the lock-in to carbon-intensive technologies that infrastructure plans in all three countries currently entail.
- Avoid the exploitation of non-conventional oil and gas reserves due to their social and environmental impacts. This would send clear signals to the market to enhance the integration of clean and renewable technologies.
- Redirect investments from Exploration and Production in the oil and gas sectors to promising renewable energy sources, such as energy storage, smart grid technologies and recognize the value of social innovation.
- Increase solar distributed generation through a comprehensive national plan that addresses regulation and tax issues. This provides clear benefits for the poorest sector of the population and lower risks for private banks and investors.
- Adequately incorporate the social and spatial dimensions of the electricity sector through planning and governance instruments, strategies and policies.
- Address and redistribute the cost and benefits of the energy transition by incorporating locally determined needs into national and international energy planning; adapting technologies through social innovation; and recognizing social and environmental limits in energy sector planning.
- Increase the participation of citizens, neighborhoods, indigenous rural and urban communities, and small businesses in the design, ownership and deployment of renewable energy projects.
Apart from a joint synthesis paper a series of country papers for Argentina, Brazil and Mexico, analyzing in details national circumstances, challenges and opportunities with regards to energy transition in those countries, have been published:
Energy Transition in Argentina (November 2018)
Energy Transition in Brazil (March 2019)
Energy Transition in Mexico (June 2019)
In 2019, the partners collaborate on how to take ambitious and meaningful steps in order to decarbonize transport in their countries. To push for more ambitious climate action, policy papers, sharing of learnings and good practices as well as workshop gathering key stakeholders to deliver change will be organized.