Renewables

Colombia Adjusts Regulations to Boost Renewable Energy During El Niño Drought

Abril Rivaben
April 18, 2024
3 min

On Monday, the Colombian Ministry of Mining and Energy announced the issuance of Resolution 40132, which mandates the optimal use of non-conventional renewable energies as the nation confronts reduced hydropower output due to the El Niño-induced drought.

According to the resolution, the national dispatch center is now tasked with the scheduling and dispatching of all centrally dispatched non-conventional renewable resources following the generation program, ensuring adherence to the grid’s security, quality, and reliability standards. Furthermore, these renewable energy sources will be exempt from generation program deviation calculations and the associated settlements.

The ministry pointed out that the existing rules concerning deviations in the generation program could impede the efficient use of non-conventional renewables during periods of low hydropower generation. It was noted that certain solar farms have not been centrally dispatched due to their pricing models and the stance of their market representatives regarding the current rules for settling deviations.

In response, XM, the grid operator and national dispatch center, has proposed establishing mechanisms to enable non-conventional renewables to deliver their full available energy capacity.

This measure, outlined in Resolution 40132, will remain effective until April 30, 2024, or until the Energy and Gas Regulation Commission (CREG) enacts new regulations.

The urgency of this initiative is underscored by the ongoing power supply crisis in Colombia, where hydropower inflows have reached historical lows. Andres Camacho, the Mining and Energy Minister, anticipates that this new regulation will increase the share of non-conventional renewables in the national energy mix from 5% to 7%, as reported by La FM radio station. The government is also considering additional measures such as requesting self-generating companies to disconnect from the grid or to incentivize them to lower their energy consumption throughout the duration of El Niño.

Additionally, on the same day, the government directed thermal power plants across Colombia to operate at full capacity every day throughout the El Niño season to further mitigate the energy shortfall.

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