August 30, 2024
A New Global Energy Reality
The global energy transition has reached a historic milestone. According to the most recent report from the International Energy Agency (IEA), for the first time in modern history it is projected that in 2025 the global generation of electricity from renewable sources will exceed that generated by coal. This announcement, made at the end of August 2024, marks a before and after for the global energy sector, and redefines the way in which countries plan their economic and environmental development.
The exponential growth of photovoltaic solar energy and wind energy, driven by historic investments, technological innovation and growing climate awareness, is leading the world towards a cleaner, more resilient and decentralized energy matrix. In this analysis, we break down the main events in Latin America, the international context and the most hopeful projections for 2025 and beyond.
I. The IEA report: An irreversible transformation
The International Energy Agency revealed that global renewable energy generation will exceed coal during 2025, representing a radical turn in traditional energy models. Among the key factors:
Solar energy growth: A 33% year-on-year increase in solar generation is projected.
Wind energy boost: With a growth of 10% per year, wind energy will surpass hydroelectric energy globally.
Sustainable energy demand: 75% of electricity demand growth will be covered by clean energy.
This report not only confirms the trend, but reaffirms that there is no turning back for change: the coal era is behind us, and the green energy revolution is consolidating.
II. Chile: a renewable leadership model in Latin America
Chile has positioned itself as one of the world leaders in energy transition. In 2024, the country reached a record 70% of its electricity generation from renewable sources. With an installed capacity of 36.6 GW, the Chilean matrix is mainly composed of:
30% of solar plants
20% of hydroelectric power plants
14% wind energy
In addition, Chile has firmly opted to battery storage, reaching 3,081 MW installed in this technology. This capacity allows efficient management of the intermittency of renewable sources and strengthens energy security.
This advance not only reflects a robust energy policy, but also positions the country as a strategic destination for international investment in green hydrogen, lithium and clean technologies.
III. Honduras: Renewable tender of 1,500 MW with international focus
Honduras announced in August a historic tender to award 1,500 MW of electricity capacity under long-term contracts. The process requires that at least 65% of this capacity come from renewable sources. Priority technologies include:
Photovoltaic solar energy with storage systems
Hybrid solutions with natural gas
This initiative seeks to strengthen the country’s energy security, reduce dependence on fossil fuels and attract foreign investment. Companies from Europe, Asia and America have shown interest in participating, which confirms Central America’s growing attractiveness in the global energy transition.
IV. Mexico: Wind energy as a lever for sustainable growth
In Mexico, the Secretary of Energy of the state of Chihuahua, Luis Aguilar, highlighted in his statement of August 30 that this is the key moment to bet on renewable energies. With significant wind potential, Mexico is preparing for a new wase of investments that could:
Generate thousands of green jobs
Increase access to international financing
Promote the creation of regional energy clusters
The country’s vision aligns with efforts to meet the climate commitments of the Paris Agreement and to decentralize energy development to benefit local communities.
V. Latin America and the Caribbean: 30% growth in renewable generation
According to the Latin American Energy Organization (OLADE), the Latin American and Caribbean region will increase its generation of unconventional renewable energy by 30% in 2024, in particular solar and wind. This advance will consolidate a matrix where clean energies represent 69% of total generation.
Among the main regional promoters:
Attractive regulatory frameworks
High solar irradiation and wind potential in strategic areas
Climate financing and international partnerships
The region is projected not only as a leader in clean generation, but also as an exporter of knowledge, technologies and critical raw materials such as lithium, copper and nickel.
VI. Global perspective: What does this mean for the planet?
The leadership of renewable energy over coal represents a profound change in the global energy architecture. Some key implications:
Accelerated decarbonization: A significant reduction in CO2 emissions in the electricity sector is expected.
Industry transformation: From turbine manufacturers to battery producers, the entire supply chain is being reconfigured.
Emerging opportunities: New jobs, technologies and business models are emerging in sectors such as green hydrogen and mass storage.
Regional empowerment: Developing countries are demonstrating that it is possible to grow economically with a clean and sustainable energy base.
VII. Investments, innovation and future: What’s next?
Global investments in renewable energy will exceed USD 2.5 billion in the next five years. The key technologies that will dominate the stage are:
Low-cost photovoltaic solar
New generation offshore wind
Long-lasting storage batteries
Electrolyzers for hydrogen production
Governments, companies and citizens are converging in a new consensus: the future is renewable. The 2030 and 2050 climate goals are increasingly achievable, provided that the current pace of transformation is maintained.
The world enters the green decade
What used to seem like an energetic utopia is now a concrete reality. The generation of clean energy has taken the lead over coal, marking the beginning of a new industrial and environmental era. From Chile to Honduras, from Mexico to the Caribbean, renewables are building a more resilient, inclusive and sustainable economy.
The message of August 30, 2024 is clear: the world is no longer moving towards the energy transition. The world is already in it.
About the medium: The New Energy Standard is an international intelligence center that informs, analyzes and connects the protagonists of the new energy economy. From finance to technology, our mission is to accelerate the transition to a sustainable and prosperous planet.
