LAC strengthens its electricity generation with a solid clean energy component and strategic backup

Latin America and the Caribbean (LAC) confirms its position as a global sustainability benchmark by closing December 2025 with electricity generation of 153 TWh. To put this figure into perspective, this volume of energy is equivalent to the monthly demand of approximately 50 million average households in the region, underscoring the magnitude of LAC’s electricity system.

Key technical data:

• Sustained growth of the electricity system: Regional generation reached 153 TWh in December 2025, with a year-over-year increase of 2.7%, consolidating a trend of moderate expansion in electricity consumption.

Greater use of thermal generation for backup: Given the monthly drop in hydropower (3%) and wind power (1%), an increase was recorded in thermal sources: coal (9%), natural gas (7%), and oil (5%), demonstrating their role in supply security.

Predominantly renewable matrix, but with operational pressure: The regional renewability index stood at 65%, confirming the leadership of clean energy, although with fluctuations associated with hydrological and climate availability.

Change in year-over-year generation dynamics: An increase in fossil generation is observed, led by oil and derivatives (7.4 TWh), together with gas and coal, while renewable sources such as solar (−5.7 TWh) and hydropower (−3.1 TWh) recorded declines, reflecting a greater short-term reliance on thermal sources.

Non-traditional renewable sources: Growth of 11% in nuclear generation and 10% in geothermal during the last month demonstrates opportunities in stable energy sources not dependent on weather conditions.

The value of energy security:

In the current scenario of climate variability and international uncertainty, the region has prioritized energy security: the ability to guarantee uninterrupted and affordable electricity supply under any circumstances.

Although the matrix is predominantly renewable, LAC uses a complement of thermal energy (mainly natural gas) that acts as a safety net.

Leadership in clean energy:
The breakdown by renewable sources is as follows:

Hydropower: Represents 43.9%, being the structural pillar of the region.
Wind Energy: With a contribution of 12.1%, it continues its expansion thanks to the reduction in technology costs.
Solar Energy: Reached 5.1%, driven by public decarbonization policies.
Other sources: Bioenergy (3.8%) and geothermal (0.5%) provide stability in areas with specific resources.

Full report: https://www.olacde.org/publicaciones/abril-2026-reporte-no-12-generacion-electrica-en-america-latina-y-el-caribe/

For more information contact:
Diana Soriano, Head of Communications
diana.soriano@olacde.org

 

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LAC strengthens its electricity generation with a solid clean energy component and strategic backup

Newsletter summary

Latin America and the Caribbean (LAC) confirms its position as a global sustainability benchmark by closing December 2025 with electricity generation of 153 TWh. To put this figure into perspective, this volume of energy is equivalent to the monthly demand of approximately 50 million average households in the region, underscoring the magnitude of LAC’s electricity […]

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