The New Colombian Subsidy Scheme for Off-Grid Domestic PV

0
67

The Colombian energy ministry has announced proposals on the rollout of domestic PV for poorer and grid- isolated municipalities in Colombia. Interested parties have until the 3rd of April to table their recommendations for the subsidy scheme aimed to offset O&M costs of small scale PV across the non-interconnected regions.

What is the plight of residents in the off-grid domestic PV?

The non-interconnected zones are across the less developed Amazon basin and Pacific coast. The areas have turned out to be expensive for power producers to service the residents as they use little energy. The residents have turned to the use of liquid fuels for electricity purposes since they can’t afford to pay the enormous amounts required by power producers.

What are the remedies to the power situation in the non-interconnected Colombian zones?

The remedies to the resident’s plight are the introduction of subsidies reflecting the level of household income production estimates in kWh and the reference tariffs by the location of the resident. The draft legislation will assist in reducing the carbon emissions in the non-interconnected zones by providing their required energy demand.

The proposals come at a time when the government plans at propping up the utility scale of renewable projects. The move aims at boosting the installed capacity to 1.5GW from the current 50MW.

According to reliable sources, the PV developers, Enel and Emgesa won a contract for the production 238MW in the reliability charge auction of 4.1GW. The agreement was signed earlier in a move to guarantee power supply of the country’s hydro-reliant power system during the drought season.

The government’s move of pulling out the plug in February amid concerns has seen plans by the majority of bidders on renewable auction thwarted. The bidders were expected to sign contracts of the country’s first large-scale 1.183GWh production of renewable energy.

LEAVE A REPLY

Please enter your comment!
Please enter your name here