Clean Energy in Latin America: Are the Grids Prepared for the Transition?

Clean Energy in Latin America: Are the Grids Prepared for the Transition?

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2 de October de 2025

Global demand for clean energy is growing rapidly, with Latin America standing out among the regions with the greatest potential for the expansion of renewable sources. In this context, it is essential to assess whether the infrastructure of Latin American electricity grids is prepared to safely support this transformation.

In the new episode of “Inside PSR,” Amanda Fernandes and Julia Spiegel, from PSR’s Networks department, discussed the main findings of the “Grid Indicators Latin America” study. During the conversation, the experts discussed in depth the performance of electricity grids across five fundamental dimensions: reliability, quality of service, share of renewables in the mix, access to energy, and sectoral governance. During the discussion, significant advances were highlighted, such as Brazil’s leading role in renewable generation, as well as the challenges that still need to be overcome to ensure a safe and sustainable energy transition.

Main Findings of the Grid Indicators Latin America Study

The report analyzed five critical pillars for the electricity sector:

  • Grid reliability;
  • Quality of service provided;
  • Share of renewables in the energy mix;
  • Population access to energy;
  • Sectoral governance.

Among the most significant results, Brazil’s performance stands out, reaching 91% of its electricity generation from renewable sources in 2024, consolidating its position as a regional leader in the energy transition process.

Challenges for the electricity grids in the energy transition

Despite the progress, the study indicates that transmission and distribution infrastructure still faces challenges due to the growth in demand and renewable generation. Among the main points:

  • Curtailment (generation cuts): already present in several countries analyzed, limiting the use of the full potential of renewable sources;
  • Need for grid expansion: without continued investment, bottlenecks can compromise supply security;
  • Regional energy integration: Policies that promote flexibility, digitalization, and grid modernization will be fundamental.

The path to a more sustainable electricity grid

The report highlights that Latin America needs to accelerate its investments in electricity infrastructure to ensure a future of clean, reliable, and affordable energy.

Grid modernization must be understood not only as a technical challenge, but as a strategy to strengthen energy security and reduce emissions.

The full video about the study is available here.