The world stands at a critical juncture in the fight against climate change. The accelerated transition to clean energy is not just an option but a necessity to keep global temperatures from surpassing 1.5 degrees Celsius above pre-industrial levels. Few regions understand the stakes better than Latin American and Caribbean (LAC) countries.
LAC countries are among the most climate-vulnerable areas globally. In the past year alone, the region faced a destructive hurricane season, a deadly heat wave, and severe droughts that triggered acute water crises in Uruguay and disrupted hydropower production in nations like Ecuador. Moody's, the credit ratings agency, estimates that climate change could cost the region up to 16 percent of its GDP this century.
Despite these challenges, LAC countries hold immense potential to lead and propel the global renewable-energy transition. According to the International Energy Agency's first Latin America Energy Outlook, renewables, especially hydropower, already supply 60 percent of the region's electricity—twice the global average. Additionally, Latin America boasts some of the world's most robust wind and solar resources, providing ample room for further growth.
The region is also rich in critical minerals essential for the clean-energy transition, including more than half of the world's lithium reserves. Moreover, Latin America is well-positioned to become a leader in the production and use of green hydrogen, a key component in future sustainable energy systems.
Achieving a climate-safe trajectory requires radical, decisive, and immediate action. This includes global collaboration, strong political leadership, effective public-private partnerships, and well-designed regulatory frameworks. Investment is crucial—according to the IEA, Latin America must double its renewable-energy investment by 2030.
Such investment would have profound impacts: providing energy access to approximately 17 million people currently without electricity, averting 30,000 premature deaths through the adoption of clean cooking technologies, and creating one million jobs in clean-energy industries. However, the clean-energy transition also carries the risk of socioeconomic disparities, potentially leaving women, rural communities, and indigenous people behind. To ensure inclusive growth, climate initiatives must embed principles of justice and inclusivity.
With its vast renewable resources and strategic mineral reserves, Latin America is not just a participant but a potential leader in the global effort to combat climate change. By embracing inclusive and sustainable practices, the region can drive a clean-energy revolution that benefits both its people and the planet.
Reference(s):
cgtn.com
