The International Renewable Energy Agency (IRENA) and the Latin American Energy Organization (OLADE) will strengthen relations to place the energy transformation powered by renewables at the heart of Latin America and the Caribbean economic recovery following the COVID-19 outbreak.

Speeding up sustainable energy production could provide a long-term strategy for the Latin American region to tackle social disparities, access to electricity and energy security.

Renewables will also fuel the growth of renewable energy usage in the industrial, agricultural, manufacturing and transportation sectors, thus reducing the region’s carbon emissions by 21 percent by 2030 compared to today’s rates, leading to global decarbonization efforts in line with the Paris Agreement.

Under IRENA’s Global Renewables Outlook, accelerating the transition led by renewable energy in Latin America and the Caribbean could generate more than three million jobs across the region by 2050, while offering economic returns ranging from $3 to $8 per dollar invested in the transition of energy.

Between now and the mid-century, investment needs in the region are estimated at USD 45 billion a year–an improvement of more than 10 percent over current plans and policies.

“It is our core priority to help OLADE member countries improve energy access and security of energy supply in socially, technically and economically convenient conditions, promoting the incorporation of clean energy resources and efficient technologies. It is in this context, strengthened collaboration between OLADE and IRENA can support the achievement of deeper energy transitions in the region, accounting for a diverse set of national circumstances and in line with the sustainable development objectives.”

Alfonso Blanco Bonilla, executive secretary of OLADE.

“We stand together with OLADE in ensuring there is collective regional recognition of the socio-economic potential of a green recovery built around the energy transformation. While the region is diverse, all countries within it seek to benefit from higher shares of renewables, from enhanced energy security and lower system costs to widespread job creation, improved health and economic growth. The decisions made by policymakers today must seek to build a future of stability and prosperity, rather than prolong the unsustainable systems of the past.”

Francesco La Camera, director-general of IRENA.