South America to Add 160 GW Solar by 2034

• South America's solar surge: 160 GWdc by 2034, emerging markets shine as mature ones slow, positioning the region as a global solar powerhouse.

South America is expected to install 160 GWdc of solar photovoltaic capacity from 2025 to 2034, driven by growth in emerging markets. This expansion is highlighted in a report by Wood Mackenzie, which notes the region's increasing focus on renewable energy sources.

The report also points out that while emerging markets in South America are experiencing growth, mature markets are facing a slowdown due to grid limitations. This shift underscores the region's potential to become a significant player in the global solar energy landscape over the next decade.

How Will Emerging Markets in South America Drive Solar Growth Despite Grid Limitations?

• Government Incentives and Policies: Emerging markets in South America are implementing favorable policies and incentives to attract solar investments, such as tax breaks, subsidies, and streamlined permitting processes.
• Abundant Solar Resources: The region benefits from high solar irradiance levels, making it an ideal location for solar energy projects, which can drive growth despite grid limitations.
• Decentralized Energy Solutions: Off-grid and microgrid solar solutions are being developed to bypass traditional grid limitations, providing energy access to remote and underserved areas.
• International Investment: Increased interest from international investors and companies looking to capitalize on the region's solar potential is driving growth and innovation.
• Technological Advancements: Adoption of advanced solar technologies, such as bifacial panels and energy storage systems, is helping to overcome grid challenges and improve efficiency.
• Local Manufacturing and Job Creation: Growth in the solar sector is leading to the establishment of local manufacturing facilities and job creation, further stimulating economic development.
• Regional Collaboration: Countries in South America are collaborating on cross-border energy projects and sharing best practices to enhance solar infrastructure and grid integration.
• Public Awareness and Support: Growing public awareness and support for renewable energy are encouraging governments and private sectors to prioritize solar energy development.
• Energy Security and Independence: Solar energy is seen as a way to reduce dependence on fossil fuels and enhance energy security, driving investment in solar infrastructure.
• Climate Change Commitments: National commitments to reduce carbon emissions and combat climate change are pushing countries to invest in renewable energy sources like solar power.