Central America, an emerging market for photovoltaics.
Enerland expands across Central America. Thanks to the award of several solar projects, the company is entering a new emerging market for the development of energy infrastructure. We are entering El Salvador.
Through participation in tenders, the total capacity of the projects awarded to Enerland in this country amounts to 5.75 MWp.
Energy transition in El Salvador
El Salvador faces certain challenges from an energy perspective. On the one hand, it has energy demand that is highly dependent on petroleum derivatives for electricity generation and transport. On the other hand, the country's terrain results in a high level of isolation in certain areas. As a consequence, there are major difficulties in expanding the electricity distribution grid. Moreover, in many areas such expansion is neither economically nor financially viable.
These reasons make El Salvador an emerging market for photovoltaic development. Among the government’s long-term objectives is a plan to improve electricity infrastructure. Through a coalition with the private sector, the aim is to achieve greater efficiency in the distribution sector. In addition, energy management is also expected to improve through the implementation of more modern technologies.
The Inter-American Development Bank
The IDB is the main source of multilateral support for the countries of the Northern Triangle of Central America. It currently has a portfolio of 2.184 billion dollars allocated to investment in more than 51 projects across different sectors. Among them, we highlight energy, urban development and state modernisation.
Through the awarding of projects under the PPA model, the Salvadoran Government aims to renew the country's electricity infrastructure by backing a mix of photovoltaic and wind energy.