Presentation of a study regarding the challenges and opportunities of the energy sector in the region

(Montevideo, October 31, 2013). CAF, Development Bank of Latin America, together with several regional organizations, participated in the presentation of the study  "Energía: una visión sobre los retos y oportunidades en América Latina y El Caribe" (Energy: a view of the challenges and opportunities in Latin America and the Caribbean), held at the ALADI headquarters. This is a first step in the project "Informe Energético Sectorial: Hacia una Agenda Energética Compartida" (Sectorial Energy Report: Toward a Shared Energy Agenda).  

The report, promoted and financed by CAF, Development Bank of Latin America, is the result of a joint work effort between the Latin American integration Association (ALADI, for its acronym in Spanish), the Regional Association of Oil and Natural Gas Companies in Latin America and the Caribbean  (ARPEL, for its acronym in Spanish), the Economic Commission for Latin America and the Caribbean (ECLAC), the Regional Energy Integration Commission (CIER, for its acronym in Spanish), the Organization of American States (OAS), the Latin American Energy Organization (OLADE, for its acronym in Spanish), the World Energy Council (WEC), and CAF. 

The opening was in charge of the Secretary General of the Latin American Integration Association (ALADI), Carlos Alvarez, who explained that this is a "key and strategic subject for the region, and having public and private actors working together in the region is a very important step.  It is a significant event to have been able to develop a diagnosis of the situation in the sector throughout the region, to advance in energy integration in Latin America, as energy is very important for development, and contributes to the integration process". 

At the same time, Hamilton Moss, Energy Vice-President at CAF, explained that CAF promoted this report because "we are a financing bank, but we also generate knowledge". He emphasized the need to think in the long term, because "in the subject of energy, you cannot improvise; it is not enough to produce energy, as society needs to be able to pay for it and have access to the services". He also highlighted the need to achieve a public-private alliance to be able to implement the energy agenda and advance toward a regional energy integration, which is a pending subject in Latin America, and one of the greatest challenges". 

Later, the National Director of Energy from Uruguay, Ramon Mendez, pointed out that "Latin America is extremely rich in energy, but the challenge is to be able to use those riches to benefit our people". In order to do so, "energy integration is essential, and adequate public policies together with the joint work from public and private actors are necessary to advance in this subject".  

The study includes a diagnosis of the current state of the energy sector in the region, as well as the identification of the challenges and opportunities in energy, based on a vision of Latin America toward the world. In its preparation, studies carried out by the organizations involved and by other institutions regarding this matter were taken into consideration. The focus used was comprehensive and systemic, including not only the balance of the supply and demand for energy in the countries of the region, but also all the elements connected to economic, social, environmental, technological, and institutional aspects which are necessary to consider when identifying areas, actions, and tasks, and to build a Working Energy Agenda for the institutions involved in Latin America and the Caribbean. 

The complete report may be downloaded here