Colombia's I-REC market in 2024: diversifying and scaling

Colombia is reinforcing its market maturity. Our analysis of the 2024 vintage shows significant growth in redemptions and, for the first time, a generation mix that is starting to diversify beyond large-scale hydro.

A strong rise in market activity

Issuance grew a moderate 3.9% to 7,134,039 MWh, but redemptions surged 19.7%, reaching more than 6.3 million MWh. The gap between the two figures matters: it confirms that corporate users are increasingly active in securing renewable attributes to meet their climate targets, and that demand is growing faster than supply.

A major breakthrough for solar

The most significant change is in the generation mix. Solar power jumped from a marginal 0.1% of issuance in 2023 to 6.1% in 2024, with hydro accounting for the remaining 93.9%. Colombia's geography, rich in rivers and high-altitude watersheds, will keep hydro at the center of its electricity system, but the arrival of new registered solar devices is a vital step toward a more diverse and modern I-REC ecosystem.

Global and regional standing

Colombia holds its position as the 12th largest I-REC issuer in the world and the 5th in Latin America. Active installed capacity grew 16.6%, to 4,954.8 MW, and the number of registered devices rose to 17, eight more than the year before. Because Colombia's portfolio is anchored by long-established hydro plants, the average commercial operation date of the certificates issued remains in July 1991.

We also value the support of ECSIM as the local issuer, whose work remains essential for the successful growth of the Colombian market.

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What it means for buyers

Colombia offers reliable, hydro-based supply with growing liquidity, and buyers who prefer newer assets or solar technology now have an option they did not have a year ago. Local certificates still compete with I-RECs, so planning purchases early helps secure the right volume and technology.