Energy markets in Latin America and the Caribbean face a critical challenge: mobilizing private capital to finance the transition to clean energy. While countries like Chile, Barbados, Colombia, and Brazil have implemented innovative mechanisms—such as renewable energy auctions and green bonds—structural barriers persist: legal instability, the absence of risk mitigation instruments, and a lack of regional coordination on standards. How is the private sector adapting its investment and operating strategies to balance profitability with the urgency of accelerating the energy transition, considering the region's conditions? What reforms should the region implement to attract sufficient financing for the development of a secure, resilient, and affordable energy system?
