Session Overview

During London Climate Action Week, we co-organised an event on the energy transition and sustainable growth in Latin America. The meeting brought together experts from think tanks, universities and public policy organisations to discuss how Latin America can integrate the energy transition into its sustainable growth strategies.

The speakers were Delfina Godfrid, Advisor to Nicholas Stern, Grantham Research Institute; Pau Morandi, Policy Fellow, CETEx; Dido Gompertz, Policy Advisor, E3G; Ana Julia Aneise and Elisabeth Mohle, both Researchers, FUNDAR; and Baptiste Albertone, Postdoctoral Researcher, TIDE.

The expert dialogue drew on recent research as a starting point for discussion, including the Grantham Research Institute’s and CETEx’s climate action landscape research, E3G’s analysis of international energy commitments, FUNDAR’s work on productive development opportunities in renewable energy value chains, and TIDE’s work on international cooperation for sustainable development.

The event was chaired by Delfina Godfrid, who opened by introducing the regional political and economic landscape

Insights from the dialogue

It was emphasised throughout that Latin America has significant opportunities in renewable energy, critical minerals, bioenergy, associated services and natural capital. However, these opportunities do not automatically translate into development. Capturing their value requires public policy, finance and strong institutions.

A key emerging message was that in Latin America, the energy transition cannot be treated solely as an emissions-reduction agenda. It must be viewed as a development one, with strategies tailored to the needs, capacities and constraints of each country. For the transition to be socially and politically sustainable, it must deliver tangible benefits, such as stronger productive capacity, better jobs, stronger value chains and accessible finance. Regional green-industrial cooperation can build scale, lower costs and avoid duplication.

During the expert dialogue, we explored how to achieve this in practice, discussing key solutions, examples and pathways for an energy transition that supports sustainable and resilient growth, and how to overcome the difficulties in doing so.

Pau Morandi highlighted that while financing remains a key bottleneck, climate events translate into inflation, deficits and lost growth
Dido Gompertz presented updated results from E3G’s analysis of NDC energy commitments
Ana Julia Aneise and Elisabeth Mohle (FUNDAR) introduced the ‘Renewables Diamond’ framework, which organises the drivers for adopting clean energy into four dimensions: energy insecurity, affordability, pressure for decarbonisation and production potential
Baptiste Albertone (TIDE) presented work on the regional coordination of green industrial policies, noting that these can amplify the region’s investment capacity, expand demand, lower production costs and exploit productive complementarities