Colombia to replace subsidies with solar for 1 million low-income households
Colombia will equip more than 1 million low-income households with solar systems to replace subsidies, cut bills and add capacity to the grid.
The Colombian government has launched a new program to help low-income households deploy PV systems.
The Colombia solar scheme aims to enable vulnerable households to self-generate basic consumption with PV systems, reduce tax burdens, and add new solar capacity to the grid.
Partial electricity subsidies will be progressively replaced by self-generation systems. Users of both the National Interconnected System (SIN) and Non-Interconnected Zones (ZNI) will be eligible. The Ministry of Mines and Energy will prioritize beneficiaries to ensure transparency and equity.
Government projections show households could save 20% to 40% on electricity bills, depending on solar radiation and the technology installed. The program will also support the Solidarity Fund for Subsidies and Income Redistribution (FSSRI), which currently allocates more than COP 4 trillion (about $1 billion) each year to subsidies.
In the medium term, more than 1 million users in the Caribbean and other regions will benefit from pilot plans. The program will deliver tariff savings, increase family energy independence, cut CO₂ emissions, and support the clean energy industry.
Minister of Mines and Energy Edwin Palma Egea said the decree aims to replace recurring costs with permanent solar investment. “We are stopping spending billions on subsidies that evaporate every month to invest in solutions that lower the rates for the poorest and make the sun a right within everyone’s reach,” he said.
Official figures show 11.2% of Colombia’s electricity now comes from clean sources such as solar and wind, up from less than 2% five years ago. The government’s 6 GW Plus Plan targets 21% clean power by 2027, adding several gigawatts of new capacity.
Colombia installed 1.6 GW of solar in 2024, bringing total capacity to 1.87 GW.
Original source: PV Magazine
