Energy Sector

Colombia has a solid and well-established regulatory framework: Since 1994, 2 reforms (laws 142 and 143) were implemented aiming primarily to foster the private investment in the sector. This has translated into business opportunities for companies that have specific projects. In addition, currently the property of companies in the stages of generation and distribution is mainly from foreign companies.


  • Water resources for energy production represent 66.3% of the country´s energy matrix, followed by thermal with 28.9% and finally other smaller and co-generators with 4.8%.
  • Historically, the main source of power in Colombia is hydropower. In 2015, hydropower produced 42,463.8 GWh, followed by thermal energy with 20,631.2 GWh and other smaller and co-generators with 3,453.5 GWh.
  • In recent years, power generation in Colombia has shown a steady average growth of 3.2%. Between 2010 and 2015, power generation increased by 17%.
  • In 2015, Colombia reached its second highest growth in energy demand in the past 10 years (4.2%) with a consumption of 66,174 GWh.
  • The manufacturing industry was the largest user of energy, demanding 9,491 GWh, followed by mining and quarrying (4,637 GWh) and social, community and personal services with 1,809 GWh.
  • The actual net installed capacity in the NIS (National Interconnected System) is 16,420 MW. 

Investment Opportunities

  • Take part into structuring power generation projects registered with the Mining and Energy Planning Unit (UPME).
  • Participate in transmission projects awarded by the UPME.
  • Resources to enhance the expansions. Colombia has natural resources for power generation: water, coal and the possibility of gas in amounts that allow greater supply than that of the country's demand. "The hydropower resources inventory conducted in 1979, shows a potential in generation capacity of 93,085 MW". (Acolgen, the Expansion of Power Generation, 2012-2018)
  • Law 1715 of 2014 integrates non-conventional renewable energy to the national energy system. This law promotes the development and use of non-conventional energy sources (especially those from renewable sources), in the national energy system, establishes the legal framework and instruments for the use of non-conventional energy sources (FNCE for its acronym in Spanish), especially those from renewable sources, and creates tax incentives for the investment in this kind of projects.


  • Antioquia
  • Atlántico
  • Caldas
  • La Guajira
  • Tolima
  • Huila
  • Magdalena
  • Norte de Santander

Success Stories

  • Endesa (Spain): subsidiary of the Italian group Enel, acquired participation in Emgesa and Betania power generation companies with 2,895 MW of installed capacity.
  • Unión Fenosa (Spain): Union Fenosa bought Electricaribe and Electrocosta, and became the main power distribution and trading company in the north coast of Colombia.
  • AES (United States): subsidiary of AES Corporation (Applied Energy Services). Chivor is one of the country's largest generator with a total effective installed capacity of 1,000 MW.
  • Steag (Germany): The low-grade coal-red power plant Termopaipa in Paipa (Colombia) was the 1rst power plant abroad which was planned, financed and built by Steag

Advisers of Contact:

Carolina Rodríguez: Unites States of America, Canada and Latinoamerica.

Manuel Leiva: Europe, Asia and rest of the world.


At PROCOLOMBIA we cater to international companies, large enterprises and foreign government agencies interested in investment in Colombia.

Due to the nature of our activities, we do not attend to individual or personal investment requirements.

We suggest you review our Frequently Asked Questions on Investment in Colombia before you send us your inquiries.

If you are a corporate investor, please fill out our contact form.

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Proexport Colombia  is the bureau in charge of tourism, foreign investment and export promotion in Colombia.

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