The International Renewable Energy Agency (IRENA) has launched a new regional cooperation platform aimed at accelerating renewable energy deployment and investment across Latin America and the Caribbean, where renewables already account for around two-thirds of electricity generation.

The Partnership for Accelerating Renewables in Latin America and the Caribbean (PARLAC) was launched in Santo Domingo, Dominican Republic, during a Global High-Level Forum on Energy Transition co-chaired by Joel Santos, the Dominican Republic’s Minister of Energy and Mines and current President of the IRENA Assembly, and IRENA Director-General Francesco La Camera.

The initiative seeks to bridge the gap between countries’ energy transition ambitions, planning and implementation by helping governments translate long-term strategies into practical projects and investment programmes that deliver socioeconomic benefits.

PARLAC will support regional cooperation on renewable energy technologies and electrification, complementing existing initiatives such as the SIDS Lighthouses Initiative.

As a platform for IRENA member states, it will coordinate action with strategic partners and promote national, regional and cross-border energy transition projects.

During the launch, IRENA and the Dominican Republic government signed a Letter of Intent to strengthen cooperation on energy transition, focusing on policy planning, investment facilitation and knowledge sharing.

Mobilising private capital remains a key challenge for the region, despite its abundant renewable energy resources and significant potential for further deployment.

IRENA estimates that decarbonising Central America’s power system will require approximately $3.5 billion in annual investment through 2050, covering renewable generation, transmission, distribution and related infrastructure.

In South America, achieving the Paris Agreement’s climate objectives would require around $500 billion annually in energy projects and end-use applications over the next 25 years, according to the agency.

Meanwhile, Caribbean countries may need approximately 4 gigawatts of additional renewable energy capacity and $9 billion in investment to meet the ambitions outlined in their national climate plans.

The investment requirements highlight the scale of financing needed to expand renewable generation, modernise electricity networks and support wider electrification across the region.

To address these challenges, IRENA and the Dominican Republic’s Ministry of Energy and Mines also hosted the first Central America and the Caribbean Energy Transition Investment Forum in Santo Domingo.

The event took place alongside the OLACDE Energy Minister Meeting and Energy Week.

The forum aimed to strengthen engagement between governments, investors and other stakeholders, helping identify opportunities to finance renewable energy projects and accelerate implementation.

Through PARLAC, IRENA aims to strengthen regional coordination, facilitate investment and support countries in turning renewable energy potential into concrete development opportunities, while advancing broader energy transition and climate objectives across Latin America and the Caribbean. -OGN/TradeArabia News Service