Catalyzing private investment in Waste to Energy Projects in Colombia

On November 28-29, GGGI organized a series of workshops in Bogota on November 28th and 29th, as part of the Ministry of Mines and Energy (MME) and the Energy Planning Unit (UPME) efforts towards the development and commercialization of waste to energy projects in the country. The event gathered government representatives, financial institutions, project developers and industry associations to discuss how to promote waste to energy projects for the sustainable development of Colombia and the implementation of Colombia´s National Determined Contribution for GHG mitigation.

The workshops allowed for the socialization of preliminary results from the study “Innovative business models and financing mechanisms to catalyze private investment for waste to energy projects in Colombia”. The project is financed by the Federal Ministry for Economic Cooperation and Development (BMZ) of Germany and is implemented under the NDC partnership program. GGGI oversees the project in close collaboration with MME and UPME. The analysis was commissioned after resolution 240/2016 establishing the conditions for the production and commercialization of biogas and biomethane in Colombia. The study focuses on the assessment of potential business models applicable to waste to energy projects in the country, taking into account market, financial, regulatory and technological conditions of Colombia for three priority bio-residue sectors, namely municipal waste, palm oil effluents and poultry litter.

The project is part of GGGI’s support to the Government of Colombia and is aimed to inform the MME strategy to commercialize residual biomass waste to energy projects in the country, providing the basis for the development of bankable projects. The outcome of the analysis, expected by the end of January 2018, will serve as reference to the development of strategies to meet Colombia’s NDC targets, enabling access to international climate finance and private sector involvement.

“The support provided by the Global Green Growth Institute, ENEA Consulting and Arup in the development of business plans for waste-to-energy valorisation of biomass residues is a direct contribution to the Government of Colombia’s sustainability targets and in line with the country’s development plan (Law 1715/2014, CONPES 3874/2016 and CREG 240 /2016)”,  said Hector Herrera, UPME, Ministry of Mines and Energy.