The European Union is set to invest €4 million in Colombia to promote “unconventional” renewable energy projects after taking stock of a study carried out by the Development Bank of Central America (CAF). EURACTIV Spain reports.
Colombia will enjoy a large wad of European investment soon, after a CAF study evaluated the use of new energy sources to mitigate the effects of climate change.
According to an official statement by the Colombian government, alternative energy options that release fewer greenhouse gases have a big potential to reduce the impact of the electricity sector on climate change.
“We are working on promoting the development and use of non-conventional sources of energy, specifically renewable ones, as a necessary means to move toward sustainable economic development, reducing greenhouse gases and ensuring security of energy supply,” said Energy Minister Germán Arce.
CAF’s environment and climate change director, Ligia Castro, explained that the approval of this funding would allow the implementation of a “climate financing” mechanism in the Colombian energy sector and the passing on of benefits to other companies that generate renewable energy.
In other South America-EU news, Ecuador joined the bloc’s existing trade deal with Colombia and Peru. The agreement came into effect on 2 January on a provisional basis and is awaiting final approval from the member states.
The deal covers 99.7% of exportable agricultural products and 100% of Ecuador’s industrial and fish exports.