Colombia awards 1,546.9 MW of solar capacity in firm energy auction for 2029–2030

From pv magazine Latam

The Firm Energy Obligations (OEF) auction, convened by Colombia’s Energy and Gas Regulatory Commission (CREG) through Resolution 101 079 of 2025 and administered by XM, the Colombian system operator responsible for running the country’s electricity system and wholesale market, awarded 4,069.7 MW of new net effective capacity for the period from December 1, 2029, to November 30, 2030.

Of this total, 1,546.9 MW corresponds to solar generation, 246 MW to wind power, and 2,276.8 MW to thermal plants.

A total of 85 generation plants participated in the auction, of which 77 were awarded OEF allocations. These include 29 solar, 24 hydroelectric, 22 thermal and two wind plants. The total awarded volume reached 143,011,373 kWh/day of firm energy.

According to official results published by XM, solar allocations were distributed among new plants, projects with prior OEF allocations and existing power stations. Developers with the largest presence include ERCO Generación, Enel Colombia, Celsia, AES, and several other PV-focused companies.

Among new solar plants without prior OEF allocations, notable projects include Puertos de Santander, with 992,744 kWh/day awarded; Yariguíes (200 MW, ERCO Generación), with 766,835 kWh/day; Ariguaní (200 MW, Xuenergy FV), with 614,159 kWh/day; and Bosques Solares de los Llanos 8, with 579,713 kWh/day. Also featured are Parque Solar Córdoba (200 MW, formerly Sahagún, Celsia), with 519,000 kWh/day; La Ponderosa, with 400,499 kWh/day; Wimke, with 375,818 kWh/day; and Andes Solares (85 MW, ERCO Generación), with 326,544 kWh/day.

The list also includes projects such as La Achira, Pacandé and La Zurumba, all awarded under the group of plants with lower variable costs (PCVI), a category that accounted for all solar allocations.

Among projects with prior OEF allocations or previous awards are Puerta de Oro, with 852,329 kWh/day; Melgar Photovoltaic Solar Park (180 MW), with 475,379 kWh/day; Atlántico Photovoltaic (199.5 MW, Enel Colombia), with 435,646 kWh/day; Barzalosa (100 MW), with 260,550 kWh/day; Bosques Solares de los Llanos 6, with 181,044 kWh/day; El Campano, with 142,815 kWh/day; and Valledupar Solar Park (Enel Colombia), with 130,416 kWh/day.

The auction also awarded OEFs to several existing solar plants, including Guayepo, with 712,900 kWh/day; Guayepo III, with 588,147 kWh/day; Fundación, with 480,268 kWh/day; Latam Solar La Loma, with 317,221 kWh/day; Shangri La (Isagen), with 273,031 kWh/day; Tepuy Solar Park (EPM), with 217,604 kWh/day; El Paso, with 216,460 kWh/day; La Unión, with 182,388 kWh/day; La Mata, with 119,394 kWh/day; and Urrá Solar Park, with 32,988 kWh/day. Although solar accounted for nearly 38% of the newly awarded capacity, its share of total allocated firm energy stood at 7.7%, equivalent to 11,064,934 kWh/day. This discrepancy reflects the design of Colombia’s reliability charge mechanism, which remunerates the ability to deliver energy under stressed system conditions and tends to favor technologies with higher operational firmness.

For this auction, CREG applied the framework defined in Resolution 101 066 of 2024, featuring two clearing prices differentiated by variable generation costs. The clearing price for plants in the lower variable cost group (PCVI) was $0.022/kWh, while the price for the higher variable cost group (PCVS) was $0.0164/kWh. XM administered the process using a sealed-bid mechanism, with the external audit conducted by RSM Colombia Auditores.

XM reported that the next stage of the process includes submission of fuel supply contracts or performance guarantees by winning companies on August 6, 2026, followed by issuance of OEF certificates on September 14. The external audit of the auction was conducted by RSM Colombia Auditores.

This auction follows the one held last year, when three reconfiguration auctions for OEF purchases covering the 2025–2026, 2026–2027 and 2027–2028 periods were conducted in March. In those auctions, 7.6 GWh/day, 6.4 GWh/day and 7.5 GWh/day were allocated, respectively, across a total of 74 plants, comprising both existing facilities and projects under construction. Of these, 37 are photovoltaic, of which 13 are under construction, while the remainder includes 24 hydroelectric and 13 thermal plants, all in operation.