El Salvador is solidifying its position as a regional leader in renewable energy, with expectations to close the year with over 10% growth in the sector. This optimistic forecast was shared by Jorge Arriaza, President of the Salvadoran Association of Industrialists (ASI), during the opening of the eleventh Regional Energy Congress (Coren) 2024.

Arriaza highlighted the country’s successful balance between hydroelectric and geothermal power, coupled with thermal energy, as a key factor in its robust energy sector. «El Salvador is positioning itself very well in energy,» he noted. «We have achieved a significant balance that ensures stability and efficiency.»

The sector’s growth is attributed to a substantial boost in renewable energy investments. According to Arriaza, the Central Reserve Bank (BCR) reports a growth rate of around 10% in the energy sector, comparable to that of construction and tourism. Investments totaling approximately $3 billion are anticipated to drive continued progress, particularly in renewables.

Javier González, ASI’s energy manager, emphasized El Salvador’s remarkable achievement of covering over 70% of its energy demand with renewables, placing it among the top 20 countries globally. He underscored the country’s diversified energy matrix—40% hydroelectric, 30% geothermal, with additional contributions from other renewables and bunker—reducing the risk of energy rationing.

The inauguration also spotlighted the Metapán Wind Farm project, a government initiative expected to further diversify the country’s energy mix. Additionally, Arriaza expressed optimism about the potential development of nuclear energy in the medium term, referencing its resurgence in Europe.

Despite some recent declines in energy exports due to reduced rainfall, the ASI President remains confident about the sector’s trajectory. He projected a turnaround in the industrial sector, aiming for a 1% growth, and anticipates overall industrial growth to reach between 3% and 3.5% in the near future.

In conclusion, El Salvador’s commitment to renewable energy and strategic investments are setting a benchmark for the region, demonstrating impressive growth and stability in the energy sector.