Open AccessIncentives for Renewable Energies in Colombia
Author(s) -
Fernando Villada,
Juan D. Saldarriaga-Loaiza,
Jesús M. López-Lezama
Publication year - 2021
Publication title -
renewable energy and power quality journal
Language(s) - English
Resource type - Journals
ISSN - 2172-038X
DOI - 10.24084/repqj19.203
Subject(s) - cost of electricity by source , incentive , depreciation (economics) , renewable energy , work (physics) , environmental economics , business , government (linguistics) , natural resource economics , economics , electricity generation , economic growth , engineering , microeconomics , mechanical engineering , power (physics) , linguistics , physics , philosophy , capital formation , quantum mechanics , financial capital , electrical engineering , human capital
This work analyses the potential effects of the incentives for renewable energies approved in Colombia by two main acts. A methodology involving adjustments for tax reductions and accelerated depreciation is used to evaluate the Levelized Cost of Electricity (LCOE) for the four main clean energy resources available in Colombia. The results show important reductions in the LCOE specially, under the act approved in the development plan of the new government, where the LCOE of three technologies is below the grid parity.