In 2023, Nicaragua's electricity consumption showcases a noteworthy balance between low-carbon energy and fossil fuels. More than half of the country's electricity, around 51%, arises from low-carbon sources, indicating a commendable commitment to clean energy. Notably, biofuels contribute approximately 16%, followed by significant shares from geothermal, hydropower, and wind, each representing more than 10% of the total electricity consumption. On the other hand, fossil fuels account for roughly 28% of the energy mix, underscoring the ongoing need for a shift toward greener energy to reduce negative impacts such as air pollution and climate change. Additionally, Nicaragua imports over 20% of its electricity to meet its consumption needs, highlighting an area for further domestic electricity generation enhancement.
Is Electricity Growing in Nicaragua?
Considering the growth trajectory of Nicaragua's electricity usage, there's a cause for cautious optimism. The average electricity consumption per person has modestly risen from 799 kWh in 2022 to 806 kWh in 2023, signaling an increase. However, this positive trend doesn't extend to the low-carbon segment, which has receded slightly from its high in 2021, dropping from 438 kWh per person to 413 kWh per person. The increase in overall electricity consumption reflects the growing demand, possibly driven by economic and technological advancements. Still, the slight decline in low-carbon electricity generation is concerning and suggests an opportunity and necessity for focused efforts to expand this sector to meet sustainability goals.
Suggestions
To bolster low-carbon electricity generation, Nicaragua can look into expanding its wind energy capacities, given its existing contributions to the energy mix. Learning from regions leading in wind and solar energy generation can offer valuable insights. Countries like Denmark and states like Iowa have achieved significant wind energy penetration, exceeding 50%, offering inspiring models for effective wind energy utilization. Additionally, embracing solar power could be a game-changer for Nicaragua. Lebanon and Greece showcase how solar energy can constitute more than a quarter of electricity generation, demonstrating its potential as a sustainable energy solution. Exploring nuclear energy as a powerful, low-carbon alternative is equally crucial, as regions like France have capitalized on nuclear energy to produce a majority of their electricity.
History
Over the years, Nicaragua's low-carbon electricity development has seen various transitional phases. In the 1970s and 1980s, fluctuations in hydropower were evident with periods of both growth and decline. A noteworthy shift occurred in the 1980s, with geothermal energy commencing its contribution to the grid. The turn of the century saw continued variation, particularly in hydropower, but since the early 2010s, significant advancements were made in geothermal and wind energy. Wind energy, in particular, has shown consistent growth, becoming a mainstay of the clean energy mix by 2018. This historical perspective underscores a pattern of progressive enhancement in low-carbon electricity production, though recent declines indicate the need for renewed focus and investment in sustainable technologies.
Electrification
We estimate the degree of electrification by comparing electricity and total energy emissions. More about methodology.