In 2024, Uruguay stands out as a leading example in the transition to clean energy, achieving a remarkable milestone by sourcing more than 94% of its electricity from low-carbon sources. This high proportion of sustainable energy is largely attributed to a balanced mix of hydropower, wind energy, and biofuels. Hydropower remains a major contributor to the country's low-carbon electricity, providing over 40% of the total. Wind energy, an increasingly dominant force, contributes more than a quarter, while biofuels add almost a similar portion. Despite these impressive figures, fossil fuels still account for a small fraction, just over 5% of Uruguay's electricity supply. Uruguay's role as a significant net exporter of electricity further highlights its impact beyond borders, helping to reduce emissions in neighboring countries. As the country continues its sustainable energy trajectory, the next challenge lies in electrifying various sectors such as transport, heating, and industry, which will demand even more electricity.
To meet the growing demand for electricity while keeping emissions low, Uruguay can enhance its low-carbon electricity generation by expanding its wind energy capacity. The country's success in harnessing wind energy can be seen as a solid foundation for further growth, especially given its substantial existing contribution to the electricity mix. Investing in more wind farms, alongside exploring potential synergies with emerging technologies like solar and nuclear, could ensure that Uruguay not only sustains but improves its green energy credentials. Emphasizing wind energy expansion, in particular, aligns with Uruguay's proven track record and current technological capabilities, positioning the nation as a forward-thinking leader in sustainable electricity generation.
Reflecting on the history of Uruguay's low-carbon electricity development, hydropower played a substantial role during the 1980s and 1990s. Significant growth was witnessed in the early 1980s and early 1990s, with notable increases in hydroelectric capacity, while some years saw declines due to variability in water availability. The late 1990s brought further expansions, but a decline occurred at the turn of the millennium. The early 2000s were marked by fluctuations, yet the end of the decade saw a resurgence, notably in 2007. More recently, the 2010s experienced a series of ups and downs, but emphasis on diverse low-carbon solutions helped stabilize the overall supply. By 2024, Uruguay experienced another notable increase in hydropower, continuing its legacy of sustainable energy leadership.