Argentina Renewable Energy Market Overview, 2030

In recent years, Argentina has made considerable progress in cultivating its renewable energy sector, motivated by its abundant natural resources and the worldwide demand for clean energy. The nation’s renewable energy market is varied, with significant inputs from wind, solar, hydropower, and bioenergy. Argentina is striving to boost its renewable energy capacity as part of its dedication to lowering carbon emissions and attaining energy independence. Traditionally, Argentina’s energy composition has been largely dependent on fossil fuels, especially natural gas, and hydropower, which has consistently comprised a significant portion of the country's electricity production. Nevertheless, by the 2000s, Argentina encountered numerous challenges, including a growing energy deficit, environmental issues, and the requirement for energy diversification. Consequently, the government began to redirect its attention towards renewable energy. In 2015, Argentina made a substantial advancement with the enactment of the Renewable Energy Law (Law 27,191), which established a goal for renewables to account for 20% of the nation’s energy mix by 2025. This legislation set the stage for the swift advancement of the renewable sector, encompassing auctions for wind, solar, and other clean energy initiatives. The law also offered appealing incentives such as tax exemptions and subsidies for producers of renewable energy. The launch of the RenewAr Program in 2016 further sped up Argentina’s renewable energy expansion. The program initiated competitive bidding methods, permitting private firms to compete for renewable energy projects, leading to a boom in investment, particularly in wind and solar energy. By the 2020s, Argentina had emerged as one of the leading countries in Latin America in terms of wind power capacity, and the nation’s solar energy industry has also experienced rapid acceleration. Argentina is currently concentrating on enhancing its renewable energy framework, tackling grid integration challenges, and drawing in additional investment in wind, solar, and bioenergy technologies. With its plentiful renewable resources and strong governmental backing, Argentina is set to become a significant participant in the global renewable energy transition.

According to the research report, "Argentina Renewable Energy Market Overview, 2030," published by Bonafide Research, the Argentina Renewable Energy market is expected to reach a market size of more than USD 10.14 Billion by 2030. Argentina offers remarkable opportunities for the development of renewable energy, especially in areas such as wind, solar, and bioenergy. The nation is endowed with plentiful natural resources, featuring some of the finest wind and solar conditions globally. The Patagonian region showcases strong wind speeds, rendering it suitable for extensive wind farms, whereas northern Argentina benefits from high solar irradiation, ideal for solar energy. Bioenergy holds promise as well, especially from agricultural waste and the robust biofuel industry. Argentina's dedication to decarbonizing its energy sector introduces opportunities for foreign investment in these areas, along with the possibility of exporting renewable energy. The ongoing pledge from the government to reach its renewable energy goals (20% by 2025) further boosts growth potential in the sector. In spite of its potential, Argentina encounters various challenges in its renewable energy transition. One significant hurdle is economic instability, which can impact investment and financing for renewable energy initiatives. Although the government offers incentives and supportive policies, factors like inflation, currency devaluation, and political unpredictability can render long-term investment more hazardous. Grid integration also poses a challenge as the national electricity grid lacks the capability to accommodate the fluctuating nature of renewable sources such as wind and solar. Moreover, infrastructure bottlenecks, including slow permitting processes and inadequate transmission networks, can postpone project execution. Argentina’s growth in renewable energy is propelled by favorable governmental policies, such as the Renewable Energy Law and RenewAr Program, which stimulate investment and competition. The declining costs of renewable technologies, particularly wind and solar, render them progressively appealing. International collaborations and funding also support growth, as Argentina draws foreign investment in renewable energy endeavors. Argentina’s renewable energy sector started to see significant expansion following the 2015 Renewable Energy Law.

Argentina's renewable energy sector is varied, featuring substantial contributions from hydropower, wind power, solar energy, bioenergy, and developing technologies such as geothermal. Each of these energy sources is vital to the nation's endeavors to lower carbon emissions and broaden its energy sources. Historically, hydropower has served as the foundation of Argentina's electricity generation, representing a considerable portion of electricity production. The country boasts plentiful river systems and numerous large hydropower facilities, including Yacyretá and Salto Grande, located mainly in the southern and central areas. Nevertheless, the potential for growth in hydropower is somewhat constrained due to ecological issues, land usage complications, and the necessity for fresh investments in infrastructure. The role of hydropower in the energy mix is anticipated to stabilize, with a heightened emphasis on alternative renewable sources to enhance it. Wind power has arisen as one of the quickest expanding segments in Argentina's renewable energy sector. The Patagonian region presents some of the finest wind resources worldwide, establishing it as an optimal site for expansive wind farms. Argentina's wind energy capacity has grown considerably in recent years, fueled by government incentives and competitive bidding practices. With initiatives like the Güemes Wind Complex and many other projects underway, wind power is projected to become a pivotal aspect of Argentina's renewable energy outlook. Argentina benefits from elevated levels of solar radiation, especially in the northwestern and northeastern regions. The nation has witnessed a boom in solar energy investments, particularly regarding large solar farms. The Cauchari Solar Plant, one of the largest in South America, exemplifies the increasing significance of solar energy. Argentina's solar market continues to grow, as both residential and commercial installations experience enhanced uptake owing to reduced technology prices and supportive government incentives. Bioenergy stands as another vital renewable energy source in Argentina, mainly through biofuels and biomass. Argentina is a world leader in biofuels, particularly ethanol, generated from corn and sugarcane.

Argentina's renewable energy market is progressing with considerable input from the industrial, residential, and commercial sectors. Each sector is essential for the nation's shift toward a more sustainable energy framework. The industrial sector in Argentina is a significant energy consumer, especially in energy-demanding industries like agriculture, manufacturing, and mining. As energy prices rise and environmental issues become more pressing, many industrial entities are opting for renewable energy sources to lower costs, enhance sustainability, and comply with regulatory standards. Biomass energy, particularly sourced from agricultural byproducts, is commonly utilized in rural industries, while larger manufacturing and mining enterprises are increasingly embracing wind and solar power solutions. The government's RenewAr Program and additional incentives are promoting the industrial uptake of renewable energy technologies. Additionally, large-scale energy consumers are investigating power purchase agreements (PPAs) with renewable energy providers to obtain long-term, economically viable clean energy contracts. The residential sector in Argentina is experiencing steady growth in renewable energy adoption, especially through solar energy. Argentina enjoys high levels of solar radiation, particularly in the northern and northwestern regions, making solar energy a compelling choice for homeowners. Government incentives, including subsidies and tax exemptions, have facilitated the expansion of residential solar installations. Numerous homeowners are installing rooftop solar panels to lower electricity costs and decrease dependence on the national grid. The emergence of solar storage solutions, such as batteries, further improves energy autonomy, enabling households to retain excess energy for use during peak demand times or at night. In the commercial sector, enterprises throughout Argentina are increasingly embracing renewable energy to decrease operational expenses and enhance sustainability profiles. Major retailers, office buildings, and hotels are placing solar panels on rooftops to power their operations and boost energy efficiency. The utilization of wind energy is also on the rise, especially in the southern areas of the country where wind resources are plentiful.


Considered in this report
• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030



Aspects covered in this report
• Renewable Energy Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type
• Hydropower
• Wind Power
• Solar Energy
• Bioenergy
• Geothermal
• Others

By End-User
• Industrial
• Residential
• Commercial

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to agriculture industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.