Promoting an environmentally friendly and inclusive energy transition

Context

Bolivia generates around two thirds of its electricity from natural gas. This dependence not only carries economic risks due to price fluctuations in the international energy market, but also presents environmental challenges in the form of rising greenhouse gas emissions. In addition, there are risks to long-term energy security, given the declining availability of gas as a source of electricity generation in the country.

Objective

Bolivia’s power supply is environmentally friendly and inclusive because the financial, operational and technical conditions in the power sector have been improved.

Approach

The project is funded by the German Federal Ministry for Economic Cooperation and Development (BMZ). It cooperates closely with the Bolivian Ministry of Hydrocarbons and Energy and the Vice-Ministry of Electricity and Renewable Energies. 
The project is implementing the following measures:

1. It integrates renewable energy into Bolivia’s power grids to reduce the country’s dependence on gas for electricity generation.
2. It promotes decentralised, environmentally friendly and inclusive power supply models.
3. It boosts energy efficiency in state institutions and the private sector.
4. It promotes electric mobility to reduce the transport sector’s dependence on gas and diesel.
5. It increases women’s involvement in the energy sector by fostering their leadership and decision-making potential.

To achieve this, the project develops technical capacity in the energy sector and the evolution of the national energy policy. It also develops alternative financing options.

Last update: March 2025