CARIBBEAN-Latin America and the Caribbean reach milestone in energy transition.

QUITO, Ecuador, CMC -The Latin American and Caribbean Energy Organization (OLACDE) says that while Latin America and the Caribbean (LAC) has reached a milestone in its energy transition, this rapid growth also presents critical challenges for the region.

In its latest report, OLACDE said that LAC has surpassed one million electrified light-duty vehicles for the first time and that as of June 2026, the region had registered 1,016,034 battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs), including 285,785 units added in the first half of the year alone.

It said that this represents exponential growth compared with the 17,541 units recorded in 2020.

OLACDE said the data points to a commercial turning point, with 10 percent of all light-duty vehicles sold in the region so far in 2026 being BEVs or PHEVs.

“Electric public transport is also expanding steadily. The regional fleet reached 10,685 electric buses, adding 967 units in just three quarters, an increase of nearly 10 percent in three months,” OLACDE said, adding that charging infrastructure is expanding alongside this growth.

It said that beyond decarbonization, the projected economic benefits for the LAC include estimated annual energy savings of US$26,210 per electric bus and US$2,240 per fully electric car.

“When extrapolated to the current fleet in operation, the net benefit to the region’s economies translates into US$1.519 billion in annual energy savings, equivalent to nearly US$4 million per day. This flow helps ease pressure on countries’ trade balances by reducing structural exposure to fluctuations in international gasoline and diesel prices.”

But OLACDE said that despite the positive figures, consolidating the electric mobility ecosystem will require accelerated expansion of charging infrastructure, robust planning of electricity distribution networks, and the development of competitive financing conditions.

It said these challenges will be at the heart of the first Regional Sustainable Mobility Summit to be held here on November 26, “as a strategic forum to strengthen regional cooperation and accelerate the transformation of the transport sector”.