The Obama administration is going south of the border on Wednesday to promote its clean energy agenda, calling for the creation of a never-before-seen transmission system to connect wind, solar and natural gas-fired electricity from Mexico to Panama.
“A larger, dynamic, and more competitive [regional electricity market], supported by robust national and regional transmission systems, is Central America’s best option for energy transformation, mobilizing investment and enhancing economic competitiveness,” a State Department task force report issued Wednesday reads.
The electric transmission system envisioned by the State Department eventually would lead to each country in the Caribbean and Central America being interconnected into one gigantic grid.
The goal is to allow for more renewable energy development in the region in an effort to end its dependence on oil and coal, according to the administration.
The task force report was issued ahead of Wednesday’s meeting among the U.S., Caribbean and Central American governments on the development of a hemispheric energy plan to move it away from dependence on Venezuelan oil.
The task force recommendations build upon a Central American transmission project already underway to link the countries together into one unified grid.
But a number challenges confront the project, including the potential for rolling blackouts if it’s not done right. Yet, despite the hurdles, the U.S. task force says there is room to double its efforts.
The report recommends that the region focus on removing the constraints, while simultaneously seeking to double the regional transmission system’s electricity capacity.
Bigger still, the task force wants to study ways to expand energy trade between Mexico and Central America. Experts say that would be a major feat, given the size and sophistication of Mexico’s electricity market compared to Central America’s.
The State Department’s special envoy on energy, Amos Hochstein, says he envisions a grid extending from Mexico to Colombia.