Colombia prepares for sharp rise in LNG imports ahead of El Niño

Colombia's thermal power plants are gearing up to boost liquefied natural gas imports ahead of El Niño's expected arrival in August, which could deplete hydroelectric reservoirs. Alejandro Castañeda, director of Andeg, said the Spec terminal will run at full capacity to support the grid. The move aims to prevent blackouts during the dry season.

Fossil fuel power plants, mainly running on natural gas, currently supply 15% of Colombia's electricity. With El Niño forecast by the US Climate Prediction Center to emerge from August 1 and last through year-end, the country braces for drier conditions threatening hydroelectric generation, which meets two-thirds of demand.

Alejandro Castañeda, director of the Colombian Association of Energy Generators (Andeg), said thermal plants will ramp up to preserve reservoirs, now at 60% per XM SA and needing over 80% by August. Colombia imports 210 million cubic feet of LNG daily via the Spec terminal, with full 475 million capacity; Castañeda expects full operation from August for power plants.

Imports hit 2.06 million metric tons during the 2024 El Niño, dropping to 1.9 million in 2025. Two approved projects—Ecopetrol's in Buenaventura and Caribe LNG on the Atlantic coast—will add 60 million cubic feet daily from September. Castañeda called for incentives to cut household use and encourage industrial self-generation.

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Trade groups Andeg and Fenalcarbón stressed the need for long-term contracts and coal-fired thermal plants as backup for Colombia's power grid, with El Niño likely in the second half of 2026. Alejandro Castañeda, Andeg president, and Carlos Cante, from Fenalcarbón, warned of growing energy deficits and climate vulnerabilities.

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