In 2023, electricity consumption in Nicaragua demonstrates a notable reliance on low-carbon energy sources, which contribute to just over half of the country's electricity generation. Specifically, these clean energy sources include biofuels at around 16%, geothermal energy at almost 13%, hydropower close to 12%, and wind energy at more than 10%. Fossil fuels, while still significant, account for just over a quarter of the electricity supply. Additionally, net imports make up roughly a fifth of the country's electricity consumption. This presents a balanced energy profile with a commendable focus on sustainable energy, although there is room to improve as fossil fuels are still a substantial part of the mix.
Data sources used on this page include Ember, IEA and World Bank. More about data sources →
Is Electricity Growing in Nicaragua?
Electricity in Nicaragua is experiencing a slight growth, with the latest consumption figures for 2023 showing an increase to 806 kWh per person, up from 799 kWh per person in 2022. This increase, although modest at 7 kWh per person, indicates a positive trend in meeting the growing demand for electricity. However, the supply of low-carbon electricity per person has seen a decrease, with the latest numbers at 413 kWh per person, down from the previous high of 438 kWh per person recorded in 2021. This dip is concerning, as it highlights the need for growth and expansion in low-carbon electricity generation to sustain long-term environmental benefits and ensure that clean electricity can keep pace with total consumption growth.
Suggestions
To advance its low-carbon electricity generation, Nicaragua could focus on enhancing its existing wind energy capacity, which already forms a significant part of its clean energy mix. Looking at global examples, Denmark and Iowa demonstrate the power of wind energy, generating 60% and 58% of their electricity from wind, respectively. Furthermore, the expansion of nuclear and solar energy should be considered, inspired by countries like France, which generates 67% of its electricity from nuclear energy, and states like California, where solar represents 31% of the electricity mix. By learning from these successful regions, Nicaragua can aim to diversify its clean energy portfolio and improve its reliance on sustainable, low-carbon sources.
History
Historically, Nicaragua has experienced fluctuations in its low-carbon electricity generation. Since the early 1970s, hydropower showed gradual developments with both increases and declines in production. Significant events include slight growth in the early '90s and around 2008-2010. The 2010s saw increased investments in geothermal and wind energy with marked growth in 2012 and again in 2013 and 2014. There were brief declines, such as in wind energy in 2016 and hydro in 2019, but also periods of recovery like the later part of 2020 and increases in biofuels in 2021. This historical pattern underscores the importance of continuous investment in diverse low-carbon technologies to stabilize and expand clean electricity generation.
