Renewable Energy Sector Progress in 2025: A Transformation Underway
The year 2025 marks a crucial turning point for the development of the global energy sector and for countries that have committed to the transition to clean energy sources, such as the Dominican Republic.
Globally, renewable energy is, in many cases, surpassing fossil fuels in electricity generation. For example, in the first half of 2025, global renewable energy (wind and solar) surpassed coal generation for the first time in some markets, according to international reports .
Competitiveness of clean energy
This shift is driven by recent optimization models showing that investment in solar photovoltaics (PV) and storage is becoming increasingly competitive with polluting fuels, favoring public policy decisions that prioritize clean infrastructure.
However, the challenges are not insignificant: integration into electricity grids, energy storage to cover nighttime peaks, regulatory stability, access to financing, and a just transition for areas dependent on fossil fuel industries—topics that continue to be discussed, as several Latin American countries expressed at the Future Energy Summit 2025 held in our country last April.
Dominican Republic as a regional benchmark
In this context, the Dominican Republic has become an important reference in the Caribbean region, due to its growth rate in renewable energy and institutional commitments.
The Dominican government has set a clear goal: that by 2025, at least 25% of the country’s electricity will come from renewable sources. In this regard, the current Minister of Energy and Mines, Joe Santos, emphasized the role of financing, the diversification of the energy matrix, and the need for supporting policies.
Santos reiterated that the country aims for renewables to eventually represent more than 30% in the coming years .
Energy milestones achieved in 2025
One of the most symbolic milestones was reached in February 2025, when, for the first time, renewable sources injected 1,222.75 MW into the National Interconnected Electric System (SENI), surpassing thermal generation at that time.
Furthermore, by mid-2025, the country will have achieved approximately 22% of its electricity generated from renewable sources , a figure that has more than doubled its installed capacity in just a few years. Distributed generation also showed significant growth, with more than 460 MW installed on solar roofs in homes, businesses, and industries.
On the other hand , there are currently 17 projects under construction that will add an additional 1,207 MW, and a stable regulatory environment is cited as key to encouraging more investors to invest in the sector.
The role of the financial sector in the energy transition
A fundamental pillar of the drive for renewable energy in the Dominican Republic in 2025 has been coordination with the financial sector. At the Third Latin American Congress on Sustainable and Inclusive Banking, Minister Joel Santos stated that 64% of renewable energy projects in the Dominican Republic are supported by the financial sector, that is, by national or international creditors.
However, to continue achieving the goals set, it is not enough to simply issue policies; it is necessary to strengthen national and local organizations, provide certainty to investors, long-term contracts, dispute resolution mechanisms, adequate tariffs, and institutional transparency.
Other challenges include a shortage of specialized technical personnel, limited promotion of distributed generation, the country’s climate vulnerability, and the need for greater community participation in projects. Overcoming these obstacles will be key to moving toward a cleaner, safer, and more sustainable energy mix.
Consolidation of a diversified and resilient energy matrix
Notably, by 2025, the Dominican Republic has made progress toward consolidating a cleaner, more diversified, and resilient energy matrix.
Achievements such as the update of the 2025-2038 National Energy Plan, to be presented this year, the historic injection of more than 1,200 MW of renewable energy into the SENI (National Energy Agency), the growth in renewable energy participation to 22-27%, and the financial sector’s support for 64% of energy projects are signs that the energy transition is a reality that is being built step by step.
The real challenge lies in maintaining the pace of investment, ensuring the technical integration of the system, and building an energy planning model that benefits society as a whole.
If public policies, the financial ecosystem, and institutional commitment are maintained, the Dominican Republic could position itself as a regional benchmark in clean energy this decade.