Latin America Could Double Its Onshore Wind Capacity by 2035

Several countries across Latin America have been rapidly expanding their wind energy capacity to diversify the energy mix and strengthen energy security, with far more expansion planned for the next decade. Brazil and Mexico are leading the way, with several other countries across the region also beginning to develop their green energy sectors. Across Latin America, installed wind energy capacity exceeded 44.7 GW in 2022. A Wood Mackenzie report from July 2025 forecast that wind capacity in South America would reach 83 GW by 2034, with a 6.5 per cent annual growth rate. Meanwhile, a Global Wind Energy Council report suggested that Latin America could more than double its onshore wind capacity by 2035, surpassing 120 GW, and install its first offshore wind capacity. Ben Backwell, the CEO of the Global Wind Energy Council (GWEC), stated, “The growth of renewable energy is an energy transition success story – 92.5 per cent of all new capacity additions in 2024 came from renewable sources.” One of the biggest challenges to bringing this new, clean power online is transmission constraints, as several countries need to invest heavily and rapidly in grid infrastructure to keep pace with project development. “Power oversupply is complicating sustained development in Brazil and Chile, following the recent renewables boom,” explained Kárys Prado, Senior Research Analyst at Wood Mackenzie. “Overall, headwinds from grid restrictions and fierce solar competition contribute to a slowdown in the coming years,” she added. “Beyond short term, other markets attract increasing investor attention as permitting bottlenecks ease, though growth will remain constrained by limited demand and insufficient infrastructure.”Some countries are dominating Latin America’s wind energy expansion, particularly Brazil and Mexico. Brazil has around 35 GW of commercial, onshore wind capacity in operation, making it the fifth-largest worldwide, according to the Brazilian Association of Wind Energy and New Technologies (ABEEólica) and the GWEC. Around 90 per cent of Brazil’s wind turbines are concentrated in the northeastern region, where they benefit from year-round strong winds. The Statkraft Group operates the Ventos de Santa Eugênia Wind Complex, its largest project outside Europe, in the northeastern state of Bahia. The project consists of 14 wind farms with 91 wind turbines, each producing 5.7 MW of power. The company is also developing one of Brazil’s first hybrid renewable energy projects by adding the 162 MW Santa Eugênia Solar to the complex. Meanwhile, in Mexico, investment in wind energy is expected to reach between $4 and $5 billion by 2030, with almost 2.2 GW of new installed capacity, according to estimates from the National Energy Control Centre, the National Energy Commission, and the Mexican Wind Energy Association. There are currently 76 wind farms in operation across 16 states in Mexico, with an installed capacity of over 8.1 GW and over 3,000 wind turbines providing power for around 12.1 million households. An estimated 10,000 people work in Mexico’s wind energy sector. BloombergNEF’s Mexico Transition Outlook 2026 estimates that Mexico will attract $630 billion in new investment in power generation assets by 2035, principally in green energy projects and energy storage systems. Rising investment in the sector could help Mexico reach 269 GW of wind, solar, and energy storage capacity by 2050, accounting for over 80 per cent of the national grid’s total installed capacity. The Mexican government recently launched a strategic plan to add nearly 30 GW of renewable energy and energy storage capacity by 2030, aimed at encouraging private participation in the sector, which previously stalled under former President Andrés Manuel López Obrador owing to his policy of energy nationalisation. Meanwhile, in Argentina, wind power capacity has reached almost 4.6 GW. In March, the International Finance Corporation, a member of the World Bank Group, announced plans to finance the Olavarria Wind Farm, operated by Petroquímica Comodoro Rivadavia, in the Province of Buenos Aires. It also plans to fund transmission capacity expansion along the Bahía Blanca-Abasto high-voltage corridor, to connect wind resources to the country’s largest demand region. The project is being developed with Acindar Industria Argentina de Aceros S.A., part of the ArcelorMittal group, which is Argentina’s largest steel producer. Acindar plans to use clean power produced from the wind farm to decarbonise its operations. The projects are expected to cost around $275 million in total, including the installation of 29 wind turbines supplied by Vestas, with a total installed capacity of 185.6 MW, as well as the construction of a 25 km transmission line. The wind farm has been approved under the Government of Argentina’s Large Investment Incentive Regime scheme. The project is the country’s first renewable energy generation initiative to incorporate privately financed transmission infrastructure integrated into the Argentine Interconnection System, and could open the doors to future public-private energy partnerships. Several countries across Latin America plan to significantly expand their wind energy capacity over the coming decades to benefit from their natural wind resources and support greater energy diversification as part of an eventual green transition. This will be supported by favourable government policies aimed at attracting high levels of private investment in clean energy.By Felicity Bradstock for Oilprice.com More Top Reads From Oilprice.comUN Says Global Fuel Subsidies Could Top $1 TrillionBrent Holds Above $102 as Gulf Export Rebound Offsets U.S. Military MovesWTI Sinks Nearly 4% as EU Weighs Emergency Stockpile Release