OEA - CIDI - Resolución CIDI CPD INF 131

COMMITTEE ON PARTNERSHIP OEA/Ser.W

FOR DEVELOPMENT POLICIES CIDI/CPD/INF./26 23 March 2026

Original: English CONCEPT NOTE “ Rationale and Process for the Consideration of the Establishment of a New Initiative within SEDI/Department of Sustainable Development – The Energy and Security Partnership of the Americas”

(Document prepared by the Department of Sustainable Development)

A. OAS Energy Sector Program Background:  The General Secretariat of the Organization of American States (GS/OAS) has had a long history of supporting Member States in critical matters related to energy sector modernization and the transition to cleaner energy solutions. This work has been guided by directives emanating from OAS Permanent Representatives, Ministers of Environment, and Heads of State from the Americas.  At the First Inter-American Meeting of Ministers and High-Level Authorities on Sustainable Development, authorities issued the Inter-American Program for Sustainable Development 2006-2009. In it, Ministers called on the GS/OAS to serve as a regional forum for building collaborative partnerships to accelerate the use of renewable energy and energy efficiency technologies throughout the Americas.  At the Fifth Summit of the Americas, Heads of State called for a new energy hemispheric energy initiative to be established. The Energy and Climate Partnership of the Americas

(ECPA) was launched, and the OAS General Secretariat SEDI/DSD was designated as its technical secretariat.  Over the past fifteen years, through ECPA, the OAS has supported member states with the organization of six hemispheric Energy Ministerial Meetings. It has delivered knowledge management, technical and policy assistance and convening activities for a sustainable energy future addressing six fundamental pillars: cleaner energy solutions, universal access to energy, energy efficiency, regional integration, energy resilience, and innovation.  The current mandates for the energy sector program at the GS/OAS stem from the Declaration and Action Plan resulting from the Fourth Inter-American Meeting of Ministers and HighLevel Authorities on Sustainable Development (2023). The Inter-American Climate Change Action Plan 2023-2030 calls for prioritizing the ECPA partnership, and to promote activities

and Action Plan resulting from the Fourth Inter-American Meeting of Ministers and HighLevel Authorities on Sustainable Development (2023). The Inter-American Climate Change Action Plan 2023-2030 calls for prioritizing the ECPA partnership, and to promote activities that support the transition to clean, sustainable, renewable, and just energy transition. Further, the Action Plan highlights the importance of supporting sustainable transport, energy2efficiency, energy integration, harmonized energy policies and approaches, collaboration, energy safety, reliability, and affordability.  Over much of ECPA’s existence, the primary funding sources for ECPA have included the USA Government and the Interamerican Development Bank (IADB; particularly related to ECPA Ministerial Meetings and knowledge sharing activities). For the early years of ECPA (2009-2014) the OAS Regular Fund supported the position of the DSD Energy Section Chief (Mr. Mark Lambrides). However, from 2015-2024 the DSD Energy Section Chief (Mr. Juan Cruz Monticelli) was paid exclusively by specific funds. When th e specific funds concluded in 2024, the specific funded position was eliminated. At present, there is no dedicated DSD Energy Section Chief, and the position is being covered by Senior Specialist, Dr. Ruben Conteras (who also serves as lead for the Climate Change Section).

B. Energy Sector Background and Evolving Priorities in the Western Hemisphere:  By many accounts, ECPA has been highly successful in its mission. During its existence, sustainable energy solutions have expanded considerably. Renewables have expanded to represent approximately 65% of generation in Latin America making it the greenest energy portfolio among major regions of the world.  Over the same period, Latin America and the Caribbean electricity access rates increased to

approximately 97% throughout LAC (even though some areas of Central America (92%) and the Caribbean (83%) lag). However, despite progress in electrification, affordability remains a critical challenge for LAC, particularly for the small island developing states in the Caribbean where electricity prices remain among the highest in the world.  Also, over this time, the Electrical Interconnection System for Central America (SIEPAC) was completed, with ECPA providing critical input for the political and regulatory apparatus. While other regional interconnections are in the planning stages (e.g. SINEA (Andean) and SIESUR (Southern Cone)), multinational power interconnections remain an important challenge/opportunity that has the potential to deliver greater reliability and security, while supporting further diversification of power resources throughout the region.  Electricity demand is expected to increase by over 91% by 2040 and nearly 156% by 2050. (OLADE, 2025) Despite the considerable success of renewable generation development in recent decades (especially hydropower which dominates with approximately 50%), the forecasted demand increases will require a wide diversity of sources, including renewables, fossil fuels, and nuclear power, combined with investments in energy efficiency.  Latin America has become one of the top targets for cybersecurity. The region faces an important dual challenge, how to benefit from the opportunities of a digital future while safeguarding threats from cybercrime. This is particularly relevant for the energy sector as digital services are essential for the modern power grid (e.g. smart grids, optimization of electricity generation, grid monitoring and management, etc.). Inasmuch, with the increased dependence of the power sector on advanced technolog ies there is an increased risk of cyberattacks.- 3 -

 In addition to cyberattacks, Latin America and the Caribbean power systems remain vulnerable to natural disasters, vulnerabilities from aging infrastructure, and terrorist attacks. Grid modernization and strengthening must be prioritized, by expanding transmission and distribution, adopting advanced technologies and building in resilience across all networks (IDB/WEF, 2025).  The Americas has become a critical source of critical minerals, essential to the energy

to natural disasters, vulnerabilities from aging infrastructure, and terrorist attacks. Grid modernization and strengthening must be prioritized, by expanding transmission and distribution, adopting advanced technologies and building in resilience across all networks (IDB/WEF, 2025).  The Americas has become a critical source of critical minerals, essential to the energy transition. This includes lithium (60% of global reserves) and copper (40% of global reserves) (IEA, 2023). These resources and others are important for the growing battery market, power lines, and other advanced technologies. Securing access to these minerals, and mining in an environmentally sustainable manner is, and will become and even more important challenge in the future.

C. Rationale for the Proposed Partnership to Meet Current Energy Sector Priorities:  The Executive Secretariat for Sustainable Development (SEDI), though its Department of Sustainable Development (DSD) proposes that a new partnership be established. It would build on the previous energy partnership, ECPA, and it would continue to address the priorities outlined in the Inter-American Climate Change Action Plan 2023-2030. It is proposed that this partnership, the Energy Security Partnership of the Americas (ESPA), would also address multiple new and emerging challenges that face the region.  To better understand and respond to the current priorities of Member States in the energy space, SEDI/DSD has conducted extensive analysis of the most pressing challenges confronting the hemisphere in this sector. The findings of this analysis have informed the priority themes that will be included in the proposed partnership.  The upcoming Tenth Summit of the Americas will take up key issues facing the countries of the Americas. Among the four topics, all related to security, are citizen security, water security, food security, and energy security. In response to the outcomes forthcoming from the Summit, it will be important for the GS/OAS and other key institutions of the Inter-American system to respond and offer a program for addressing the priorities outlined by the Summit.  Further, it is surmised that this proposed partnership based at the GS/OAS, addressing the critical issues of energy sustainability and security will not only offer a more comprehensive

respond and offer a program for addressing the priorities outlined by the Summit.  Further, it is surmised that this proposed partnership based at the GS/OAS, addressing the critical issues of energy sustainability and security will not only offer a more comprehensive approach, but it will also provide a more attractive platform for developing external funding sources to execute its mission and better serve Member States.  Among the key themes of focus for ESPA are the following: o Energy security: Energy security is about having reliable and uninterrupted supply of energy resources at an affordable price. Threats to energy security can include geopolitical instability, terrorism, cyber-attacks, climate change, supply chain disruptions, transmission/shipping disruptions and many other factors. o Energy resilience: Energy resilience is the ability of the energy infrastructure (generation, transmission, and distribution) to withstand and rapidly recover from disruptions, ensuring a reliable and stable energy supply particularly during events like power outages and natural disasters.- 4o Energy interdependence: Energy interdependence describes the situation where countries of the region (or sub-regions such as Central America, South America, North America, and the Caribbean) rely on each other for energy resources. For example, this may include power interconnections (interconnected grids), or the transfer of fossil fuel resources between countries or throughout a region such as the Caribbean. o Critical minerals for the energy transition: The many critical minerals (e.g. lithium, cobalt, nickel, copper, and rare earth elements) that are vital for the energy transition are in high demand worldwide, yet their extraction and processing can pose environmental and social challenges. Many of these minerals are extracted from countries in the Americas, and all countries of the region demand them in their energy technologies. o Diversification of energy sources: The creation of a diverse energy mix, including renewable energy, fossil fuels, and nuclear energy remains a critical strategy to address concerns of energy security, resilience and environmental protection. o Energy Efficiency: Energy Efficiency remains an essential component of sustainable energy solutions. By deploying efficiency measures across the industrial, transportation, and building sectors, countries in our region can significantly reduce energy costs, lessen their dependence on external energy supplies from outside of the Americas.

concerns of energy security, resilience and environmental protection. o Energy Efficiency: Energy Efficiency remains an essential component of sustainable energy solutions. By deploying efficiency measures across the industrial, transportation, and building sectors, countries in our region can significantly reduce energy costs, lessen their dependence on external energy supplies from outside of the Americas.

D. Proposed ESPA Essentials: Activities: ESPA would support Member States through a combination of services including:  Annual hemispheric ESPA Ministerial meetings that will offer the opportunity for energy sector leadership to meet with their counterparts from Member States to map out strategies for collaboration  Policy and regulatory advice leading to the harmonization of energy rules throughout the hemisphere.  Identification and design of multi-national energy sector inter-connections leading to greater interdependence in the Americas o Inter-connections may include electricity transmission lines, natural gas or oil pipelines, and transportation infrastructure  Coordinate trade dialogue for the exchange of critical energy natural resources and critical minerals  Project identification and project finance facilitation  Knowledge sharing and technical assistance Leadership:  Member State Advisory Group: ESPA would benefit from an advisory group made up of Member States who express interest in participating. In particular, Member States which are providing voluntary financial assistance and those which are hosting a recent or upcoming ESPA Ministerial Meeting would be encouraged to participate.

[Note this is similar to the advisory group which supported ECPA and was recently led by the Government of the Dominican Republic].  Technical Secretariat: The Technical Secretariat would be managed by the SEDI/DSD, through the Energy Section lead (vacant, but Climate Change lead is currently acting), who reports to the Director of the Department of Sustainable Development.- 5Budget:  No direct financial contribution from the OAS Regular fund is proposed.  It is proposed that the position of SEDI/DSD Energy Section Lead (P04 Senior Specialist) be established to support the execution of energy sector mandates, including the management of ECPA or ESPA.  The Energy Section lead, together with the Director of the SEDI/DSD and other staff will endeavor to develop external funding to support the fulfilment of the energy

Specialist) be established to support the execution of energy sector mandates, including the management of ECPA or ESPA.  The Energy Section lead, together with the Director of the SEDI/DSD and other staff will endeavor to develop external funding to support the fulfilment of the energy sector mandates, including the partnership. It is estimated that US$1million/year will be raised for these purposes.

E. Proposed Steps for a Mandate to Establish ESPA  Review concept note with the Committee on Partnership for Development Policies.   Consider drafting of resolution language for the General Assembly that instructs Ministers of Sustainable Development to take consideration of the establishment of ESPA at the next Meeting of Ministers and High-Level Authorities on Sustainable Development (TBD).  At Meeting of Ministers and High-Level Authorities on Sustainable Development (TBD) consider mandate that adds to the current Inter-American Climate Change Action Plan 2023-2030, adding for the establishment of ESPA.