Unergy: The Medellin Startup Redefining Colombia’s Solar Transition

Colombia is entering a make-or-break moment in its pursuit of a cleaner, more resilient energy system. As the country confronts the overlapping pressures of climate change, water shortages affecting hydroelectric production, and rising demand for electricity, one Medellín-based startup has unexpectedly emerged at the center of national attention. Unergy, founded with the vision of democratizing access to solar energy, is rapidly becoming a key player in the shift toward decentralized and renewable power generation.

In a sector traditionally dominated by large utilities and slow-moving infrastructure, Unergy’s model—building small, distributed solar farms across the country—has captured the imagination of international investors and energy analysts alike. Their strategy is straightforward but powerful, empower communities and businesses to produce their own clean energy, reduce emissions, and break the dependence on centralized grids that often leave rural and underserved regions behind.

Recently, the company revealed two major financial milestones that underscore global confidence in Colombia’s renewable potential. Unergy secured USD 80 million from a European investment fund, marking the first time this fund has backed a Latin American startup. Shortly after, the company announced that total capital commitments had climbed to US120M, thanks to a new partnership with Solenium, a solar technology and energy-storage firm whose expertise in smart energy management and battery systems will allow Unergy to deploy more resilient and autonomous mini-solar farms. By integrating Solenium’s storage solutions, Unergy can expand its impact in regions with unstable grids or no grid connection at all, precisely the areas where decentralized clean energy is most urgently needed.

Eduardo Ospina, Unergy’s co-founder and CEO, underscored the scope of the opportunity when he noted to local media, that Colombia already has 72 mini-solar farms, and that the company’s new funding will allow it to multiply that figure and drive the decentralized generation model that the country needs to stabilize its energy future.

Unergy’s Model: Decentralized power, local impact

What distinguishes Unergy from traditional energy developers is its emphasis on accessibility and community-scale projects. Instead of focusing on massive, utility-scale solar farms that take years to develop, the startup specializes in mini-farms, often installed near the communities or companies that will benefit from the power they generate. These projects are faster to deploy, simpler to maintain, and flexible enough to operate on industrial rooftops, underused land, or rural terrains lacking reliable grid access.

A key part of Unergy’s model is collaborative financing: investors—ranging from institutional funds to individual citizens—can participate in solar projects and receive long-term returns. This mechanism converts clean energy into a democratized investment opportunity, widening participation in Colombia’s energy transition while reducing the dominance of large utilities. Over recent years, Unergy has consolidated dozens of projects across Antioquia, the Caribbean region, and central Colombia, bringing clean electricity to businesses, factories, agricultural operations, and small towns seeking reliable power at competitive costs.

The state of Colombia’s Energy transition

Colombia is globally recognized for its biodiversity, but also for its heavy dependence on hydroelectric power, which represents roughly 70% of national electricity generation. While hydropower is renewable, it is also highly vulnerable to climate variability—especially during El Niño events, when droughts reduce reservoir levels and force the country to rely on costly thermoelectric plants. This recurring instability has accelerated the push toward solar and wind energy.

Yet the transition remains slow. According to SER Colombia, the nation’s renewable energy association, 87% of renewable projects currently in development lack financial closure, and some permitting processes can take up to 2,000 days, creating bottlenecks at a moment when the country urgently needs diversification. These delays highlight the importance of business models like Unergy’s, which circumvent many bureaucratic obstacles by focusing on smaller-scale, rapidly deployable infrastructure. SER Colombia’s warnings have amplified the urgency of supporting companies capable of mobilizing capital and executing clean energy projects despite regulatory complexities.

Colombia’s potential remains immense. Regions such as La Guajira receive some of the highest solar radiation in Latin America, while the Caribbean coast boasts world-class wind resources. Unergy’s expansion momentum—backed by the recent alliance with Solenium and the infusion of foreign capital—signals that private-sector innovation may help unlock opportunities where public policy has lagged.

Renewables vs. traditional energy: Costs and economic logic

A decade ago, renewable energy adoption was hindered by high costs. Today, global trends have fundamentally shifted. According to official data, the price of solar panels has dropped by more than 80% since 2010, and installation costs have fallen as technology has matured and supply chains expanded. For Colombian businesses, these reductions translate into competitive electricity prices and long-term savings.

Solar technology has become increasingly competitive in Colombia and the costs of accessing it have made it an attractive source of energy. According to industry data, the investment cost for solar installations varies depending on scale: residential or small commercial systems generally range from US$1,500 to 2,000 per kW, while larger hybrid mini grids with storage can cost up to US$3,000 per kW of firm capacity. Operational expenses for solar are low, typically 1–2% of the initial investment annually, which contrasts sharply with the ongoing fuel and maintenance costs of diesel or thermoelectric plants.

From a production standpoint, grid-connected solar energy in Colombia can generate electricity at an average price of around US$0.15 per kWh, and in recent large-scale public energy auctions, solar capacity was contracted at remarkably low rates of US$0.0182 per kWh, demonstrating the rapidly improving cost competitiveness of renewables. This makes solar especially attractive for businesses, rural communities, and remote areas where extending traditional grid infrastructure or relying on diesel generators is expensive and inefficient.

In simple terms, what this data reveals is that the declining costs of solar energy in Colombia mean that clean, reliable electricity is increasingly accessible for businesses, rural communities, and households. Lower installation and operational expenses make solar a financially viable alternative to traditional energy sources, enabling wider adoption, reducing dependence on costly diesel or unstable grids, and supporting the country’s transition toward a more sustainable and decentralized energy system that could benefit from stable and environmentally friendly power.

In comparison, traditional electricity generation—primarily hydroelectric and thermoelectric—remains vulnerable to climate fluctuations and fuel price volatility. Hydropower, while renewable, suffers from reduced output during droughts, forcing utilities to activate costly thermal plants. Diesel-based generation in rural areas is particularly expensive and environmentally damaging.

Why renewables are a viable solution for rural Colombia

Rural areas in Colombia face long-standing energy inequities. Many communities rely on isolated diesel plants, unstable micro-grids, or lack electricity entirely. Extending transmission lines into mountainous or conflict-affected areas is often financially unfeasible and politically complex.

Unergy’s mini-solar farms offer a practical alternative. Their modular design allows deployment in remote regions within weeks rather than years, drastically reducing infrastructure costs. Over time, the savings are substantial: communities stop depending on diesel fuel—often transported at high cost by river or unpaved roads—and access stable, affordable power that supports agriculture, refrigeration, small businesses, schools, and healthcare centers.

The transition to renewables in rural zones also stimulates local employment, encourages community-based development models, and reduces the government’s financial burden related to subsidizing diesel for isolated regions. As more communities adopt solar energy, they become more resilient, environmentally responsible, and economically sustainable.

A new chapter for Colombia’s clean energy future?

Unergy’s rise comes at a crucial point in Colombia’s history. The company’s success shows that innovative, decentralized solutions can accelerate the national energy transition even when larger projects are delayed by regulation. The partnership with Solenium enhances the technical robustness of Unergy’s systems, while SER Colombia’s analysis underscores the urgency of models that can bypass traditional bottlenecks and mobilize investment quickly.

As Colombia continues navigating its path toward a low-carbon future, Unergy stands as a compelling example of how entrepreneurship, technology, and international financing can converge to transform the energy landscape—and bring cleaner, more reliable power to communities across the country.