UN initiative mobilises over US $410,000 to facilitate decarbonisation and encourage investment in clean energy.
San José, 14 February 2025 – In a bid to accelerate the transition towards a low-carbon economy in Costa Rica, the United Nations, in collaboration with the Government of Costa Rica, has launched an innovative programme to drive a National Biomethane Strategy for a just energy transition.
This initiative is led by the Office of the First Vice President, the Ministry of Environment and Energy (MINAE), and the Costa Rican Biogas Association (ASOBIOGAS), along with UN agencies: the United Nations Industrial Development Organization (UNIDO) and the United Nations Development Programme (UNDP), in partnership with the Joint SDG Fund.
With an investment of over $410,000, this initiative aims to support Costa Rica by developing a regulatory and financial framework that enables the sustainable growth of the biomethane sector, with a particular focus on the inclusion of women and vulnerable populations.
The programme actively engages both public and private stakeholders. Additionally, consultation mechanisms have been established with various sectors to ensure an inclusive and equitable approach to the energy transition.
"Costa Rica’s agricultural sector accounts for approximately 27% of greenhouse gas emissions, primarily from the waste of export products such as coffee, bananas, pineapples, and sugarcane. A key solution is to harness this waste to produce biogas and biomethane, which would not only reduce emissions but also help tackle the diesel dependency in our energy matrix. This is the beauty of this project: addressing two major challenges with a single solution," said Vice President Stephan Brunner.
Currently, Costa Rica faces several critical challenges on its path to decarbonisation: reliance on non-renewable energy sources, emissions from the transport sector, agricultural waste generation—especially from the pineapple industry—and a lack of financial mechanisms to drive the energy transition.
To tackle these challenges, the programme is structured around two key pillars. The first focuses on developing a regulatory framework, including the creation of the National Biomethane Strategy to support the country’s Decarbonisation Plan, the implementation of regulations that promote the transition of freight transport from fossil fuels to biomethane, and the strengthening of biogas quality infrastructure while fostering greater participation of women in the sector.
The second pillar aims to create financial tools, including a fund to support environmental projects that encourage private investment in clean energy. A financial guarantee will also be established to reduce risks in biogas projects, prioritising companies that promote gender equality.
"In recent years, we have witnessed significant transformations and progress. The fund is specifically designed to support projects and programmes that facilitate these transitions. We are delighted to be discussing energy transition today. Our primary goal is to promote the SDGs and help the United Nations work more effectively," stated Allegra Baiocchi, UN Resident Coordinator in Costa Rica.
The project will strengthen Costa Rica’s energy transition and serve as a model for other Latin American countries looking to develop similar strategies. Collaboration with financial institutions such as the Central American Bank for Economic Integration (CABEI) and multilateral organisations will expand investment opportunities and the growth of sustainable projects.
"Biogas has key potential for industrial policies, where the energy transition plays a fundamental role. For UNIDO, this transition is essential to developing modern industrial policies. It is crucial to invest in this transformation, as industries with high carbon footprints will lose competitiveness in the future," emphasised Johannes Dobinger, UNIDO Representative for Mexico and Central America.
Meanwhile, Sandra Sosa, UNDP Representative, highlighted that "this project underscores, from the outset, Costa Rica’s key role in decarbonisation, electricity imports, and energy diversification. Although it presents a great challenge, it also offers an opportunity that calls us to action to find innovative solutions. That is the core focus of this project: leveraging biomethane produced from pineapple crop residues, a readily available resource in the country."
About the Joint SDG Fund
The Joint SDG Fund is supported by the European Union, Belgium, Denmark, Germany, Ireland, Italy, Luxembourg, Monaco, the Netherlands, Norway, Poland, Portugal, the Republic of Korea, Saudi Arabia, Spain, Sweden, and Switzerland. Alongside our partners and donors, we work to transform and empower communities, driving sustainable development worldwide and in every country where we operate, building a better present and future for all.
