Energy Transition in Colombia: An Implementation Proposal for SMEs

Abstract

The environmental summits in Rio de Janeiro, Kyoto, Johannesburg, Bali, Copenhagen, and Paris significantly contributed to raising awareness among nations about the need to reduce greenhouse gas (GHG) emissions. In this context, the energy transition from carbon-based energy sources to renewable energy sources is one of the main goals for both states and companies in the short and medium term. Therefore, the objective of this article is to propose a methodological route for the implementation of energy transition in Colombian SMEs. To achieve this objective, it was necessary to analyze the climate change and energy transition programs included in Colombia’s development plans. The results show that SMEs do not have significant participation in energy transition processes, mainly due to the economic and market barriers they face. However, the fiscal incentives and subsidies established by the government since 2018 increase opportunities for their participation in the present and the coming years.

1. Introduction

The increase in greenhouse gas (GHG) emissions, the deterioration of natural ecosystems, and the exponential increase in waste generated by global production drove numerous reports, proposals, and measures by governments, academics, and multilateral organizations for several decades. Key milestones in this ongoing effort include the 1972 report “The Limits to Growth” and the first United Nations Conference on the Human Environment held in Stockholm the same year. These events marked the beginning of a series of world summits held in Rio de Janeiro, Kyoto, Johannesburg, Bali, Copenhagen, and Paris, which set goals for reducing GHG emissions and protecting ecosystems [1]. These summits, along with the adoption of the Millennium Development Goals in 2000 and the Sustainable Development Goals in 2015, established a roadmap for nations to more decisively address climate change.

In Colombia, significant measures to mitigate environmental problems began with the incorporation of sustainable development into the new political constitution of 1991 and the national development plan “The Social Leap” during President Ernesto Samper Pizano’s term (1994–1998). This plan included the “Towards Clean Production” program, which aimed to redirect the productive sector towards using clean technologies and the efficient use of energy and water resources. It proposed increasing public investment in environmental management from 0.13% of GDP in 1994 to 0.58% in 1998 [2]. Subsequent plans, such as President Andrés Pastrana Arango’s “Change to Build Peace” (1998–2002), included climate change on the environmental agenda and emphasized forest, water, ocean, and sea conservation. However, specific goals or indicators to verify progress were initially absent [3].

The 2002–2006 NDP “Towards a Community State” of President Álvaro Uribe Vélez marked a shift by including programs to promote green jobs and several projects aimed at significant CO₂ reduction [4]. These efforts continued in Uribe’s second term with the 2006–2010 NDP, which presented a national diagnosis of climate change, linking it to fossil fuel consumption, livestock, agriculture, and landfills, with GHG emissions totaling 182.5 million tons. This plan proposed a comprehensive national action plan to reduce these emissions [5,6].

President Juan Manuel Santos Calderón furthered this focus on innovation and sustainable development in the 2010–2014 NDP “Prosperity for All”, introducing a sustainable transportation proposal under the “Climate Change, Reduction of Vulnerability and Adaptation, and Low Carbon Development Strategy” [7]. During Santos Calderón’s second term, the 2014–2018 NDP “All for a New Country” set a goal of generating 11,113 megawatts from non-conventional renewable energy sources and established a fund for non-conventional energies and efficient energy management through Law 1715 of 2014 [8]. This period also saw the issuance of CONPES document 3934, “Green Growth Policy”, which aimed to increase the production of environmental goods and services [9].

President Iván Duque Márquez’s 2018–2022 NDP “Pact for Colombia, Pact for Equity” emphasized reducing GHG emissions and enhancing energy transition through sustainable and innovative productive activities. This plan included the “Circular Economy” program, focusing on sustainable production, integrated solid waste management, energy efficiency, and green growth [10]. During Duque’s administration, the Energy Transition Policy was issued through CONPES document 4075 in 2022, setting objectives for consolidating the energy transition, increasing energy security, and fostering innovation [11]. Additionally, the Mining-Energy Planning Unit (UPME) issued the “National Energy Plan 2020–2050”, which analyzed technological and economic aspects of energy transformation. This plan underscored the contributions of hydroelectric, wind, and solar projects to Colombia’s energy matrix [12]. Laws 1715 of 2014 and 2099 of 2021 facilitated the integration of renewable energies into the national system, aiming to modernize legislation and promote non-conventional energy sources [13,14].

With these advances, President Gustavo Petro’s administration set ambitious goals in the 2022–2026 NDP “Colombia, World Power of Life”, aiming to generate 2297.08 megawatts from non-conventional renewable sources and mitigate 2,149,630 tons of CO₂ [15]. Given the importance of energy transition in SMEs, this research addresses the following questions: How can SMEs in Colombia implement energy transition strategies to enhance sustainability and competitiveness, considering economic, technological, and market barriers? What public policies and incentives can facilitate the adoption of renewable energy technologies among Colombian SMEs? How can digital transformation improve energy efficiency and reduce GHG emissions in Colombian SMEs?

Therefore, this article proposes a methodological route for implementing energy transition in Colombian SMEs. This study innovatively combines digital transformation with sustainable energy practices, providing a comprehensive strategy tailored to the unique economic and technological contexts of Colombian SMEs. By analyzing Colombia’s climate change programs and energy transition publications available in the Scopus database, we aim to offer practical guidelines and strategic recommendations that can significantly contribute to the country’s sustainable development. The text is structured as follows: introduction, literature review, methodology, results, discussion, and conclusions.

2. Literature Review

It is pertinent to begin this literature review by noting that China, the United States, India, Russia, and Japan consume more than 60% of the world’s energy and produce more than 65% of the world’s CO₂ emissions, making it imperative to reduce the proportion of polluting fossil fuels and increase the use of renewable energy sources if the effects of climate change are to be successfully mitigated [16]. For this reason, companies are increasingly tending to become involved in the energy transition, whether due to legal requirements, financial sustainability, globalization, technological advancement, a dynamic market environment, or the need to find effective ways to improve their organizational performance [17].

The energy transition is understood as the process by which a society replaces its main energy source with a series of energy sources and technologies [18]. In a transition process such as this, states pass laws aimed at promoting the generation and use of renewable energies, and companies tend to adopt business models based on decarbonization. However, significant barriers remain in implementing these transitions effectively, particularly in small and medium-sized enterprises (SMEs).

Additionally, a study on green innovation in SMEs reveals that the transition to sustainable business models depends not only on technology, but also on the commitment of managers and the adaptation to stakeholders’ expectations. This study found significant barriers to implementing recycling and energy efficiency practices, but it also identified successful strategies to overcome them, such as continuous training and awareness of personnel [19]. However, many SMEs still struggle with limited resources and lack of access to necessary technologies.

Companies are turning to green and sustainable business models as one of their main strategies. This means that companies are not only responding to government policies, but are also taking the initiative toward green business innovation based on their own sustainable development goals, competitiveness, and market advantages [20]. In the case of SMEs, there is a trend towards adopting models primarily based on recycling and environmental audits [21]. Despite this, the adoption rate and impact are often limited by economic and market barriers.

Green and sustainable business models became a prominent topic of discussion among academics, professionals, and policymakers [22]. They also became a reference point for large investors. Large-scale renewable energy projects are attractive to investors due to their competitive costs, environmental standards, and GHG emission regulations [23]. However, the effective integration of these models into SMEs is less documented, highlighting a gap in understanding how smaller enterprises can replicate these successes.

Knowledge creation, collaborative forms, and social learning are key elements in the comprehensive design for planning and managing energy transitions. An integrated knowledge architecture improves the ability to adaptively manage information and emerging conflicts when replacing carbonized energy sources with renewable energies. Renewable energy is considered vital for achieving environmental sustainability, improving public health, and addressing global climate change [16,24]. However, there is still a lack of robust frameworks to facilitate this knowledge transfer effectively, particularly in developing countries.

To tackle the great challenge of climate change, states and companies resort to multiple strategies. States turn to environmental taxes and fiscal incentives as important instruments to influence the reduction in GHG emissions [25]. They also resort to government policies based on carbon neutrality [26]. Nevertheless, these policies often lack sufficient enforcement and support mechanisms to ensure widespread adoption, especially among SMEs.

Companies include decarbonization in their business models, but the size of the company affects the design and implementation of these models. SMEs adopt few environmental practices, and those they do adopt are not sufficient to significantly reduce carbon emissions. This highlights the need for state assistance if SMEs are to play a key role in transforming towards a low-carbon economy [21]. The effectiveness of these practices is limited by economic, market, political, informational, and technical barriers, including difficulty obtaining bank loans, lower profitability, lack of subsidies, high costs of green certifications, and hazardous waste disposal [27].

Incorporating specific case studies demonstrates how SMEs can overcome economic and technological barriers. For example, a study on the circular economy in Colombia’s construction sector highlights the importance of managerial commitment and identifying valuable materials for success. These findings can improve the proposed methodological strategy, offering a practical framework for implementing sustainable technologies [4]. However, there is a need for more localized studies that address specific regional challenges.

Large or financially stronger companies use information and communication technologies (ICT), including artificial intelligence (AI), robotics, cloud computing, 3D printing, the Internet of Things, and advanced wireless technologies [28]. This growing use of ICT reduces CO₂ emission levels in high- and middle-income countries [29]. Nonetheless, the transfer and adaptation of these technologies to SMEs in developing countries remain underexplored.

The use of clean energy technologies is notably beneficial in transitioning from fossil fuel-based energy to renewable energy production, with strong momentum for solar, wind, and nuclear energy [30]. Technological innovation plays a mediating role between digital transformation and corporate performance in carbon reduction [31]. Yet, SMEs often lack access to the financial and technical resources needed to adopt these innovations.

Companies strive to integrate corporate social responsibility (CSR) or extended producer responsibility (EPR) policies, which are promoted in several countries. The EPR system significantly promoted corporate green technological innovation in China, increasing green patents and reducing ecological pressure [32,33]. However, similar policies are less prevalent or effective in other regions, underscoring the need for tailored policy frameworks.

Eco-innovation is considered a relevant tool for reconciling economic growth and environmental protection [34]. Subsidies for eco-innovation are related to the rapid adoption of renewable energy by companies [35]. However, more effective ways are needed to encourage impact investment and other financing for clean technology SMEs in their early stages [36]. The challenges in securing financing and support for eco-innovation in SMEs remain significant obstacles.

Various state and corporate policies were adopted in recent decades to help reduce GHG emissions through the energy transition from carbon-based energy sources to renewable energy sources. These initiatives are from countries with high emission levels and those with lower emission levels, such as Ghana, Indonesia, Malaysia, Turkey, and Brazil [26,37,38]. However, the effectiveness and impact of these policies vary significantly, indicating the need for more context-specific approaches.

In Malaysia, the government formulated the Renewable Energy Act of 2011, the Green Technology Policy, and the National Biotechnology Policy [22,39]. In Turkey, a positive societal attitude towards green energy transition is confirmed [38]. Indonesia aims to reduce its dependence on fossil fuels and decarbonize its energy system by 2050 [26]. Despite these efforts, the pace of transition and the challenges faced by SMEs in these countries highlight the need for enhanced support mechanisms and tailored strategies.

Regarding Colombia, the financial and fiscal support that green businesses receive and its impact on the country’s economy is analyzed. These businesses receive significant support through fiscal and financial statutes promoting sustainable projects, such as those related to green and blue hydrogen [40]. The importance of energy planning to support the transition to more sustainable energies and mitigate greenhouse gas emissions is highlighted [41]. However, the reach and effectiveness of these supports among SMEs remain a challenge.

The modernization and digitalization of hydroelectric plants in Colombia significantly increase their operational flexibility, safety, and economic and environmental sustainability [42]. The digital transformation process in Colombian energy companies improved operational and energy efficiency in the country [43]. Nonetheless, the scalability and applicability of these digital transformations to SMEs require further exploration.

Facilitators and barriers to implementing circular economy models in European SMEs were investigated. Although there are numerous policy instruments to help SMEs incorporate circular economy principles into their business models, financial barriers and lack of technical skills remain significant challenges. Strengthening national and European policies to support green business models through dedicated markets and communities of practice are recommended [44]. This suggests that similar supportive frameworks are necessary for Colombian SMEs.

Green supply chain management practices in SMEs in the Pune region of India were evaluated, showing that companies adopting sustainable practices improve their environmental performance and achieve long-term economic benefits [45]. This underscores the potential for significant gains through the adoption of green practices, despite the barriers faced.

Despite the numerous initiatives and strategies aimed at promoting renewable energy and sustainability, significant gaps remain, particularly for SMEs. Previous studies highlight the challenges SMEs face in accessing financial and technical resources, adapting to regulatory frameworks, and integrating advanced technologies. This research addresses these gaps by proposing a comprehensive methodological route tailored to the unique contexts of Colombian SMEs. By combining digital transformation with sustainable energy practices, this study offers practical guidelines and strategic recommendations to enhance the sustainability and competitiveness of SMEs in Colombia, contributing significantly to the country’s sustainable development goals.

3. Materials and Methods

This is a projective research study with a documentary design and a mixed approach. Projective research proposes solutions to a specific situation through an inquiry process that involves exploring, describing, and proposing alternatives for change without necessarily executing the proposal [46,47]. In this specific case, a rigorous inquiry into the energy transition policy in Colombia is conducted to propose a methodological route for the implementation of energy transition in Colombian SMEs.

Quantification of Sample Size and Selection Parameters:

To ensure the comprehensive nature of the study, the research focused on analyzing 127 articles that were meticulously selected based on predefined inclusion and exclusion criteria. The selection process aimed at obtaining a diverse and representative sample of articles that address various aspects of energy transition relevant to Colombian SMEs. The parameters for selecting the articles included relevance to the topic, publication period, type of publication, language, and full access to the text.

The technique used is a documentary review, and to achieve the established objective, it is necessary to review the development plans in Colombia, Colombian legislation, CONPES document 4075 of 2022 “Energy Transition Policy”, and indexed articles in the Scopus database. The following descriptors were used in the selection of articles: (“energy transition” OR “sustainable energy”) AND (“environmental sustainability” OR “green solutions”) AND (services OR companies OR providers) NOT “government policy” AND (“circular economy” OR “energy policy” OR “sustainable practices”). PRISMA criteria were used to select a total of 127 articles published between 2018 and 2023, ensuring the relevance and quality of the included studies [48].

Inclusion Criteria:

• Topic Relevance: Articles that address energy transition, renewable energies, environmental sustainability, green solutions, circular economy, energy policy, and sustainable practices.
• Publication Period: Articles published between 2018 and 2024.
• Type of Publication: Articles from journals indexed in the Scopus database.
• Language: Articles published in English and Spanish.
• Full Access: Articles with full access to the text to ensure detailed analysis.

Exclusion Criteria:

• Exclusive Focus on Government Policies: Articles that solely focus on government policies without addressing technical or practical aspects of the energy transition in SMEs.
• Duplicates: Duplicate articles in different databases.
• Abstracts and Conferences: Conference abstracts and presentations that do not provide complete and detailed data.
• Lack of Relevance: Articles that do not provide relevant information to the Colombian context or that do not align with the research objectives.

The documentary analysis included a review of national development programs since 1991, highlighting how they addressed the energy transition and its impact on SMEs. Additionally, key laws such as Law 1715 of 2014 and Law 2099 of 2021 were evaluated to understand the regulatory framework and available incentives [49]. Environmental strategies can be fostered through government policies and collaboration among multiple stakeholders. This collaboration is essential to overcome the barriers faced by SMEs, especially in challenging economic contexts. The experience of other countries in implementing sustainability policies could serve as a guide for Colombia, offering lessons on how to adapt these policies to local needs.

Specific Bibliometric Analysis Techniques

The bibliometric analysis was conducted using data quantification and visualization techniques to identify the most frequently used terms in the selected articles. The following techniques were employed:

• Key Term Extraction: Key terms were extracted from the titles, abstracts, and keywords of the selected articles.
• Term Frequency: The frequency of each key term’s occurrence was quantified using text processing tools.
• Data Visualization: A heat map was created to visualize the density and frequency of key terms in the literature. This heat map allows for the identification of areas of greatest interest and relevance in the field of energy transition and sustainability.
• Co-occurrence Network Analysis: Co-occurrence networks of terms were analyzed to identify relationships and patterns among the most prominent concepts in the literature.

These techniques provided a deep understanding of the most recurring and relevant themes in the literature, facilitating the identification of gaps and research opportunities. To achieve the results and objectives set, the methodological process is structured in several phases, each designed to contribute to the development of a projective strategy and the formulation of the methodological route.

The first phase, called Review and Documentary Analysis, focuses on a thorough review of relevant documents. This analysis includes evaluating national development plans from 1991 to the present, highlighting how they addressed the energy transition and its impact on SMEs [50,51]. Additionally, pertinent legislation, such as Laws 1715 of 2014 and 2099 of 2021, is reviewed to understand the regulatory framework and available incentives [49]. The selected scientific articles are analyzed to extract information on best practices and success cases in implementing renewable energies in small and medium-sized enterprises [52,53]. This detailed analysis allows for the identification of specific barriers and opportunities for SMEs in the Colombian context [54,55].

The bibliometric analysis conducted provides a comprehensive view of the most recurring themes in the literature on sustainability and energy transition. The heat map (see Figure 1) highlights terms such as “sustainability”, “sustainable development”, “emission control”, “electric vehicles”, and “environmental management”. These terms suggest a strong focus on the management and control of sustainability and its technical aspects within the framework of the energy transition [48]. Additionally, key themes such as the integration of renewable technologies and new transportation modalities, as well as the importance of governance and regulation in emission management, are identified. There is also concern about the impact of these policies and technologies on developing countries, suggesting an interest in improving the implementation and technological adaptation in these contexts.

In the second phase, Identification of Needs and Barriers, the focus will be on deepening the understanding of the technological, economic, and regulatory challenges faced by SMEs in their transition to renewable energies. This phase is crucial to comprehend the limitations that need to be overcome and the opportunities that can be leveraged to foster an effective energy transition. The identification of needs and barriers will be based on the previous documentary analysis and will be contrasted with existing statistics and studies.

The third phase, Development of a Projective Strategy, involves synthesizing the findings from the previous phases to formulate specific recommendations. These recommendations will be aimed at overcoming the identified barriers and capitalizing on the available opportunities. Practical and feasible strategies that SMEs can implement within the existing regulatory and economic framework in Colombia will be developed. This projective strategy will also include the proposal of training programs and technical support to strengthen the digital and technological competencies of SMEs.

Finally, in the phase of Formulation of the Methodological Route, a clear and structured guide will be designed to detail the steps to follow for implementing the energy transition in SMEs. This methodological route will include the definition of short, medium, and long-term goals and objectives, as well as specific action plans describing the necessary activities, required resources, and implementation timelines. Additionally, a continuous monitoring and evaluation system will be established to ensure that the strategies are correctly implemented and the expected results are achieved. This system will allow for continuous adjustments and improvements to the methodological route, ensuring its effectiveness and long-term sustainability.

The following diagram in Figure 2 represents the aforementioned methodology, detailing each of the phases and the specific steps that make up the investigative process.

This methodology will enable the development of a robust and well-founded proposal for the energy transition in Colombian SMEs. By combining a rigorous documentary analysis with a clear projective strategy and a well-defined methodological route, a viable roadmap will be provided that will significantly contribute to the sustainable development of the country. This methodology not only meets the research objectives but also provides a replicable model that can be adapted and used in other contexts and regions interested in transitioning to renewable energies.

4. Results

Although numerous initiatives were formulated to reduce GHG emissions and stop the negative consequences of global warming since the Rio Summit in 1992 and the Kyoto Protocol in 1997, CO₂ emissions continue to increase year after year. Therefore, it is important for SMEs to adopt more effective practices for carbon reduction, such as product life cycle, eco-design, or alternative energy generation [21].

The energy matrix in Colombia is primarily centered on hydroelectric energy with 68.3%, thermal energy with 30.7%, cogeneration with 0.9%, solar with 0.1%, and wind with 0.1% [56]. However, currently, solar energy is considered the source with the highest demand among new renewable energy sources in Colombia, leading to the consolidation of several generating companies that offer products and advise about 1600 companies in the country on energy efficiency [57].

A study found that the non-linear relationship between digitalization and energy efficiency can be crucial for SMEs. The adoption of digital technologies, combined with renewable energy practices, can significantly improve energy efficiency and reduce GHG emissions [58]. Additionally, the integration of thermal energy storage systems and heat pump technologies showed great potential in reducing operational costs and the carbon footprint of buildings, which is applicable to SMEs looking to modernize their facilities [59].

During Iván Duque’s government, Colombia set out to increase the installed capacity of non-conventional renewable sources from 1% in 2018 to 12% in 2022, with a capacity of 2400 megawatts [60]. To achieve this, the 2019 growth law included a 50% reduction in income tax for 15 years for investments in alternative sources and the automatic exclusion of value-added tax (VAT) on the acquisition of inputs for renewable energy generation. However, by 2024, this goal only reached 3.6% [61].

In 2023, 3655 applications for developing clean generation projects were reported to the Mining-Energy Planning Unit, of which 3589 were for solar development, 41 for thermal technology, 17 for biomass, 5 for small hydroelectric plants, and 2 for natural gas [62]. Among the companies developing clean generation projects are Empresas Públicas de Medellín (EPM), Celsia, Intercolombia, Codensa, Electrificadora de Santander, Electrohuila, Electrocaquetá, Emcali, Air-e, Afinia, and Cedenar, generating 400 megawatts per year.

Among the companies committed to the energy transition are Ecopetrol, Postobón, Homecenter, Grupo Familia, Cueros Vélez, Colombina, Bavaria, Solla, schools, universities, shopping centers, hotels, hospitals, and oil operations. This participation of companies in the generation and use of renewable energies contributed to Colombia being the fifth country in Latin America, after Brazil, Chile, Costa Rica, and Uruguay, to make the most progress in terms of energy transition, and ranks thirty-fifth globally in the energy efficiency ranking, led by Sweden, Denmark, Finland, and Switzerland [63].

In Europe, a recent study highlights the financial and non-financial barriers to implementing energy efficiency measures in SMEs, emphasizing the need for financing mechanisms and training to overcome these challenges. Innovative energy audits were effective in multiple SMEs in seven European countries, suggesting that similar approaches could be applied in Colombia to improve the adoption of sustainable technologies [64]. On the other hand, green supply chain management practices in SMEs in the Pune region of India were analyzed. The results indicate that companies adopting sustainable practices, such as waste reduction and energy efficiency, not only improve their environmental performance, but also achieve long-term economic benefits [45].

These advances in the energy transition are very significant in the goal of reducing GHG emissions in Colombia and in the objective of increasing the supply of renewable energy. However, to achieve the established commitment of 70% renewable penetration by 2030, and to improve energy efficiency by 3% annually, an efficient, affordable, and reliable energy transition is essential, with the participation of companies, institutions, and communities in the region [15]. In this regard, to achieve effective participation of companies, a methodological route for the implementation of energy transition in Colombian SMEs is proposed. Figure 3 describes this proposed methodological route.

The analysis of the digital transformation in Colombian energy companies highlights how technological modernization can significantly improve operational efficiency and decision-making accuracy. Integrating these technologies in the SME sector would not only facilitate the adoption of renewable energies, but also increase the competitiveness of these companies in the global market. This approach can be an integral part of the proposed methodological route, ensuring that SMEs not only adopt sustainable technologies, but also optimize their operations through digitalization [43].

The first phase, “Diagnose Needs and Technological Challenges”, focuses on evaluating the current state of energy technologies in SMEs. This initial analysis is fundamental for identifying areas of improvement. For example, it is highlighted that direct incentives, such as feed-in tariffs and technical subsidies, are more efficient in promoting the diffusion of renewable energy in Colombia than indirect incentives, such as tax reductions or exemptions [65]. If a detailed analysis is not conducted, the next step is to describe the current technological infrastructure.

The second phase, “Evaluate Digital Competencies”, involves identifying gaps in digital skills related to energy. This is vital to ensure that SME personnel are prepared to handle advanced technologies. It is reported that the use of an open techno-economic energy data set can support energy planning in the country and be applicable to other developing countries [66].

In the third phase, “Develop MIPST Model Pillars”, the key components of the integrated sustainable planning and energy transition model are defined. This phase ensures that SMEs have a clear structure for implementing green technologies. If the components are not defined, they are proceeded to be defined. If they are already identified, the next step is to implement workshops and training.

The fourth phase, “Implement Workshops and Trainings”, includes training activities tailored to the identified needs. This training is essential to equip personnel with the necessary skills to handle and optimize new energy technologies. The importance of integrating and acting on inter- and transdisciplinary knowledge to achieve an equitable energy transition in Latin America and the Caribbean is emphasized [67].

In the fifth phase, “Evaluate Workshop Effectiveness”, the impact of the conducted workshops is measured. If the expected results are not achieved, workshops tailored to specific needs are implemented. If the workshops are effective, a sustainable projective strategy for implementing the MIPST is formulated. This evaluation is crucial for continuously adjusting and improving the training approach to ensure that sustainability objectives are met.

The sixth phase, “Formulate Projective Strategy”, involves developing a sustainable strategy that can adapt to future changes. If the strategy is not sustainable, the planning is adjusted. If it is sustainable, future scenarios are anticipated, and the strategy is adjusted accordingly. This step is vital to ensure that SMEs can remain resilient and competitive in an ever-changing energy environment.

Finally, in the seventh phase, “Design Action Plan with Short, Medium, and Long-Term Goals”, a clear action plan with achievable goals is established. At this stage, the strength of the company is crucial, as weak institutions are a significant obstacle to the energy transition in Colombia, affecting the implementation of energy democracy [55]. Thus, if the action plan does not include clear goals, it is adjusted to include specific and measurable objectives; if the goals are clear, then the plan is implemented and continuously monitored, ensuring an effective and sustainable adoption of energy technologies.

It is significant to note that this methodological route is initially designed for SMEs in Colombia, but it may also contribute to micro-enterprises, considering that SMEs and micro-enterprises represent 99.88% of all business units in the country [68]. However, larger enterprises (more than 200 employees) and SMEs (between 10 and 200 employees) have greater possibilities to invest in the energy transition, unlike micro-enterprises (less than 10 employees), which have less financial capacity to overcome technical, technological, or economic barriers [56].

Research on the dual transition of decarbonization and digitalization in European economies provides valuable insights into how SMEs can effectively integrate these strategies. These experiences can serve as replicable models, helping other SMEs adopt sustainable practices and overcome similar challenges [28].

5. Discussion

The analysis of studies on energy transition, green business models, energy planning, and digital transformation in Colombia reveals a series of critical findings and suggests future directions for research and public policy. Firstly, it highlights how financial and fiscal support is an essential driver for the development of green businesses in Colombia, especially in emerging sectors, such as green and blue hydrogen [40]. This conclusion aligns with the need for economic incentives to promote the adoption of sustainable technologies, consistent with previous research that emphasizes the importance of supportive policies in the energy transition [22].

Additionally, Colombia’s ability to meet its internal demand for hydrocarbons and the relevance of robust energy planning to reduce greenhouse gas emissions are underscored, using the TIMES-O&G model [41]. This approach is complemented by a study demonstrating how the digitalization and modernization of hydroelectric plants not only improve operational flexibility and efficiency, but also ensure the integration of renewable energy sources into the national energy component [42]. These findings reflect the importance of technological modernization to enhance the sustainability and efficiency of the energy sector, agreeing with the need for a broader energy transition [28].

The example of Morocco, which developed renewable energy projects contributing nearly 40% of its installed energy capacity, with a goal of surpassing 50% by 2030, is particularly illustrative. Morocco’s comprehensive policies to support renewable infrastructure, attracting significant investments, and creating a favorable environment for the adoption of clean technologies offer valuable lessons for Colombia [69].

Digital transformation generated significant benefits for Colombian energy companies, showing improvements in operational efficiency and decision-making accuracy [43]. This study complements research on digitalization in global energy sectors, indicating that the adoption of digital technologies is key to competitiveness and sustainability [30]. The integration of digital tools can streamline operations, reduce costs, and improve the overall efficiency of energy systems, making them crucial for SMEs aiming to enhance their sustainability.

Examining the evolution of National Development Plans (PND) from “The Social Leap” (1994–1998) to “Colombia World Power of Life” (2022–2026), there is a clear shift towards prioritizing social equity, economic sustainability, technological inclusion, renewable energies, and sustainable development. Concrete goals on CO₂ reduction, renewable energy generation, and sustainable public transport projects began to be incorporated only from 2002 onwards [5]. This shift highlights a growing recognition of the need for actionable targets and measurable outcomes in environmental policy.

India’s experience, achieving the fastest growth rate in renewable electricity among major economies through proactive incentives and risk management tools, provides another valuable model. India’s approach allows utility companies to incorporate renewable sources without suffering economic losses, offering lessons for Colombia in terms of early incentives and risk management [70].

Studies on energy transition and green technological innovation under the extended producer responsibility system offer further insights for Colombia. Emphasizing regulatory policies and economic incentives for promoting clean technologies and reducing carbon emissions, these studies suggest the need for a collaborative and multifaceted approach in formulating energy and environmental policies [32,35]. An integrated and collaborative approach is essential to address current energy and environmental challenges [26].

Despite government initiatives, favorable responses from companies, clean energy development projects, and public awareness of climate change effects in Colombia, greater participation of SMEs in the energy transition remains necessary. SMEs, which are the most numerous, face significant economic, market, and technical barriers when replacing carbon-based energies with clean energies, as corroborated by various studies [24,27]. From this perspective, the proposal of a methodological route for implementing energy transition in SMEs is highly relevant in the Colombian context.

Our study reveals that significant challenges remain in achieving Colombia’s ambitious targets set by National Development Plans. Economic constraints faced by SMEs limit their ability to invest in new technologies. There is a need for more targeted policies addressing the unique challenges faced by SMEs in the energy transition process. The success of larger companies in renewable energy projects highlights the potential for SMEs if provided with adequate support and resources.

Future research should focus on developing innovative financial instruments and support mechanisms tailored for SMEs, such as green bonds, dedicated grants, and subsidies that lower initial investment costs for adopting renewable energy technologies. Empirical studies examining the impact of digitalization on energy efficiency in SMEs would provide deeper insights into effective technology integration.

Colombia made significant strides in promoting renewable energy and reducing GHG emissions, and the participation of SMEs is crucial for achieving a comprehensive and inclusive energy transition. The proposed methodological route offers a structured approach for SMEs to navigate this transition, leveraging financial incentives, digital technologies, and collaborative efforts. Addressing the identified barriers and building on the proposed strategies, Colombian SMEs can significantly contribute to the country’s sustainable development goals.

6. Conclusions

This study emphasizes the significance of public energy transition policies and their impact on the generation and use of clean energy to mitigate climate change effects. In Colombia, this was evident in the 2018–2022 National Development Plan “Pact for Colombia, Pact for Equity”, which included a sustainability axis focused on reducing greenhouse gas emissions and enhancing the energy transition. It highlighted efficient, innovative, and sustainable productive activities, translating into visible results for companies and the country.

For the government, it is crucial to establish policies that not only incentivize the adoption of renewable energy but also facilitate access to financing for SMEs. This could include the creation of specific funds for green projects and the simplification of procedures for obtaining grants and loans. Additionally, it is recommended to develop regulatory frameworks that promote investment in clean technologies and offer attractive tax exemptions.

The increase from 1% to 3.6% in the installed capacity of non-conventional renewable sources in Colombia between 2018 and 2022 demonstrates the efforts made by the government of Iván Duque and companies, despite not achieving the goal of 12%, equivalent to the generation of 2400 megawatts. The current government needs to make significant efforts to achieve the generation of 2297.08 megawatts from non-conventional energy sources, as set as the goal for the 2022–2026 quadrennium.

SME participation in the energy transition is not significant so far, mainly due to the economic and market barriers they face. However, the fiscal incentives and subsidies established by the government since 2018 will expand opportunities to increase their participation in the coming years.

Regarding the private sector, large companies can play a fundamental role in supporting SMEs through mentorship programs and strategic partnerships. Sharing knowledge and technological resources can help SMEs overcome initial implementation barriers. Companies should consider integrating circular economy practices into their operations, which can result in long-term economic and environmental benefits.

A methodological route for implementing energy transition in SMEs is the appropriate complement for these companies to integrate into the energy transition processes in a timely fashion and take advantage of fiscal incentives and subsidies to optimally produce the goods and services that society and the planet require as a solution to climate change.

For academia, it is essential to continue with applied research that addresses the specific needs of SMEs in the context of the energy transition. Collaboration between universities and the industrial sector can generate innovations that are both technologically advanced and economically viable. Additionally, academia can play a crucial role in training human talent, ensuring that there are professionals prepared to manage and operate sustainable technologies.

Future research should focus on analyzing how SMEs can overcome technological and financial barriers to adopt sustainable practices and how public policies can be designed to foster a favorable environment for green innovation and sustainability. This integrative approach would not only improve the competitiveness of Colombian companies in the global market, but also significantly contribute to the sustainable development goals in the country and the international context.

Innovative Aspects of the Study

• Relevance for Public Policy: The findings highlight the critical role of public energy transition policies in promoting the generation and utilization of clean energy. For instance, the 2018–2022 National Development Plan “Pact for Colombia, Pact for Equity” successfully integrated sustainability goals that resulted in measurable outcomes in reducing greenhouse gas emissions and enhancing the energy transition.
• Economic Incentives: It is imperative for the government to create and sustain economic incentives that facilitate the adoption of renewable energy technologies among SMEs. This can include the establishment of dedicated funds for green projects, streamlined procedures for grants and loans, and attractive tax exemptions to lower the financial barriers for SMEs.
• Private Sector Support: Large companies can significantly contribute to the energy transition by mentoring SMEs and forming strategic partnerships. Such collaborations can help SMEs access advanced technologies and expertise, thereby overcoming initial implementation barriers and fostering a more inclusive energy transition.
• Methodological Route: The proposed methodological route for implementing energy transition in SMEs serves as a practical framework. This framework guides SMEs in leveraging fiscal incentives and subsidies, thus enabling them to contribute effectively to the energy transition.
• Academic Contributions: Continuous applied research is essential to address the specific needs of SMEs within the energy transition context. Collaboration between academia and industry can drive innovations that are both technologically advanced and economically viable. Moreover, academia plays a pivotal role in developing the human capital needed to manage and operate sustainable technologies.
• Future Research Directions: Future research should focus on identifying and addressing the technological and financial barriers that SMEs face in adopting sustainable practices. Additionally, public policy research should aim to create an enabling environment for green innovation and sustainability. This integrative approach will enhance the competitiveness of Colombian SMEs globally and contribute to the country’s sustainable development goals.

The contribution of this study to the development of science lies in its comprehensive analysis of the energy transition policies and practices in Colombia, providing a detailed methodological route for SMEs to effectively adopt renewable energy technologies. This research fills a critical gap by offering practical guidelines and strategic recommendations tailored to the unique economic and technological contexts of Colombian SMEs. Moreover, it introduces an integrated approach that combines digital transformation with sustainable energy practices, highlighting the synergistic effects of these two trends on improving energy efficiency and reducing GHG emissions.

From a practical standpoint, the results of this study have significant implications for policymakers, business leaders, and academics. Policymakers can utilize the findings to design more effective incentives and support mechanisms that facilitate the energy transition among SMEs. Business leaders can implement the proposed methodological route to enhance their sustainability practices and competitiveness. Additionally, the research provides a foundation for further academic inquiry into the intersections of digital transformation and sustainable energy, encouraging the development of innovative solutions to global environmental challenges.