The energy sector in Colombia has been one of the main pillars of development in the country for its contribution to economic growth, to the increase of private investment and to employment generation. The energy sector also contributes to fund a significant portion of the national budget which is devoted to social development, via the collection of royalties, taxes and dividends.

Colombia has had a liberalized energy market since 1995. The sector is characterized by an unbundled generation, transmission, distribution, and commercialization framework.

The structure of the Colombian energy market is based on Laws 142 (Public Services Law) and 143 (Electricity Law) of 1994. The Ministry of Mines and Energy is the leading institution in Colombia’s energy sector. Within the Ministry, the Unit for Mining and Energy Planning (UPME) is responsible for the study of future energy requirements and supply situations, as well as for drawing up the National Energy Plan and Expansion Plan.

The Regulatory Commission for Gas and Energy (CREG) is in charge of regulating the market for the efficient supply of energy. It defines tariff structures for consumers and guarantees free network access, transmission charges, and standards for the wholesale market, guaranteeing the quality and reliability of the service and economic efficiency. Among others, CREG is responsible for providing regulations that ensure the rights of consumers, the inclusion of environmental and socially sustainable principles, improved coverage, and financial sustainability for participating entities

The provision of public services to final users is supervised by the independent Superintendency for Residential Public Services, or SSPD.

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http://www.energycharter.org/fileadmin/DocumentsMedia/Other_Publications/20160729Colombia_Energy_Investment_Report.pdf

https://en.wikipedia.org/wiki/Electricity_sector_in_Colombia#Policy_and_regulation