Colombia: Second extension of deadline to apply for tax benefits involving renewable energy projects
December 31, 2025 deadline
The Mining and Energy Planning Unit (Unidad de Planeación Minero-Energética (UPME)) announced a second extension of the deadline—from November 28, 2025, to December 31, 2025—for applications for tax benefits under Law 1715 of 2014.
The available benefits include:
- Special 50% income tax deduction
- Accelerated depreciation for income tax purposes
- Value added tax (VAT) exemption
- Exemption from import duties
Types of eligible investment projects include:
- Electricity generation from non-conventional energy sources (NCES)
- Energy efficiency management actions or measures aligned with the PAI-PROURE 2022-2030
- Production, storage, and end use of hydrogen (green and blue)
Taxpayers unable to apply during the extended period may still submit applications in 2026 within the established deadlines and dates (Cycle 1: February 15 to May 14; and Cycle 2: August 15 to November 14).
Read a December 2025 report (Spanish) prepared by the KPMG member firm in Colombia