This report begins with an overview of the status of renewable energy technologies for power generation and their global markets. It then provides overviews of (1) the power sector in Latin America and the Caribbean and (2) regional renewable energy development to date. It also provides an assessment of the barriers to the continued development of renewable energy in the region, along with best practices for addressing them. And, the authors analyze the impacts of climate change in the region and suggest adaptation strategies for the power sector. The report ends with recommendations to multilateral development banks, including the Inter-American Development Bank, on how they can best position and strengthen their role as a driving force behind the development of a future energy system powered by a large share of renewables in Latin America and the Caribbean.