El Salvador has a diversified electricity mix with a strong, growing reliance on renewable energy, which comprised over 60% of generation in 2024, including significant geothermal, hydro, solar, and biomass sources. Fossil fuels, primarily natural gas, make up roughly 32–40% of the mix, while the country heavily focuses on increasing solar capacity to reduce oil dependence. Solar capacity is projected to reach 500 MW and wind 200 MW by 2030.

The country is engaging in international technical cooperation to develop hydrogen and geothermal policies, aiming for decarbonization and energy independence. It is rapidly expanding its renewable energy capacity (solar, wind, and hydro) to power future green hydrogen production, with major projects like the Bósforo Solar Project, already in operation.