The Deviations Mechanism as an Incentive Tool for Generation Program Compliance in the Energy Transition: A Perspective from the Colombian Electricity Market Design

The integration of non-conventional renewable energy sources (NCRES) into electricity systems presents unprecedented operational and regulatory challenges. This paper examines the deviations mechanism in the Colombian electricity market from both technical and strategic perspectives, evaluating its capacity to incentivize generation program compliance while enabling the effective participation of variable renewable technologies. Through a comparative analysis of international mechanisms in Spain, the United Kingdom, and Chile, and based on empirical data from the Colombian system, this study demonstrates that the traditional imbalance settlement framework requires redesign to align with energy transition objectives.