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Chile
Accession country
Energy system of Chile
Based on its excellent renewable energy resources, Chile has taken a globally leading role in clean energy, and emerged as a world-class destination for solar and wind energy developers. Its legislation encourages investment in generating capacity across the electricity sector. The expanded role of the state in energy planning has helped to boost project development, especially in electricity transmission. Since 2017, the country also has a single interconnected national electricity system.
This frontrunner role is underlined by the governments pledge to net-zero by 2050, which includes closing two thirds of coal plants by 2025. This goal is supported by a Just Transition Strategy, currently being developed by the government. It also includes, for the first time, a focus on green hydrogen and electric mobility, in line with the respective National Hydrogen Strategy (2020) and the Electromobility Strategy (2022). The former aims for 5 GW of electrolysis capacity by 2025, while the latter lays out a goal of 100% electric vehicle sales by 2035.
Policies
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Key recommendations, 2018
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Ensure progress towards the goals of the National Energy Policy 2050, including the medium-term target of 60% renewable electricity by 2035 and the 2050 target of 70% renewable electricity, by spelling out concrete and immediate actions. Consider increasing the ambitions on sustainability and energy security.
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Strengthen the government’s role in enhancing planning and consultation for energy policy and investments, and broaden the government’s sectoral coverage and inter-ministerial co-ordination.
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Ensure that electricity market design and infrastructure are developed to facilitate the value-maximising integration of variable renewable energy into the electricity system.
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Work ambitiously to limit energy-related GHG emissions through the country's significant potential for energy efficiency and renewable energy.