Electricity sector in Chile
| Data | |
|---|---|
| Electricity coverage (2003) | 97% (total), 90% (rural); (LAC total average in 2007: 92%) 11.5 h interruption per subscriber |
| Installed capacity (2022) | 33.18 GW |
| GHG emissions from electricity generation (2003) | 13.82 Mt CO2 |
| Average electricity use (2007) | 3,326 kWh per capita |
| Distribution losses (2005) | 6.52%; (LAC average in 2005: 13.6%) |
| Tariffs and financing | |
| Average residential tariff (US$/kW·h, 2004) | 0.109; (LAC average in 2005: 0.115) |
| Average industrial tariff (US$/kW·h, 2006) | 0.0805 (LAC average in 2005: 0.107) |
| Services | |
| Sector unbundling | Yes |
| Share of private sector in generation | 100% |
| Share of private sector in transmission | 100% |
| Competitive supply to large users | No |
| Competitive supply to residential users | No (if below 2 MW) |
| Institutions | |
| No. of service providers | generation: 36, transmission: 5, distribution: 36 |
| Responsibility for transmission | Transelec |
| Responsibility for regulation | Fuel and Electricity Superintendence (SEC) |
| Responsibility for policy-setting | National Energy Commission (CNE) |
| Responsibility for the environment | Ministerio del Medio Ambiente |
| Electricity sector law | Yes (1982, modified in 2004 and 2005) |
| Renewable energy law | Yes |
| CDM transactions related to the electricity sector | 8 registered CDM projects; 2 Mt CO2e annual emissions reductions |
As of August 2020 Chile had diverse sources of electric power: for the National Electric System, providing over 99% of the county's electric power, hydropower represented around 26.7% of its installed capacity, biomass 1.8%, wind power 8.8%, solar 12.1%, geothermal 0.2%, natural gas 18.9%, coal 20.3%, and petroleum-based capacity 11.3%. Prior to that time, faced with natural gas shortages, Chile began in 2007 to build its first liquefied natural gas terminal and re-gasification plant at Quintero near the capital city of Santiago to secure supply for its existing and upcoming gas-fired thermal plants. In addition, it had engaged in the construction of several new hydropower and coal-fired thermal plants. But by July 2020 91% of the new capacity under construction was of renewable power, 46.8% of the total solar and 25.6% wind, with most of the remainder hydro.
Chile's electricity sector changes were carried out in the first half of the 1980s. Vertical and horizontal unbundling of generation, transmission and distribution and large scale privatization led to soaring private investment. The 1982 Electricity Act was amended three times in 1999, 2004 and 2005 after major electricity shortages. Further amendments are envisaged.