Crucial intelligence to understand the changing dynamics of the Chilean energy market
Chile is leading South America’s renewable energy expansion, with solar PV and wind now comprising around 40% of the country’s installed capacity. However, the geographic gap between the solar-rich northern regions and the high-demand central areas presents challenges, including intraday price volatility and curtailment. Battery storage is emerging as a critical solution to balance supply-demand mismatches and enhance grid stability, with approximately 2 GW of capacity already in development. Beyond decarbonising its power grid, Chile is leveraging its exceptional solar potential to pursue a global leadership role in green hydrogen production.
What you need to know about the market
- Renewable Dominance: By 2060, over 90% of Chile’s power generation will come from renewables, with solar accounting for nearly half of the total installed capacity.
- Coal Phase-Out Impact: A complete coal phase-out by 2040 will help Chile decarbonise and also impact power prices in the medium term with more expensive source replacing coal generation.
- Battery and Grid Expansion: Long-duration batteries and the Kimal-Lo Aguirre transmission line will play crucial roles in stabilising the grid and reducing regional price disparities.
Which products are available?
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Power & Renewables ServiceRobust, transparent analysis, widely used and trusted amongst major market participants and bankable forecasts to support asset financing and in-depth analysis to underpin your investment strategies
Meet the team
Ana Barillas
Enilio Álvarez
Marvin Gareiss
Priscila Vellano
