Over the past decade, Chile has made progress in closing coal-fired power plants and expanding clean energy sources such as solar and wind power, in pursuit of its goal of carbon neutrality by 2050. This development has positioned the country as one of the leaders in renewable energy in South America. However, it has not been without challenges.

At peak solar energy generation times, Chile’s transmission grid is unable to absorb all of the energy it receives from the north, where most solar generation is concentrated. This leads to energy losses, a phenomenon known as curtailment. The Ministry of Energy’s 2023-2027 Transmission Expansion Plan states that the current limitations of Chile’s transmission infrastructure mean areas with available capacity need to be prioritised while new transmission systems are being planned.

Recent data from the National Electricity Coordinator (CEN) shows the northern region of Antofagasta makes the highest demands on Chile’s national electricity system, mostly due to being the world’s most productive copper mining region. But electricity demand is also growing rapidly in the central regions of Metropolitan Santiago and Valparaíso. Here, major urban centres account for a large share of that consumption. As a result, renewable energy plans now abound in central Chile.

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