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Chile's constitutional convention switches focus to energy

Bnamericas

Chile’s legislature and constitutional convention are debating several changes closely related to the energy sector.

In the convention, which is tasked with drawing up a new constitution, an article enshrining the constitutional status of the energy sector was approved by the environment, rights of nature, common natural goods and economic model commission, meaning it will now be voted on by the full convention.

The text, which would constitutionally determine principles previously contained in the law – there is no direct mention of energy-related matters in Chile’s current constitution – establishes that the Chilean State must provide “the necessary institutions to fulfill its duties in energy matters, sharing up-to-date information transparently, and allowing citizens to participate openly in the decision-making process, among other obligations established by the law.”

Another energy-related article was also given the green light which establishes that the State must guarantee an equitable and non-discriminatory access to energy supply while promoting clean and efficient technologies under Chile’s emissions reduction commitments. Its wording also opens the door for the State to have a more active role in the sector.

“The State will fulfill the role of an active agent in the energy sector … as arbiter and regulator of the energy market, developing or extending concessions to build energy generation, transport [transmission], distribution and storage works, as well as by drafting and promoting policies and plans that protect energy security and the efficient use of energy in all consuming sectors,” the text states.

The commission suffered a big setback late Thursday, when only six out of the 40 articles it proposed to the full convention were approved. 

Among some of the more unusual proposals rejected were articles establishing the creation of a commission to assess reparations for violations of nature’s rights by humans (with 44 votes in favor, 92 against and 14 abstentions), and another establishing the State’s duty to “ensure that electromagnetic frequencies to which nature is submitted do not provoke grave alterations to the health of persons, animals or ecosystems, based on the relevant scientific evidence” (with 49 in favor, 88 against and 16 abstentions).

Among the articles approved were those enshrining a recognition by the Chilean State of the climate crisis and a duty to develop mitigation and prevention measures, as well as one to protect nature’s rights and a duty to avoid, mitigate or repair significant environmental damage. Also approved was an article protecting animal rights and establishing a public agency to combat mistreatment, as well as articles establishing the right of citizens to participate openly in environmentally relevant decisions and another compelling the State to give open access to environmentally relevant information.

Articles supported by 104, or two thirds, of convention members are approved in general and can then be adjusted by specific amendments, while articles with majority support of 78 members but which fall short of the two thirds supermajority, go back to their respective commission for redrafting. Articles with support of less than 78 members are rejected outright.

ENERGY STORAGE BILL

Legislators in Chile’s lower chamber, meanwhile, approved and sent to the senate a bill to encourage the installation of battery storage capacity in the electric power system through modifications to capacity payment regulations and allowing infrastructure that both consumes and generates electricity.

The bill would open the door for pure storage systems in the Chilean power grid, meaning storage capacity that is not connected to any specific generation project and instead sells services to the grid itself, helping stabilize loads and optimize transmission grid operations. It would also allow electric vehicles to work as storage systems for the electricity grid while they are plugged in during certain times of day.

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