Chile- 'Private sector is a fundamental player to increase the current decarbonization figure of the national energy matrix: 29%'

PRESS RELEASE from Black & Veatch
November 2022

(Machine translation of the original release, issued in Spanish)

According to the most recent report issued by the National Electricity Coordinator ( CEN ) and the National Energy Commission, in the last 12 months our country managed to make national electricity generation from solar and wind energy exceed that generated by coal, the result of hard work public-private project that has been carried out for more than a decade to promote non-conventional renewable energy (ERNC).

As is well known, Chile is the best positioned country in the region for the promotion of public policies that make it possible to reverse the serious effects of climate change, placing special emphasis on the objective of completely decarbonizing the national energy matrix by 2050. In this sense, and According to the most recent report issued by the National Electricity Coordinator (CEN) and the National Energy Commission, in the last 12 months our country achieved that 29% of the national electricity generation came from solar and wind energy, surpassing for the first time coal-fired power.

In detail, the report highlights that, of the total 62,429.8 GWh of annual electricity generation in our country, 20,014 GWh were produced by renewable energies (29%), while 27% was produced by coal.

“This milestone, without a doubt, represents the great progress that we are having as a country and reflects the effort of all the actors that are committed to this great objective. However, reaching full decarbonization requires much more effort and investment, and this is where the private sector has a great responsibility. Achieving it is completely feasible, but it requires the development of intelligent, specialized and experienced strategic plans so as not to lose resources in the attempt”, highlights Ángela Castillo, Business Development Director - Energy & Process Industries for Black & Veatch Latin America.

In terms of progress, it is worth noting that the Chilean Ministry of Energy plans to continue raising these favorable figures, maintaining the discussion for the current bill that aims to establish new NCRE generation quotas for the electrical system with a global goal of 40 % for each hourly block.

“If approved, this initiative will increase investment in renewable energy since the generators that today produce energy based on fossil fuels will have to carry out more renewable projects to meet the required goals. In addition, companies must obtain and operate under the "green certificate" through different actions; actions that will help us gradually continue adding to industrial decarbonization”, adds Castillo.

With all of the above it is evident that, on the part of the public sector, the conditions are developing by leaps and bounds to achieve the final macro objective, "but the establishment of each goal implies great challenges for the private sector, which must be faced with the establishment of Roadmaps from this early stage to gradually evolve over time, making each project economically viable, and that is exactly the value that as Black & Veatch we bring to the industry”, the executive highlights.