Electricity in Chile in 2023/2024

Over the past year, from September 2023 to August 2024, Chile has made significant progress in embracing low-carbon electricity sources. More than half of the country's electricity generation, about 69%, is derived from clean energy sources such as hydropower, solar, wind, and biofuels. Hydropower is a substantial contributor, generating nearly a third of the electricity, followed by solar energy, which accounts for almost 21%, and wind energy, contributing about 12%. On the other hand, fossil energy also plays a role, making up nearly 31% of total electricity production. This includes coal at approximately 16% and gas at nearly 14%. The strong presence of low-carbon energy reflects Chile's commitment to reducing its carbon footprint, yet there's room for further growth to decrease reliance on fossil fuels.

Suggestions

Chile can enhance its low-carbon electricity generation by significantly expanding its existing wind and solar infrastructure, given that these sources already contribute substantially to electricity generation. By looking at similar successful cases, Chile can draw valuable insights from Denmark, where wind energy powers 59% of their electricity needs, and Uruguay, which generates 36% from wind. Chile could also consider exploring nuclear energy, which has proven highly effective in other countries, such as France, where it accounts for 67% of electricity generation. Investing in nuclear power could provide a stable, low-carbon baseline to complement the more variable nature of wind and solar energy.

History

Historically, Chile has seen varied growth in low-carbon electricity sources, with significant fluctuations over time. In the early 1990s, hydropower saw steady increases, including notable rises of 4.2 TWh in 1991 and 3.6 TWh in 1992. While there were declines in 1998 and 1999, Chile experienced a resurgence in the early 2000s, spiking by 4.9 TWh in 2000. In more recent years, there have been consistent gains in both hydro and solar power, with solar energy surging by 3.1 TWh in 2021 and continuing to grow in subsequent years. While there have been temporary setbacks in water energy, the country has persisted in its efforts to harness low-carbon electricity. Continued expansion in solar and emerging interest in wind and potentially nuclear energy will be instrumental for Chile's sustainable electricity future.

Electricity Imports and Exports

Balance of Trade

Data Sources