Opportunities and Domestic Barriers to Clean Energy Investment in Chile

By Annie Dufey on July 23, 2010

Chile faces strong pressures to increase its share of clean energy generation: strong projected growth in demand, depedence on imported fuels, rising prices of those imports, climate change concerns and growing public opposition to large hydro expansion.

Much has already been done to foster clean energy investment; Chile has made undeniable progress with regulatory reform and incentives to foster clean energy investment. This paper surveys the state of Chile's energy supply regimes — regulatory and policy frameworks, trends and current status — assesses the measures already taken, and highlights the barriers that remain to be addressed if Chile is to generate sufficient investment to achieve its clean energy-related goals. This is an English translation of the original Spanish version of the paper also available on IISDnet.

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IISD and Fundacion Chile, 2010