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Searching for Security of Energy Supply Through Renewable Energy Sources: A Practical Overview of the Chilean Case

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From Fossil Fuels to Low Carbon Energy Transition

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Abstract

Within the context of an open economy with a liberalised electricity market, Chile is searching for a regulatory framework and long-term energy policies capable to bring security of energy supply. Therefore, it has implemented a series of reforms and regulations in the field of energy policy capable of bringing long-term stability to reach foreign investment and strategic cooperation that would allow, in the long term, to provide through the implementation of technologies related to Non-Conventional Renewable Energy (NCRE), a native and low-cost source of fuel to achieve energy independence and Security of Energy Supply. So far the efforts have been fruitful and the country has already managed to meet its self-imposed goal of generating 20% of its electricity with NCRE by 2025, while keeping in mind that these advances are only the first part of the road ahead.

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Notes

  1. 1.

    Library of Chilean National Congress: https://www.bcn.cl/siit/nuestropais/index_html.

  2. 2.

    Chile’s oil record production accounted for only 3% of its total oil consumption in 2012 (around 1 thousand barrels per day [kb/d]).

  3. 3.

    IEA, 2014. Energy Supply Security: Emergency Response of IEA Countries 2014, s.l.: Astrid Dumond, Therese Walsh, Barbara Zatlokal.

  4. 4.

    IEA, 2018. Energy Policies Beyond IEA Countries - Chile 2018, s.l.: IEA Publications.

  5. 5.

    Mining Council, 2021. Updated Mining Figures, Santiago: Chilean Mining Council.

  6. 6.

    Ibid.

  7. 7.

    Ibid., 3.

  8. 8.

    As stated by the Commission of the European Communities the concept of Security of Supply can be understood as the ‘uninterrupted physical availability of energy products on the market, at a price which is affordable for all consumers (private and industrial)’; ‘Towards a European strategy for the security of energy supply’, Brussels (29.11.2000), COM(2000) 769 final.

  9. 9.

    Energy Ministry, 2015. Energy Policy for Chile: Energy 2050, Santiago: s.n.

  10. 10.

    CNE, 2016. 2015 Energy Statistical Yearbook Chile, Santiago: s.n.

  11. 11.

    In 2005, natural gas accounted for 22% of Chile’s total domestic installed power generation (CNE, 2016).

  12. 12.

    IEA, 2009. Chile Energy Policy Review 2009, Paris: s.n.

  13. 13.

    See in Spanish: http://www.leychile.cl/Navegar?idNorma=222380.

  14. 14.

    Nasirov, S. A. C. S. C. e. a., 2017. Renewable energy transition: a market-driven solution for the energy and environmental concerns in Chile. Clean Technologies and Environmental Policy, October.

  15. 15.

    See in Spanish: http://www.leychile.cl/Navegar?idNorma=270212&idParte=0.

  16. 16.

    See in Spanish: http://www.leychile.cl/Navegar?idNorma=1008692&idParte=0.

  17. 17.

    Energy Ministry, 2012. National Energy Strategy 2012–2030, Santiago: s.n. See in Spanish: 3_Estrategia-Nacional-de-Energia-2012-2030_Energia-para-el-Futuro.pdf.

  18. 18.

    IEA (n 12).

  19. 19.

    In Chile, the concept of ‘Non-Conventional Renewable Energy’ excludes large hydropower projects from the category, which is conceptualised as a Renewable Energy.

  20. 20.

    See in Spanish: https://www.bcn.cl/leychile/navegar?idNorma=1055402&idParte=.

  21. 21.

    See in Spanish: https://www.bcn.cl/leychile/navegar?idNorma=1074277.

  22. 22.

    PĂ©rez-Arriaga, I. J., 2013. Regulation of the Power Sector. PĂ©rez-Arriaga, Ignacio J. ed. s.l.:Springer-Verlag London.

  23. 23.

    See in Spanish: https://www.bcn.cl/leychile/navegar?idNorma=1092695.

  24. 24.

    Energy Ministry (n 9). See in Spanish: http://biblioteca.digital.gob.cl/handle/123456789/611.

  25. 25.

    Energy Ministry (n 5).

  26. 26.

    See in Spanish: https://www.bcn.cl/leychile/navegar?idNorma=1125560&idParte=9968877.

  27. 27.

    For a complete review to the regulatory energy framework in Spanish, access the following link: https://energia.gob.cl/mapa-del-sector-energetico.

  28. 28.

    ACERA, 2021. Statistics Generation Sector Renewable Electrical Energy, s.l.: s.n.

  29. 29.

    ACERA, 2021. Statistics Generation Sector Renewable Electrical Energy, s.l.: s.n.

  30. 30.

    CNE, 2021. Energy Sector Report March 2021, Santiago: s.n.

  31. 31.

    Government of Chile, 2020. Decree N°50, Santiago: s.n.

  32. 32.

    COCHILCO, 2020. Gross Domestic Product by Economic Activity, at Current Prices, Santiago: s.n.

  33. 33.

    Energy Ministry, 2020. National Green Hydrogen Strategy, Santiago: Energy Ministry of Chile.

  34. 34.

    Hydrogen produced with low-cost renewable energy.

  35. 35.

    Energy Ministry, 2020. National Green Hydrogen Strategy, Santiago: Energy Ministry of Chile.

  36. 36.

    Ibid.

  37. 37.

    Ibid., 4.

  38. 38.

    Salinas Quintana, P., 2018. The Environmental Path: Challenges and Projections for a Future Chile, Santiago: s.n.

  39. 39.

    Energy Ministry, 2020. National Green Hydrogen Strategy, Santiago: Energy Ministry of Chile.

  40. 40.

    Energy Ministry (n 35).

  41. 41.

    Located in the extreme south of the national territory. It is located in the southwestern part of the continent from 48° 36′ to 56° 30′ south latitude and between meridians 66° 25′ and 75° 40′ west longitude: Library of Chilean National Congress: https://www.bcn.cl/siit/nuestropais/region12.

  42. 42.

    Energy Ministry (n 35).

  43. 43.

    Energy Ministry, 2020. National Green Hydrogen Strategy, Santiago: Energy Ministry of Chile.

  44. 44.

    Energy Ministry (n 35).

  45. 45.

    COCHILCO, 2018. Forecast for water consumption in the copper mining Industry, 2018–2029, Santiago: s.n.

  46. 46.

    IRENA, 2020. Global Renewables Outlook: Energy transformation 2050, Abu Dhabi: s.n.

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Zamorano, A. (2022). Searching for Security of Energy Supply Through Renewable Energy Sources: A Practical Overview of the Chilean Case. In: Wood, G., Neira-Castro, J.F. (eds) From Fossil Fuels to Low Carbon Energy Transition. Energy, Climate and the Environment. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-031-00299-1_4

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