December 9 (Renewables Now) - Renewables will supply 93% of electricity in Chile in 2050, and up to 98% if the country goes through its planned coal phase-out, according to a new joint report prepared by Bloomberg New Energy Finance (BNEF) and Spanish renewables and infrastructure group Acciona SA (BME:ANA).
This high share in renewables generation will be achieved thanks to Chile’s abundance in wind and solar resources which, alongside installations of utility-scale batteries, will drive the future power production.
Wind and solar are projected to grow to 40% of generation by 2030 and 67% by 2050 from today’s 13%, moving investments to the tune of billions of US dollars.
The retirement of fossil-fuel capacity will be accompanied by battery storage installations to replace backup plants and complement the solar build-out over the next decades. BNEF-Acciona analysts project a larger uptake of large-scale batteries to start from the mid-2030s, reaching some 13 GW of storage capacity by 2050.
If Chile decides to fully retire its coal-fired capacity, more wind power and storage would need to come online and sooner. This endeavour will require an additional USD 10.8 billion (EUR 9.8bn) in total investments compared to the base scenario which puts the figure at USD 42.4 billion.
The BNEF-Acciona outlook sees Chile exceeding the 2050 target adopted by the government in the Energy 2050 Roadmap. The Chilean government’s goal to reach at least 70% of renewable power generation by 2050 will be achieved 20 years early, the report states.
The full report “Chile Power System Outlook” can be viewed at this link: https://data.bloomberglp.com/professional/sites/24/Flexibility-Solutions-for-High-Renewable-Energy-Systems-Chile-Outlook.pdf
(USD 1.0 = EUR 0.903)