Snapshot: Chile’s first transmission auction of 2023

Chile’s grid coordinator CEN launched the first transmission auction of 2023, which comprises 22 expansion projects.

Associated requisite outlay is around US$82mn.

Against a backdrop of rapid expansion of its renewable energy sector, Chile – like other countries decarbonizing their power generation industries – needs to bolster its grid to support and accompany wind and solar growth.

Officials are awaiting long-term sector plans, those that encompass major new-build projects, such as the Kimal-Lo Aguirre HVDC line, which is in the early works phase, to help dispatch electricity from generation hubs in the north. Existing grid infrastructure capacity in some zones to the south is also being absorbed amid growth in renewables plants there.

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According to official estimates, Chile will need 4,000km of new lines in the coming years to expand the current network of roughly 30,000km.

Projects offered in the current auction chiefly comprise substation expansions, with the biggest requiring around US$10mn. The planned work corresponds to energy ministry decrees No. 200 of 2022 and No. 185 of 2021.

CEN has tweaked terms and conditions to incorporate, among other changes, industry best-practice requirements in the sphere of supplier, contractor and subcontractor management. 

Offers are due by June 14 and award decisions are scheduled to be published September 4, according to auction documents.

At least one auction for new-build projects is expected this year also.

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THE PROJECTS IN THE FIRST CEN TRANSMISSION AUCTION OF 2023

CEN has bundled together some projects in five groups, with the others being offered individually. 

LOT 1

Project: Sectioning of circuit No. 1 of 2x110kV line Agua Santa-Laguna Verde at the Los Placeres substation and increasing capacity of the 2x100kV Tap Placeres-Los Placeres line

Infrastructure owner: Chilquinta Transmisión

Reference price: US$4.24mn

***

Project: Expansion of the 220kV La Pólvora substation.

Infrastructure owner: Casablanca Transmisora de Energía

Reference price: US$2.29mn

***

Project: Expansion of the Peñablanca substation

Infrastructure owner: Chilquinta Transmisión

Reference price: US$3.89mn

LOT 2

Project: Expansion of the Nueva Pozo Almonte 220kV substation

Infrastructure owner: Red Eléctrica del Norte

Reference price: US$2.08mn

LOT 3

Project: Expansion of the Santa Isabel 220kV substation 

Infrastructure owner: CGE Transmisión

Reference price: US$2.05mn

***

Project: Expansion of the Panguilemo substation

Infrastructure owner: Compañía General de Electricidad

Reference price: US$3.17mn 

***

Project: Expansion of the Parronal substation and sectioning of the 1x66kV line Los Maquis-Hualañé.

Infrastructure owner: Compañía General de Electricidad

Reference price: US$4.27mn 

***

Project: Expansion of the 66kV Los Maquis substation, new transformer and sectioning of 2x66kV line Itahue-Talca

Infrastructure owner: CGE Transmisión

Reference price: US$4.86mn

LOT 4

Project: Expansion of Casas Viejas substation

Infrastructure owner: CGE Transmisión 

Reference price: US$5.38mn

LOT 5

Project: Expansion of San Pablo substation

Infrastructure owner: Enel Transmisión Chile

Reference price: US$4.24mn

LOT 6

Project: Expansion of the Leyda substation

Infrastructure owner: CGE Transmisión

Reference price: US$3.68mn

LOT 7

Project: Expansion of the Hospital substation

Infrastructure owner: CGE Transmisión 

Reference price: US$4.60mn

***

Project: Expansion of the Isla de Maipo substation

Infrastructure owner: Compañía General de Electricidad 

Reference price: US$3.15mn 

LOT 8

Project: Expansion of the capacity of 1x220kV line Charrúa-Hualpén, stretch corresponding to Concepción-Hualpén

Infrastructure owner: Transelec

Reference price: US$4.21mn

LOT 9

Project: Expansion of the 220kV Lagunillas substation

Infrastructure owner: Transelec

Reference price: US$1.87mn

***

Project: Expansion of the capacity of 1x66kV line Coronel-Arenas Blancas

Infrastructure owner: Compañía General de Electricidad 

Reference price: US$1.55mn

LOT 10

Project: Expansion of the Hualqui 220kV substation

Infrastructure owner: Mataquito Transmisora de Energía

Reference price: US$1.89mn

LOT 11

Project: Expansion of the Chimbarongo substation and sectioning of the 1x66kV San Fernando-Teno line

Infrastructure owner: CGE Transmisión

Reference price: US$4.37mn

***

Project: Expansion of the Las Cabras substation

Infrastructure owner: Compañía General de Electricidad 

Reference price: US$3.08mn 

LOT 12

Project: Expansion of the Paillaco substation and sectioning of the 1x66kV Llollelue-Los Lagos line

Infrastructure owner: Cooperativa Eléctrica Paillaco Sistema de Transmisión del Sur

Reference price: US$4.37mn

LOT 13

Project: Expansion of the Dalcahue substation

Infrastructure owner: Sistema de Transmisión del Sur

Reference price: US$3.44mn

LOT 14

Project: Expansion of the 220kV Don Héctor substation and sectioning of the 2x220kV Nueva Maitencillo-Punta Colorada line

Infrastructure owner: Transelec 

Reference price: US$10.0mn