Chile and Argentina
News

Southern Cone watch: Chile energy storage law, Argentina renewables record

Bnamericas Published: Monday, November 21, 2022

Chile’s energy storage and electromobility bill has become law. 

The text was published in the official gazette Monday after being given the green light by congress this month.

A central pillar of the legislation – which amends the country’s general law of electricity services – is a measure that opens the door for remuneration for power injected into the grid by pure storage projects, that is, those not linked to a generation plant. 

With regard to electromobility, the draft legislation, among other measures, would allow electric vehicles to enter the power market. Owners would be remunerated for injecting electricity into the grid and using the battery of their vehicle for storage.

Renewables player Solek supports the law, saying the framework will help accelerate decarbonization of the country’s power grid and reduce curtailment stemming from transmission congestion during peak production hours.

The energy ministry has a year to draft the secondary legislation that will govern the law's implementation. 

Read the text

***

Argentina registered renewable energy generation records in October, the federal energy department said.

Wind (1.30TWh), solar (315GWh), mini-hydro (106GWh), biomass (70.6GWh) and biogas (34.4GWh) plants together generated some 1.8TWh for the month, covering 17.8% of demand.

Argentina has a goal of hitting 20% by 2025. A hurdle facing the country is transmission congestion, hindering the introduction of new large-scale plants at certain points on the grid. 

Last year, renewables covered an average of 13% of overall demand, up from 10% in 2020. 

Last month, renewables coverage peaked at 31.3% on the morning of October 8, beating the previous record, of 30.4%, set on April 3, the federal energy department said.

Argentina’s business sector, via private power-purchase agreements through the Mater term market, has been driving growth in installed capacity in recent years. 

However, a 400-450MW government auction for supply contracts is due to be launched by year-end. The federal government and wholesale power market administrator Cammesa recently received more than 400 expressions of interest in renewable energy projects. Officials want to build out renewable energy capacity near to centers of consumption, with a key aim of reducing diesel-fired forced generation.       

In a planning report, Cammesa said that 280MW Pampa Energía combined-cycle project Ensenada Barragán was due to come online in October through end-April along with 131MW wind, 246MW solar, and 8.4MW bio energy.

Installed capacity in Argentina stands at 42.9GW, with thermoelectric accounting for 25.3GW, hydroelectric 10.8GW, renewables 5.03GW, and nuclear 1.76GW, according to Cammesa data.

Subscribe to the most trusted business intelligence platform in Latin America. Let us show you our solutions for Suppliers, Contractors, Operators, Government, Legal, Financial and Insurance.

Subscribe to Latin America’s most trusted business intelligence platform.

Other projects in: Electric Power (Argentina)

Get critical information about thousands of Electric Power projects in Latin America: what stages they're in, capex, related companies, contacts and more.

Other companies in: Electric Power (Argentina)

Get critical information about thousands of Electric Power companies in Latin America: their projects, contacts, shareholders, related news and more.

  • Company: Tecno Logisti-K S.A.  (Tecno Logisti-K)
  • The description included in this profile was taken directly from an official source and has not been modified or edited by the BNamericas’ researchers. However, it may have been...
  • Company: Integra Capital S.A.  (Integra Capital)
  • The description included in this profile was taken directly from an official source and has not been modified or edited by the BNamericas’ researchers. However, it may have been...
  • Company: Empresa Distribuidora Sur S.A.  (Edesur)
  • Argentine power company Empresa Distribuidora Sur S.A. (Edesur) is engaged in the distribution and sale of electric power to Buenos Aires and 12 outlying provinces. It serves mo...