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Energy Ministry and InvestChile launch roadshow to promote portfolio of transmission projects

18 March, 2019
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The portfolio includes projects for the construction and operation of new infrastructure and the expansion of existing infrastructure; it comprises a total of 56 projects with a reference value of US$409 million.

This morning, Energy Minister Susana Jiménez launched an international roadshow designed to attract new investors to Chile in this year’s tenders for projects corresponding to the Chilean Electricity Transmission Expansion Plan.

The objective of the tenders is to award contracts for the construction and operation of new infrastructure and the expansion of existing infrastructure. They will include a total of 56 projects with a reference value of US$409 million.

At the activity, which was attended by over 240 people, Minister Jiménez was accompanied by the president of the Governing Council of the National Electricity Coordinator, Juan Carlos Olmedo; the director of InvestChile, Cristián Rodríguez; and the executive secretary of the National Energy Commission (CNE), José Venegas.

According to Minister Jiménez, Chile’s economic recovery in 2018 was driven by investment, which rose following a sustained drop in the previous four years.

“The energy sector has played a fundamental role in this recovery, attracting investment of close to US$3,124 million and becoming the third most important economic sector in terms of investment. Today, 30 power plants, representing a capacity of almost 1,900 MW, are being built. It is essential that transmission keeps pace with this development and there are already 1,351 km of lines under construction which, once complete, will have implied an investment of some US$1,700 million. As these numbers clearly reflect, the Chilean energy sector is today a dynamic and competitive sector, with investment driven entirely by private companies,” said Minister Jiménez.

According to the director of InvestChile, Cristián Rodríguez, “the availability of energy at competitive prices is one of the key factors that all companies analyze when evaluating a project in Chile, so the challenge of developing and modernizing our transmission system is crucial for achieving our growth goals. That is why, together with the National Electricity Coordination and the Energy Ministry, we are committed to promoting these 56 projects for the expansion of our country’s transmission system, which we will be bringing to the attention foreign investors over the next few weeks, with activities in both the United States and China.”

Juan Carlos Olmedo, president of the Governing Council of the National Electricity Coordinator, pointed out that “strengthening electricity transmission in Chile not only represents a very good opportunity for local or foreign investors, but will also serve to reduce power supply interruptions throughout the country and, therefore, improve the quality of life of millions of families.”

“Our organization [the National Electricity Coordinator] was responsible for implementing the first tenders for work on the Zonal Transmission Systems starting in 2017, which included both new infrastructure and expansions through 98 projects with a reference value of US$768 million. For the five-year period 2020-2024, it is estimated that more than 266 projects will be developed, with a total estimated reference value of some US$3,105 million,” added Olmedo.

2019 tenders

Three tender processes will take place in 2019, including eight contracts for new infrastructure and 30 for expansions as well as six groups of conditional projects.

  • New infrastructure: 8 projects with a total reference value of US$233 million;
  • Expansions: 30 projects, with a total reference value of US$88 million;
  • Conditional projects: 6 groups of projects, with a total reference value of US$87 million.

Source: National Electricity Coordinator