Bachelet announces measures to boost investment and progress in power projects

Addressing more than 700 executives and representatives of the energy industry that gathered last night at the “Supper of Energy”, President Michelle Bachelet announced a series of measures that aims to unlock investment and simultaneously move forward in the making of projects to strengthen the electricity transmission system.

The president said the government is aware of the urgent need to promote projects that meet the infrastructure deficit in this sector, “because of this, the government will strongly support all initiatives that comply with current regulations and are properly inserted into their respective communities. “

On this last point the head of state was emphatic in stating that the government will move forward on a solid and reliable institutional framework for all stakeholders, “Starting by citizens!” Bachelet said and added that one of the keys will be to improve the relationship between energy projects and the communities that host them.

“The state is going to actively work in an open process with the community, so that investments are made and can be made in the best way, without discarding any technology, but taking charge of the new scenario in the country” said in relation to hydropower development.

The president said the government learned that the way is energy diversification, public-private partnerships, work around efficiency and dialogue with the territories.

Bachelet insisted in the core of the Agenda of Energy: “We also need more competition, we need more players to invest in the sector and to do so with the pace required by the situation.”

Another development of the Energy Agenda that the president announced were in relation to GNL. ENAP said that it is negotiating a 10-year contract term supply of natural gas, allowing the partial operation of a combined cycle plant, which would help lower the marginal cost of generation. The contract also includes the opening of GNL Quintero terminal to third parties, by transferring to the generator part of the regasification capacity of the state. Bachelet also said that in conjunction with the ongoing expansion of the plant (15 million cubic meters per day) ENAP is promoting, through GNL Chile, a new extension of Quintero terminal to 20 million cubic meters per day.

“We will strive to incorporate into our electricity generation matrix as soon as possible, conventional projects that already have a favorable environmental qualification resolution and comply with current regulations,” said President Bachelet in her speech. She added that as a government they will “bet” by initiatives that are currently being incorporated into the work plan of the CNE and its entry into operation is scheduled between 2015 and 2018 (865 MW water and 622 MW thermal). The government will continue to promote projects of Non-Conventional Renewable Energy and hope to incorporate 1,200 MW in the next 4 years.

(Source: Diario Financiero)