• 6 minutes Saudis Threaten Retaliation If Sanctions are Imposed
  • 11 minutes Can the World Survive without Saudi Oil?
  • 15 minutes Saudis Pull Hyperloop Funding As Branson Temporarily Cuts Ties With The Kingdom
  • 4 hours WTI @ $75.75, headed for $64 - 67
  • 2 hours The Dirt on Clean Electric Cars
  • 15 hours Saudi-Kuwaiti Talks on Shared Oil Stall Over Chevron
  • 9 hours Uber IPO Proposals Value Company at $120 Billion
  • 2 hours Trump vs. MbS
  • 7 hours Closing the circle around Saudi Arabia: Where did Khashoggi disappear?
  • 16 hours UN Report Suggests USD $240 Per Gallon Gasoline Tax to Fight Global Warming
  • 13 hours COLORADO FOCUS: Stocks to Watch Prior to Midterms
  • 9 hours U.N. About Climate Change: World Must Take 'Unprecedented' Steps To Avert Worst Effects
  • 3 hours Coal remains a major source of power in Europe.
  • 2 hours EU to Splash Billions on Battery Factories
  • 12 hours Nopec Sherman act legislation
  • 5 hours Poland signs 20-year deal on U.S. LNG supplies
Oil Markets Take A Bearish Turn

Oil Markets Take A Bearish Turn

Oil markets appear to have…

South Korea Cuts Iran Oil Imports To Zero

South Korea Cuts Iran Oil Imports To Zero

U.S. ally South Korea has…

Chile's Acceptance as a Developed Nation is Hampered by its Energy Problems

In 2010 Chile had a GDP per capita of $15,400, far more than most of its neighbours and a sign that it could be become one of the first Latin American nations to become a fully developed country. However it faces a major obstacle before it could hope to achieve this status; the fact that it has been struggling to fulfil its energy needs.

In September 2010, nearly 60 percent of the Chilean population found themselves without electricity due to a blackout caused by the inability to match the power supply to demand. The blackout left the country’s copper mines stranded, and brought the capital of Santiago to a halt; it also raised some serious questions about Chile’s energy future.

Chile relies upon hydroelectric sources to provide 40 percent of its electricity, which has led to drought-related power shortages. In light of this current struggle, the economic growth of the country is actually set to cause more dilemmas. Business Monitor International (BMI) have predicted that energy demand will increase from 58.8 TWh in 2011 to 70.5 TWh by 2015 and 87.8 TWh by 2020.

The President Sebastián Piñera has recently approved plans to develop a giant hydroelectric project, HidroAysen, which would see the construction of five plants in the pristine region of Patagonia. The project will cost about $3.2 billion and have a capacity of 2.75 gigawatts that will provide about 18 terrawatt hours a year.

However the HidroAysen project is attracting a lot of criticism and public outcry due to the fact that is will see approximately 5900 hectares of pristine wilderness flooded, endangering rare animals and habitats. A poll found that 74 percent of Chileans were against the project.

Piñera was hoping that the HidroAysen development will help Chile achieve 20 percent of its energy needs (about 5 gigawatts) from non-conventional renewable energy (NCRE) sources by 2020, a goal he set when he first took office in 2010.

The Electricity Development Advisory Committee (CADE), who were appointed to help advise the Chilean government the best ways to achieve their energy goals, said that the development of NCRE’s is too slow, and have supported HidroAysen as “a potential energy source highly relevant to the future matrix.”

It now seems that Piñera is backtracking on his promise and downgrading the ‘20 percent by 2020’ from a firm goal to an ambition, some believe it is because his government realises that it will not be able to reach the target so soon.

By. James Burgess of Oilprice.com


x

Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News