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International Trade Administration Saudi Arabia’s Electricity Market and Opportunities for U.S. Exporters Manufacturing and Services (MAS) Market Intelligence Brief Chile’s Renewable Energy and Energy Ef iciency Market: Opportunities for U.S. Exporters From its vast wind, hydropower, and biomass resources in the South to its robust solar resources in the North and overall geothermal potential throughout the country, Chile offers a clean energy potential few countries can match. In addition, high energy prices, strong economic growth, and rising energy demand make Chile an attractive market for future renewable energy development. This MAS Market Intelligence Brief describes the Chilean market in detail, emphasizing areas of opportunity for U.S.-based renewable energy and energy efficiency (RE&EE) exporters. The Chilean economy grew at a rate of 5.4% between 1986 and 2010.1 Growth has cascaded across sectors and, according to some analysts, has positioned Chile to be the first Latin American country to achieve “developed” country status – a possibility in the near future. In fact, gross domestic product (GDP) rose to $299.6 billion in 2011 – up 6.3% from the previous year, representing one of the fastest growth rates in Latin America.2 1 Government of Chile, “National Energy Strategy 2012-2030: Energy for the Future,” pp. 6 (February 2012) 2 Bloomberg New Energy Finance, “Climate Scope 2012: Assessing the Climate for Climate The country’s continued economic expansion, however, has placed considerable strain on Chile’s energy grid, spread unevenly throughout the country’s harsh geography, which runs north-south along a 2,600 mile tract of land between the Andes Mountains to the East and the Pacific Ocean to the West. According to Chile’s National Energy Strategy, the country must add over 8 GW of new electricity generation by 2020 in order to meet expected energy demand increases.3 Historically, a lack of policy incentives has slowed development of a transmission infrastructure capable of supporting this type of renewable energy deployment. This situation is likely to change, as the Chilean Government has planned a vast expansion of its renewable energy capacity over the coming decade to address potential energy shortfalls and to reduce the country’s reliance on imported energy sources. If a strong renewable energy market develops in Chile, U.S. companies across the RE&EE Investing in Latin America and the Caribbean,” pp. 46; and Government of Chile, “National Energy Strategy 2012-2030: Energy for the Future,” pp. 6 (February 2012) 3 Government of Chile, “National Energy Strategy 2012-2030: Energy for the Future,” pp.7 (February 2012) March 2013 Country Quick Facts Size: 756,102 sq. km Population: 17,067,369 (July 2012) Type of government: Republic Head of state: President Sebastian Pinera Capital: Santiago Language: Spanish Source: CIA World Factbook This market intelligence brief is provided as a resource for U.S. companies by the International Trade Administration Manufacturing and Services Office of Energy and Environmental Technologies. Every effort has been made to ensure that the information presented in this intelligence brief is complete and accurate as of the date of publication; however, the U.S. Government assumes no responsibility or liability for any errors or omissions. Readers are advised to independently verify any information contained in this intelligence brief prior to relying on it. The information provided in this report does not constitute legal advice. Readers are further advised to conduct their own due diligence and seek the advice of legal counsel before entering into business ventures or other commercial arrangements in this market. 1PDF Image | Saudi Arabia’s Electricity Market and Opportunities
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