Wind and solar overtake coal in Chile

Decoupling emissions and economic growth is the goal for emerging economies that want to continue to develop while also tackling the climate crisis. While many countries still rely on coal to meet expanding electricity demand, Chile has proven that wind and solar can do the job. In 2016, Chile peaked its use of fossil fuels in the power sector, and since then it has rapidly reduced its dependence on coal, despite electricity demand growing throughout that period. 

Wind and solar are not only meeting Chile’s growing demand; they are also starting to replace coal power, as momentum builds for Chile’s coal phase-out. In mid-2019, the Chilean Government announced a plan to phase out coal generation by 2040. Ahead of COP26 in 2021, Chile co-led the launch of the No New Coal Power Compact. Just last month, Enel became the first company in Chile to close all of its coal-powered plants, well ahead of its original plan for a 2040 closure. 

Civil society groups have been campaigning for greater ambition, calling for the closure of Chile’s coal plants by 2025 and their replacement with renewable capacity. The success so far in rapidly deploying wind and solar power means that Chile is well-positioned to do so. Chile is targeting 80% renewable electricity by 2030 and 100% zero emissions power grid by 2050. 

However, as an OECD country, Chile should be targeting a coal phase-out by 2030 and then a zero-emissions grid by 2035, according to the International Energy Agency’s Net Zero by 2050 Roadmap.

Chile has made a running start to its electricity transition; it’s now time to step up the pace.