Leadership and Community Engagement in Chile: Deploying Net-Zero Technologies and Solutions

Chile, with a population of 19 million and over 50 percent of its electricity generation from renewable sources, has made a bold commitment to achieve greenhouse gas (GHG) neutrality by 2050, as outlined in its Climate Change Law (Law 21455, passed in 2022). The country’s long-term strategy, established in 2021, estimates the capital expenditure required to reach carbon neutrality by 2050 at a net present value of $50 billion U.S. dollars (USD). This investment is anticipated to result in net present value future cost savings of $80 billion USD, due to lower energy consumption in a carbon-neutral scenario, yielding a positive net present value of $30 billion USD. The 2020 update to Chile's Nationally Determined Contribution (NDC) sets several key targets, including peaking emissions in 2025, limiting carbon dioxide equivalent (CO₂e) emissions to 95 million tonnes (Mt) per year by 2030, capping GHGs at 1,100 MtCO₂e between 2020 and 2030, and reducing black carbon emissions by 25 percent by 2030, relative to 2006 levels. Presently, the majority of Chile’s GHG emissions stem from the energy sector—notably, coal-based electricity production and diesel-based land transportation. While Chile has abundant solar and wind energy resources, a significant challenge is the geographical distribution of these resources; they are predominantly located in the north and south, whereas most of the population resides in the central region, which includes the capitol, Santiago.
The Ministry of Energy (MoE) in Chile is a founding partner of the Net Zero World (NZW) initiative, alongside the U.S. Department of Energy (DOE). The implementation of NZW in Chile is being spearheaded by Chile’s MoE, DOE’s Office of International Affairs, a team of technical experts from DOE’s national laboratories, and various private and public sector partners, with a focus on highly tailored and actionable solutions.
The NZW team and its Chilean partners jointly identified and are advancing action in the following priority focus areas to help achieve the country’s ambitious climate targets.