Chile has $14 bn in renewal projects under construction

Chile is developing renewables, it has $14 billion in projects under construction and $14 billion with approvals, said the Energy Minister Juan Carlos Corbet. This will allow the country to develop renewable plants that will replace coal. In addition, Chile plans to build the transmission lines to go look for that renewable energy and advance the flexibility strategy. Corbet said that Chile aims to export clean energy by the end of the decade.

First green hydrogen projects emerge in Chile

Two green hydrogen generation projects in northern and southern Chile appear to be on the brink of takeoff. The two projects are Engie and Enaex’s HyEx initiative in the Antofagasta region and the Andes Mining and Energy led ‘Highly Innovative Fuels’ (HIF) venture in Magallanes. The HyEx project targets a 2,000MW solar farm which would power a 1,600MW hydrogen electrolysis plant to produce 124,000 tons of green hydrogen per year. Meanwhile, the HIF´s pilot is projected for commissioning in 2022 – subject to local approval. The initial production targeted is 350 tons per year of green methanol and 250 tons per year of carbon neutral fuel.

Municipalities’ revenues will decrease by $320 million by 2020

The total nominal income of the municipalities will decrease by $255.18 billion ($320 million) in relation to 2019, according to data from the Chilean Budget Office (Dipres). Of the 345 municipalities in the country, 317 (92%) will decrease their income by an average of 7%. Of that number, 43 will present falls of more than 10%, 150 will register losses of between 5% and 10% and 124 will have decreases of up to 5%.

Fitch Affirms CODELCO’s IDR at A-; Outlook Stable

Fitch Ratings has affirmed Corporacion Nacional del Cobre de Chile's Long-Term Foreign Currency Issuer Default Rating (IDR) at 'A-'. The Rating Outlook is Stable. The company's ratings reflect the following Fitch assessments: a standalone credit profile (SCP) of 'BBB-'; status, ownership and control links between CODELCO and Chile as "very strong"; Chilean government's support track record as "very strong" based on capitalization laws in 2014 and 2017; the financial implication of CODELCO's potential default as "strong", given that a theoretical default by CODELCO would affect the government or other GRE's ability to raise financing.