Legal Alert: Supreme Decree No. 88 of the Chilean Ministry of Energy

Jul 1, 2020Docs, Energy, Mining and Natural Resources, Featured

On June 24th, 2020 and after several months of uncertainty, the Ministry of Energy re-entered to the Comptroller’s Office the Supreme Decree 88 which “Approves the Regulation for Small Scale Generation Means” (“DS 88”), for replacing Supreme Decree 244 (“DS 244”).

These decrees apply to small means of generating electrical energy connected to a distribution company (“PMGD”) or a transmission system (“PMG”), which shall be located within an electrical system greater than 200MW, and having a power surplus equal to or less than 9 MW.

The industry was engaged in various debates, including whether the modification of the stabilized price mechanism proposed by the new decree will slow down the development of this type of projects, which have contributed to the decarbonization of the Chilean energy system.

Notwithstanding this version is subject to its full review by the Comptroller Office until its enactment and publication in the Official Gazette, herein you shall find the main changes included therein.

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