Drawing on the experience of IEA member countries, this IEA review assesses Chile’s
major energy challenges and provides recommendations. Six main themes emerge: the
successful liberalisation of the power sector in the 1980s; the essential role played
by the state in ensuring energy security; the re-formulation of Chile’s long-term
energy policy; the proposed reorganisation of the institutional framework; greater
independence for the system operators; and the need for a clear framework of regulation
so that long-term investment decisions integrate social and environmental costs.