One of the most carbon-intensive economies in Latin America, Chile is committed to using its vast untapped solar, wind, hydro, and geothermal resources to tackle the domestic drivers of climate change and reduce dependency on imported fossil fuels.
Source: World Bank
Despite Chile’s outstanding renewable energy potential, high risk perceptions, low institutional and technical capacities, and lack of experience with investments in renewable energy and energy efficiency inhibit large scale investment. The government of Chile has created a CTF investment plan that is targeting $200 million in concessional
financing and technical assistance to overcome these barriers and stimulate market development. In particular, CTF funding is helping to de-risk investments in early stage geothermal development and large scale solar power, including Chile’s first concentrated solar power plant.
Chile plans to double non-conventional renewable energy capacity by 2020
|NAME||FUND||FUNDING (USD MILLION)||COFINANCING (USD MILLION)||MDB|
|Concentrated Solar Power Project||FUNDClean Technology Fund||COFINANCING (USD MILLION) 0.47||FUNDING (USD MILLION) 360.20||MDBIADB|
|Energy Efficiency and Self-Supply Renewable Energy Program (PEEERA)||FUNDClean Technology Fund||COFINANCING (USD MILLION) 23.60||FUNDING (USD MILLION) 14.00||MDBIADB|
|Geothermal Risk Mitigation Program||FUNDClean Technology Fund||COFINANCING (USD MILLION) 20.00||FUNDING (USD MILLION)||MDBIADB|
|Geothermal Risk Mitigation Program (MiRiG)||FUNDClean Technology Fund||COFINANCING (USD MILLION) 53.73||FUNDING (USD MILLION) 500.00||MDBIADB|
|Large-Scale Photo-Voltaic Program||FUNDClean Technology Fund||COFINANCING (USD MILLION) 16.00||FUNDING (USD MILLION)||MDBIADB|
|Large-Scale Photo-Voltaic Program||FUNDClean Technology Fund||COFINANCING (USD MILLION)||FUNDING (USD MILLION)||MDBIFC|
|Technical Assistance for Sustainable Geothermal Development Project||FUNDClean Technology Fund||COFINANCING (USD MILLION) 2.86||FUNDING (USD MILLION) 0.55||MDBIBRD|
The CIF programmatic approach to investment planning and implementation brings strategic value to CIF recipient countries. Working through a transparent, country-led process , the CIF fosters trust and collaboration among government ministries, civil society, indigenous peoples, private sector, and the MDBs that implement CIF funding . Together they translate Nationally Determined Contributions and other national development and climate strategies into an actionable CIF investment plan. Rather than one-off projects, the plan comprises long-term, sequenced investments that mutually reinforce each other and link to other critical activities, such as policy and regulatory reform and capacity building. Under national government leadership, CIF stakeholders continue to work together to implement the plan, continually assessing progress and sharing lessons learned along the way.