Chile prepares itself for new energy tenders
In line with the prosperous evolvement of the renewable energy market during recent years and the boom that experienced above all the solar PV industry (with, as of December 2015, 750 MW in operation, an additional 2,270 MW under construction as well as further 14.4 GW in different development stages), Chile continues experiencing promising expansions in its renewable energy industry.
After the announcement of the Ministry of Energy in October 2015 that in 2050 no less than 70 per cent of the Chilean electric demand is going to be met with renewable energy sources, which implies an increase of 58 per cent with respect to current renewable generating facilities, the industry perceives further positive news:
- Construction of the very much awaited transmission line which will finally connect the two most relevant electrical subsystems, namely the Sistema Interconectado Central (SIC) grid with the Sistema Interconectado del Norte Grande (SING) grid, has already been started, and is expected to boost renewable energy in the country.
- Chile’s Ministry of National Resources is holding a public tender for nearly 3,000 hectares of land in the region of Arica and Parinacota to be used for renewable energy projects.
- CODELCO announced early last week (January 4, 2016) the opening of a bidding process amongst companies which are interested in rendering construction, operation and maintenance regarding the development of two solar PV plants with self-consumption purposes on the mine’s premises.
- The Ministry of Energy approved and published (January 6, 2016) an initial resolution for the next official energy supply tender which invites interested parties to express their interest to participate in a previous analysis for the tender process.
Vector Cuatro entered the Americas’ renewable energy markets first in 2011 as Technical Advisor for solar PV plants in the US and several countries in Latin America.
Given the strong growth of renewables in those markets in the following years, the Firm finally opened in 2013 its office in Mexico as a regional hub from which it manages all its operations in the continent, always supported by the Madrid headquarters. However, given the strong activity of the group in the Southern cone, Vector Cuatro is currently preparing the opening of a new office in Santiago de Chile to cover those geographies at closer range.
The services rendered by the Firm have been adapted to the great variety of clients and always aiming to best respond specific needs of each of them, in accordance to local characteristics. Recently, Vector Cuatro has been very active in helping companies in their participation in energy auctions (e. g. in Mexico).
Concerning business opportunities which may arise of the announced energy tender processes in Chile, the professional team is available to render any kind of support to interested bidding parties, not only throughout the entire bidding process in terms of legal, technical and financial assessment, but also during the subsequent construction, selling, financing and operation phases of the power plants. These services may include the assessment in the preparation of tender documents; the financial modelling and structuring; and support in the negotiation of contracts, among others.
Furthermore, the transactions department is now working on the origination of several opportunities (selling/acquisition) in the country amounting around 900 MW and would be glad to seek additional collaborations or information of interest in the country.