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Featured in Curtailment creeps – 07-08-2026

Chile’s hybrid heroics

In 2024, Chile passed a law incentivizing battery development paired with utility-scale solar. This move quickly led to a flood of big battery project announcements, as the capacity payments model combined with arbitrage revenue means hybrid solar and storage is very profitable. By the end of 2026, Chile is expected to surpass 6 GW of battery energy storage systems (BESS) capacity.
Blathnaid O’Dea
By
Blathnaid O’Dea
Chile is building a transmission line to connect capital city Santiago and other demand centers with the north of the country. | Image: Echovisuals

Chilean solar began to grow properly a little over a decade ago, thanks largely to the remuneration scheme the government provided for small-scale plants. This helped developers install a lot of capacity around the center of the country, close to the capital and the main demand hub. Meanwhile, most of the utility-scale segment focused on …

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