Chile seeks to deregulate electricity charging rates and save up to 50%

A bill introduced in the Chilean Senate proposes eliminating the power limit so that electric vehicle charging infrastructure can access the free pricing system , with potential reductions of up to 50% in energy costs, depending on consumption profile and contract conditions.

The initiative, identified as Bulletin No. 18.821-08 , also includes new obligations for electricity distributors, with maximum response times of 10 business days and connection execution times of 60 calendar days, except when relevant expansions or reinforcements of the network are necessary.

The proposal is being promoted by Senators Yasna Provoste, Juan Luis Castro, Francisco Huenchumilla, Daniel Núñez and Renzo Trisotti , who are proposing modifications to the General Law of Electrical Services to facilitate the deployment of charging infrastructure and reduce the regulatory barriers that the sector faces.

Currently, Article 147 of said legislation establishes a legal threshold of 500 kilowatts for certain consumers to opt for contracting their electricity supply at market prices. However, the Ministry of Energy reduced that limit to 300 kilowatts through Exempt Resolution No. 58 of 2024 .

Despite this modification, many stations remain under the regulated regime because their connected power does not reach the minimum required, even when they register significant annual consumption or supply fleets of intensive operation.

In response to this scenario, the project incorporates a new article 147 bis which establishes that holders of electromobility connections will have the right to choose between regulated tariff and free price, regardless of the connected power .

The modification would allow operators to negotiate contracts tailored to their load schedules, consumption volumes, and renewable generation availability, instead of remaining exclusively subject to regulated tariff conditions.

According to estimates presented to the Senate Mining and Energy Commission, a vehicle used intensively, with journeys close to 91,000 kilometers per year and a consumption of 16.4 megawatts per hour , could reduce its energy costs by between 30% and 40% through certain contracting schemes.

For units in regular use, with approximately 15,000 kilometers traveled per year, the potential savings would be between 30% and 50% .

However, the document clarifies that these percentages correspond to reference scenarios and do not constitute guaranteed results. Benefits will depend on the contract, charging times, network charges, and electricity market conditions.

New rules for contracting electricity and connecting chargers

One of the main changes proposed by the motion is the creation of the category of "electromobility connection" , intended to identify facilities connected to distribution networks whose consumption is used exclusively to supply electric vehicles.

To access the special regime, the infrastructure must have communicated its commissioning to the Superintendency of Electricity and Fuels through the TE6 procedure, or the one that replaces it.

It must also have separate and independent measurement from other consumption in the property, so that the benefit does not extend to commercial, industrial or residential activities unrelated to the recharge.

The project also includes differentiated conditions for new and existing facilities.

In the case of new connections, their owners could contract supply at a free price from the first energization, provided that they communicate their decision to the distributor at least 30 days in advance and prove compliance with the technical requirements.

For existing stations that currently operate under regulated tariffs, the notice period would be six months.

Furthermore, the initiative proposes reducing the minimum period of stay in each tariff regime from four years to 12 months , without prejudice to previously assumed contractual obligations.

These provisions would allow both new projects and existing facilities to access the mechanism, provided they meet the established conditions.

Furthermore, the transitional provisions stipulate that existing operators do not need to physically replace their connection when they can demonstrate the separation and traceability of consumption through independent measurement systems.

However, users who choose to contract electricity at a free price must continue to pay the charges corresponding to the use of the transmission and distribution networks, complementary services and other regulated components.

They will also be subject to the coordination of the National Electric Coordinator , according to the provisions incorporated in the proposal.

In parallel, the initiative seeks to modify the conditions for requesting new connections, splices or power increases intended for charging stations.

Distribution concessionaires must implement an electronic, traceable and non-discriminatory procedure through which applicants can learn about the technical feasibility and infrastructure requirements.

The text states that, within 10 business days after receiving an application, the company must report on the available capacity at the connection point, the necessary works, the itemized budget and the estimated execution time.

If the documentation submitted is insufficient, the distributor will have five business days to request the missing background information, and may make that request only once.

Once the budget has been accepted and the applicant's obligations have been fulfilled, the connection must be executed within 60 calendar days .

The deadline may be extended when reinforcements or extensions are required that exceed the immediate area of the connection. In such cases, the concessionaire must submit a technical justification, identify the critical works, and commit to a completion date.

It is also proposed that companies publish aggregated and updated information on the capacity available in their networks and the average processing times by area.

Budgets must be based on public costs, efficiency, market value and non-discrimination, including the meter as part of the electromobility connection.

Furthermore, suppliers offering market-rate contracts to lower-power installations will have to provide a pre-contractual document with information on prices, indexations, regulated charges, guarantees, penalties, duration and termination conditions.

Commercial savings projections must explicitly state their assumptions and cannot be presented as guaranteed benefits.