The technology-neutral tender excludes coal and other high-emission fuels while allowing solar, wind, hydro and battery storage projects to participate individually or in hybrid configurations.
The technology-neutral bidding process rules out coal along with other fuels that produce substantial emissions, yet it opens the door for solar, wind, hydroelectric, and battery storage initiatives to compete on their own or through combined setups.
Chile’s National Energy Commission (CNE) has given final approval to the guidelines for the 2026/01 Supply Tender. The process will secure energy supplies and capacity to meet the needs of regulated clients served by distribution companies. It features two blocks that will deliver a combined total of 2,835 GWh annually once the full implementation occurs, while creating conditions designed to encourage involvement by renewable energy developments and storage installations.
The tender does not mandate that the contracted energy must derive solely from renewable sources, nor does it impose any limits based on particular technologies. Still, every proposal needs support from either new or already-operating generation resources whose main fuels exclude coal, petcoke, diesel, and No. 6 fuel oil. Natural gas continues to qualify according to the tender’s provisions.
Supporting facilities are required to link up with Chile’s National Electric System (SEN), possess adequate capacity for fulfilling the contracted energy duties, and hold authorization to operate within the short-term electricity market. Those submitting bids can draw on operational sites, fresh developments, or a mix of the two.
The tender specifically identifies energy storage installations as valid resources for guaranteeing delivery of the committed supplies. Those bidding can put forward either current or future storage sites, as long as these connect to the SEN and offer enough yearly injection capability to match the contracted amount.
During the bid assessment stage, those taking part need to supply information covering the type of technology involved, net capacity, capacity factor, anticipated yearly output, and whether the site is already running or still in the planning stage. In the case of non-conventional renewable energy developments, the available energy figure has to rely on a P90 scenario, which indicates a 90 percent chance that real production will equal or surpass the stated amount.
With storage installations, forecasts for energy injections are not permitted to use optimized economic dispatch assumptions. Calculations instead have to proceed on the basis of a single charge-discharge cycle per day. Initiatives that pair renewable generation together with storage need to disclose the output from the generation component and the contribution from the storage component as separate figures.
This approach permits solar, wind, hydropower, and additional renewable developments to enter the process either on a standalone basis or in combination with battery systems. Even so, the official tender paperwork makes no particular reference to photovoltaic technology and sets aside no separate capacity segment aimed at solar initiatives.
For proposals that depend on new developments, successful suppliers will have to show proof of reaching financial close, issuing orders to begin construction, and advancing the overall project timeline. Should any setbacks put the commercial startup date at risk, suppliers will need to arrange interim support through another operational generation resource or storage installation.
The provisions further stipulate that successful suppliers must fulfill requirements established by Chile’s General Electricity Services Law concerning electricity production from non-conventional renewable energy sources.
The initial tender block distributes volumes across Chile’s northern, central, southern, and far-southern zones, assigning respective yearly amounts of 146 GWh, 1,000 GWh, 297 GWh, and 132 GWh. The second block assigns 117 GWh to the northern zone, 799 GWh to the central zone, 237 GWh to the southern zone, and 107 GWh to the far-southern zone.
Submission of bids is due by December 4, 2026. The opening of financial proposals together with the reserve price is set for January 5, 2027, and the awarding of contracts is planned for January 13, 2027.
Originally reported by pv magazine on Jul 21, 2026.
