Chile’s mining electrical demand is projected to climb from 27.6 TWh in 2025 to 33.2 TWh in 2034, representing a 20.2% increase even as copper production advances only 8.3% during the period. The disproportionate energy growth stems from structural shifts including lower ore grades requiring greater material processing, increased underground operations, electrification of heavy mining equipment and expanded desalination and water pumping systems. Concentration processes alone are expected to consume 18.1 TWh by 2034, accounting for approximately 55% of total mining electricity use.
Mining companies still derive 49% of total energy from fossil fuels, with electricity representing 51%, indicating substantial electrification opportunities in auxiliary services, concentrate drying, hydrometallurgy and mineral transport. José Ignacio Escobar, Colbún’s general manager, stated that responding to these demands requires renewable supply that is also secure, flexible and competitive, necessitating storage solutions, electrical infrastructure and additional renewable projects in northern Chile.
Chile’s national electrical matrix reached approximately 64% renewable generation in 2025, up from 42% in 2010. However, transmission constraints force periodic curtailment of solar and wind output. Battery storage systems are emerging as critical infrastructure to capture excess solar generation during peak production hours and dispatch electricity during evening demand periods when solar is unavailable. The company identified storage, transmission modernization and system integration as essential components for the energy transition’s next phase, alongside ensuring supply security and cost competitiveness for mining clients whose operations represent approximately 44% of the national system’s consumption as large free clients.
This article was curated and published as part of our South American energy market coverage.
