There was good news for millions of Chileans today, after the Energy Ministry submitted to Congress a project to stabilize the price of electricity bills.
The measure is part of the “Chile apoya, plan de invierno en energía” (Chile supports, winter energy plan), an initiative that seeks to put the brakes on the increase in electricity bills announced by the National Energy Commission, which could reach 40%. If approved, this increase will not be passed on to Chilean households.
The initiative consists of creating a transitory stabilization fund (Consumer Protection Fund) for all regulated customers, which includes total stabilization for the next tariff period starting in July 2022.
The fund will be constituted and managed by the National Electric Coordinator, whose objective is to fulfill the corresponding payment to each generator without increasing the final customers’ bills. US$2 billion will be injected for this purpose.
It should be noted that this targeting mechanism mainly protects all households and small businesses consuming less than 250 kWh per month, who would not see increases in 2022. Those who consume between 250 kWh and 500 kWh would suffer a maximum 5% increase.
Additionally, those who consume more than 500 kWh would see a maximum increase of 10%.