Definitive electrical concession for the Aihuapi Volcán Chiliques line in Puyehue

The Ministry of Energy granted SAE Volcán Chiliques SpA the definitive electrical concession to establish the 1x66 kV Aihuapi - SAE Volcán Chiliques transmission line, in the commune of Puyehue, province of Osorno, Los Lagos Region. The decision was formalized through exempt decree No. 214, dated September 4, 2026, published in the Official Gazette of the Republic of Chile No. 44,550 on Monday, September 14, 2026, in Section II, Particular Norms (reference CVE 2869345).

The infrastructure will allow the transport of energy stored by the SAE Volcán Chiliques Battery Energy Storage System (projected) from the eponymous substation (projected) to the Aihuapi Substation (existing), enabling the withdrawal and injection of energy into the National Electric System (SEN).

Technical characteristics of the line

The transmission line consists of a single-circuit, three-phase system, with one conductor per phase, featuring both overhead and underground routing, at a voltage of 66 kV, High Voltage category, and a nominal power of 40 MVA. The project combines an underground section, starting from point S1 inside the Aihuapi Substation to structure 1, and an overhead section running from structure 1 to the line frame ML VC, within the SAE Volcán Chiliques Substation.

• Total length of the line: 523.09 meters.
• Length for which the concession is requested: 493.08 meters.
• Length of the electrical easement: 493.08 meters.
• Total budget for the works: $344,958,063 (three hundred forty-four million nine hundred fifty-eight thousand sixty-three pesos).

Regulatory framework and prior procedures

The concession is granted in accordance with articles 11 and 29 of decree with force of law No. 4/20.018, of 2006, from the Ministry of Economy, Development and Reconstruction, which establishes the consolidated text of the General Law of Electrical Services. The act is based on reports from the Superintendency of Electricity and Fuels (electronic ordinary letter No. 343437, dated July 30, 2026) and the National Directorate of State Borders and Limits (letter No. 865, dated May 27, 2026), which authorizes the concession in an area declared partially as a border zone.

Along its route, the project will cross a private property, therefore it will be necessary to establish an electrical easement under the terms of the General Law of Electrical Services. Additionally, it runs parallel to the 1x110 kV Río Bonito - Antillanca Line, owned by Sistema de Transmisión del Sur S.A.

Deadlines and obligations of the concessionaire

The concession is granted for an indefinite term. Works must begin within twelve months from the publication of the decree in the Official Gazette, and their total execution may not exceed six months, according to the schedule which includes site installation, assembly of structures and civil works, stringing and tensioning of conductors, and testing, commissioning, and energization.

The concessionaire is obliged to provide the electric energy transmission service under the conditions of quality and continuity established by law and regulations, and to completely remove the installations when they become obsolete. The concession does not exempt the party from compliance with environmental legislation prior to the execution of the works. The decree was signed by order of the President of the Republic by the Minister of Energy, Ximena Rincón González, and transcribed by the Head of the Legal Division of the Undersecretariat of Energy, Andrea Verónica Soto Araya.

The enabling of this transmission line is a relevant step for the integration of battery energy storage into the electrical system of southern Chile, by allowing the energy accumulated in Puyehue to be injected into the SEN through the Aihuapi Substation, contributing to the flexibility and security of the supply in the Los Lagos Region.

Source: Official Gazette of the Republic of Chile, No. 44,550, September 14, 2026, Section II, Particular Norms, pág. 1-3 (official reference: CVE 2869345).