Chile’s Solar Curtailment Hits Record, Storage Ramps Up

Record Curtailed Solar & Wind Energy in Early 2026

Chile curtailed a record 2,680 GWh of solar and wind power between January and July 2026, a 1.6 % rise over the same period in 2025. This figure comes from the July statistical bulletin of the Chilean renewable‑energy association Acera and reflects the latest data from the national regulator Coordinador Eléctrico Nacional. The curtailment spike signals that a growing share of clean electricity is being wasted because the grid cannot absorb it.

Why More Renewable Power Is Being Lost

Acera links the surge to three main bottlenecks: (1) transmission constraints that prevent power from reaching demand centres, (2) low demand periods—especially midday when solar output peaks, and (3) insufficient system flexibility to balance supply and demand. The association has flagged curtailment as a structural issue, particularly in northern Chile where most solar farms sit and during daylight hours when generation outpaces load.

The Scale of Curtailment Compared to Total Generation

If the curtailed energy had been fully dispatched, wind and solar would have supplied 49.4 % of Chile’s electricity in 2025, versus the 42.4 % actually recorded. In 2025 the country logged 6,084 GWh of cumulative curtailment, up 7.8 % from 2024, showing the problem is not limited to a single month but is growing year‑on‑year.

Battery Storage Is Expanding – But Is It Fast Enough?

By the end of July 2026 Chile operated 2,655 MW / 11,250 MWh of battery energy storage systems (BESS). An additional 3,151 MW / 14,698 MWh were in testing, and 5,040 MW / 21,721 MWh were under construction. Notably, 71 % of the under‑construction capacity is tied to solar PV projects, while 22 % are stand‑alone storage units. This rapid build‑out aims to provide the flexibility Acera says is missing, but the sheer scale of curtailment suggests storage still lags behind renewable growth.

How Chile’s Curtailment Stacks Up Globally

Ember’s 2024 analysis found Chile’s renewable curtailment amounted to 6.6 % of total electricity generated, roughly in line with the world average of 6‑7 %. Some countries with more integrated markets keep curtailment lower through robust interconnection and demand‑response programs. Chile’s higher share reflects its rapid renewable build‑out outpacing grid reinforcement.

What It Means for Israel

The 2,680 GWh of lost generation in Chile could have powered a very large number of typical Israeli homes using the Israeli average yield of 1,700 kWh kWp⁻¹ yr⁻¹ for central Israel. At the residential tariff of ₪0.48/kWh, that energy would represent a substantial amount of revenue. For a homeowner installing a 10 kWp rooftop system at the typical cost of ₪3,150/kWp, the payback period is about 3.9 years (₪8,160 annual earnings ÷ ₪31,500 investment). Chile’s experience underscores that without adequate transmission and storage, even massive renewable investments can fall short of their economic and climate potential – a lesson for Israel as we push toward the 30 % renewable target for 2030.

Outlook – Flexibility as the Next Frontier

Analysts at Bloomberg argue that Chile’s next growth phase will hinge on flexibility solutions: larger BESS, demand‑response schemes, and grid‑enhancing technologies such as high‑voltage DC corridors. If storage capacity can keep pace with renewable additions, curtailment could be reduced significantly, unlocking many kilowatt‑hours of clean power and improving the economics for both investors and consumers.

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What it means for Israel

The Chilean curtailment numbers translate into a concrete illustration for Israeli households: a typical 10 kWp rooftop system in central Israel yields about 17,000 kWh per year, worth ₪8,160 at the residential tariff of ₪0.48/kWh. With an installation cost of ₪31,500, the simple payback is ≈ 3.9 years, after which the system generates profit for the remaining 21 years of its 25‑year life. If Israel faces similar transmission bottlenecks, the economic case for expanding storage and grid reinforcement becomes even stronger – the lost revenue from curtailed energy could easily exceed the cost of additional BESS capacity.

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Sources & further reading

• Solar and wind curtailment on the rise in Chile - pv magazine Global
• Reducing curtailment in Chile: key to unlocking the
• Energy Projection & Opportunities www.investchile.gob.cl A P R I L 2 0 2 1
• Chile Power System Outlook - Bloomberg Professional Services