In Chile the energy business understood has caused solar thermal for domestic applications is not subsidized, while maintaining support for hydrocarbons.
It is easier to push price increases in residential electricity rates, which can not access direct contracts and are subject to pool generation system with intermediaries.
The 2014 budget left out solar subsidies for social housing infrastructure, despite the need to extend the Law 20,365 and that this be included in the raised budget.
As the law was not extended, 2 million Chileans were left without the possibility of having free hot water in their homes and solar thermal industry begins again fojas 0 after a boom.
Law 20,365 sought to create a natural market to make unnecessary the subsidy after 5 years, but as it only lasted two years, failed to meet that goal.
On Tuesday 12 January, 2016 the project to extend the law 20,365 and make a direct subsidy for solar thermal systems in social housing exceeded its final step in Congress. Only the law publication in Official Journal is needed to take effect.
For solar thermal industry has been too long waiting time of this law.
The effects of this extension will be diluted again if long term policies in favor of maintaining incentives for solar thermal energy by individuals and businesses are not adopted.
Not only is important solar thermal energy development in the residential sector. Copper mining, dairy products, wines, concrete, bakeries, sawmills and paper mills also present opportunities for incorporating solar thermal energy.
Most industries with potential to incorporate solar thermal energy identified are in the RM (middle región), with industrial plants concentration.
Implementation opportunities in the region VIII are scarce because solar thermal energy is currently not competitive with the use of biomass fuel, abundant in this region.
There are compelling reasons to encourage the development of solar thermal systems:
* It is key for real estate who want to get the “Energy Housing Seal”
* It is estimated that each housing with thermal solar equipment will stop producing 16 tons of CO2 over its lifetime
* Capacity building and business and technological development of the sector
* Each peso that the state invests has a high social returns