Country Energy Efficiency Programme (PPEE)
Policy measure

According to ECLAC (2010), energy efficiency has been central to the Chilean government’s general energy policy and the Country Energy Efficiency Programme (PPEE) has consequently been established, which has received much support.

Implementation

The PPEE has undertaken efforts to include both public and private sector actors in the efforts of promoting energy efficiency.


In 2005, the Ministry of Economy, Development and Reconstruction was appointed to put together the PPEE programme. The Ministry compiled a commission of the most important government institutions, actors from the private sector, local government and civil society. Formally, the PPEE was established at the end of 2005 on the basis of performance-based agreements with several public bodies, signed by the relevant ministries. An energy efficiency policy is being designed pursuant to the government’s new energy standards. The minimum requirements in this regard should be the establishment of an institutional framework for EE purposes; the setting up of an adequate knowledge base for decision-making; the promotion of energy efficiency in all sectors; the regulation of markets, in particular the electrical market, and the provision of incentives for the efficient use of energy (ECLAC, 2010).

Challenges

According to ECLAC (2010), the main challenges to Chile’s EE efforts are related to the country’s institutional structure with regard to the public sector’s organizations and authorities. To counter this, the lower house of Congress unanimously approved a bill calling for changes in that structure.


The multiplicity of organizations, the dispersed authority and the limited institutional weight of the National Energy Commission with respect to the other actors in the state structure in this area make it difficult to provide a general overview of the sector. The main problems are related to inconsistent institutional responsibilities and authorities, the structure of the general organizational model in the public sector the focus on economic regulation of the energy sector to the detriment of public policy development and a lack of organizational direction and oversight of the public sector’s energy-related entities (ECLAC, 2010).

Outcomes

One of the main results anticipated is the Action Plan for Energy Efficiency 2010-2020, entailing general and sectoral objectives, spheres of activity, programmes, goals, evaluation tools and funding mechanisms which focus on Chile’s energy efficiency developments over the next decade. Moreover, energy efficiency measures will be designed and aligned to long-term priorities based on relative cost and ability to reduce energy demand (ECLAC, 2010).

References

ECLAC (Economic Commission for Latin America and the Caribbean), 2010. Energy efficiency in Latin America and the Caribbean: situation and outlook. Chile: Santiago.