1.3. Structure of the document

Chapter two presents an overview of the Chilean electricity sector, considering both available supply and demand and regulatory treatment of different types of consumers. In addition, it describes the regulatory treatment of the infrastructure of the electric system, transmission, storage and distribution to finally describe the institutionality of the sector.

Chapter three describes the operation of the Chilean electricity market, including its economic design and technical elements to consider. It also includes a brief description of the emerging market of distributed generation, targeting residential customers, commercial customers, agricultural producers, small industrialists, etc.

Chapter four describes the stages of development that involve a NCRE project, taking into account the different elements needed to be considered at each stage and describing more technical and specific aspects of the current requirements that are made to NCRE projects to be integrated into the transmission system. It also describes the NCRE laws that establish a minimum generation quota and presents the current state of compliance with this limit.

Chapter five presents an analysis of the elements to be considered in the integration of NCRE into the market, including regulatory, technical and economic aspects. This chapter places particular emphasis on Small Distributed Generation Systems (PMGDs) corresponding to projects of up to 9 MW that connect to distribution networks. In addition, the information platforms available for the evaluation of NCRE projects throughout the country are described.

Meanwhile, chapter six describes the operation in the market of this type of projects, detailing the alternatives of business models, and the payments for use of the transmission and distribution systems.