Chile Recovers from Major Blackout Affecting Millions and Economy

Chile experienced a massive power outage affecting 8 million homes and major copper mines, resulting in a government investigation into the causes. While power was gradually restored to most households, northern regions are still experiencing delays due to cable theft. Authorities reiterated their intention to hold responsible parties accountable for the disruption.

Chile is recovering from a massive power outage that plunged 8 million homes into darkness and halted operations at major copper mines, marking the worst such incident in over 15 years. As of Wednesday morning, power has been restored to 94% of affected clients, with ongoing issues primarily in the Atacama region, where cable theft has delayed restoration efforts.

The government has launched an investigation into the causes of this power failure, with Interior Minister Carolina Toha emphasizing the government’s responsibility to ensure laws are enforced and liabilities determined. After the blackout, the Santiago subway returned to normal operations, and the government lifted the state of emergency.

The outage stemmed from a fault in transmission lines operated by ISA Interchile SA. Issues were exacerbated by additional system failures, according to Energy Minister Diego Pardow. Undersecretary of the Interior Luis Cordero confirmed that military forces were deployed for security during the outage, leading to the detention of 207 individuals.

President Gabriel Boric expressed concern over the disruptive impact of the blackout, calling it intolerable for so many Chileans to have their daily lives affected due to corporate negligence. Meanwhile, operations at Codelco and Anglo American’s copper mines have begun to resume as power is restored. However, BHP’s Escondida remains affected, with limited production.

The blackout impacted a vast area, stretching over 2,500 kilometers from the Peruvian border to Los Lagos. The outage, triggered near Vallenar and Coquimbo, resulted in a comprehensive grid shutdown, though sabotage has been ruled out. Commuters faced significant challenges, including disrupted public transport and crowded roadways, alongside the cancellation of the annual Viña Del Mar music festival.

The power outage in Chile has revealed significant challenges within its electricity infrastructure, affecting millions and major industries. While most power has been restored, investigations are underway to determine accountability. The incident underscores the need for improved reliability in critical services and the importance of corporate accountability in maintaining public welfare.

Original Source: business.financialpost.com