Chile is taking steps to simplify the permitting process for energy storage projects, with a focus on projects with associated transmission links under specific capacities. The move aims to accelerate grid decarbonization efforts, particularly during non-solar hours. These changes are expected to streamline processes, reduce uncertainties, and encourage investment in the renewables sector. The country is on a trajectory to achieve 1GW of installed energy storage capacity by the end of the year and is set to surpass the 2GW target by 2026. The increased storage penetration is projected to bring about a 12% reduction in systemic costs by 2026-28, benefiting nonregulated clients and hydrogen project developers utilizing grid power for electrolyzers. Furthermore, the investment in energy storage is anticipated to facilitate a 14% rise in renewable energy injections into the grid by 2030, leading to a decrease in thermoelectric output and curtailment. Chile has set an ambitious goal of reaching 6GW of energy storage by 2030, a significant advancement from the original target set for around 2050. This initiative aligns with the country's plans to enhance electrification and diminish dependence on imported fossil fuels, a move aimed at reducing greenhouse gas emissions and cutting expenditures on fuel imports, which currently amount to a substantial percentage of the national GDP. The introduction of capacity payment rules and regulatory clarity on ancillary services are expected to bolster the financing of energy storage projects, particularly those initiated by firms without extensive financial resources. The regulatory landscape is also evolving to incorporate grid-forming technology, essential for renewable energy plants to function efficiently. PMGD plants, contributing significantly to Chile's renewable energy sector, have been expanding rapidly, creating employment opportunities and boosting generation capacity. However, concerns have been raised about stabilized price regimes and upward pressure on systemic costs, with charges expected to escalate in the coming years. Despite challenges, the shift towards energy storage and renewables heralds a positive outlook for Chile's energy sector.