Chile’s energy ministry drafted a proposal to introduce E10 petrol, a mixture containing 10% ethanol, as higher oil prices strained the economy and government finances. Reuters reported on September 17 that a ministry memorandum estimated potential fuel-supply savings of approximately US$107 million a year.
Chile was one of the region’s few countries without an ethanol-blending mandate and continued to use the octane-boosting additive MTBE. The report said Chile had previously held back because it lacked significant domestic ethanol production and sufficient agricultural land to supply a substantial local industry.
The proposal emerged as international crude prices increased sharply. Reuters cited OPEC figures showing Chile imported 181,000 barrels of crude a day in 2025, illustrating its exposure to imported energy costs. Existing ethanol imports came mainly from Argentina and Bolivia. The reported development was an assessment and draft policy proposal, not confirmation that a blending requirement had been adopted. The projected savings were an official estimate contingent on the proposed change, rather than money already saved by the treasury.