to address some of the most pressing shortcomings of the current system. However, according to Cambridge economist Michael Pollitt, more comprehensive legislation is still needed. Major problems have resulted from the aftermath of the 2002 Argentine crisis. In Argentina, sharp economic recovery has boosted energy demand and led to power cuts. This led Argentina to unilaterally decide, in 2004, on a reduction of its gas exports to Chile, which had been subject to a 1995 treaty between the two countries. These cuts have had serious implications for Chile, leading to an expensive substitution of fuel oil for gas in the midst of a shortage of hydroelectric capacity. In addition, gas supply shortages fueled the debate for investment in expensive liquid natural gas (LNG) import facilities. Construction of the country's first liquefied natural gas re-gasification plant, at Quintero (Region V), near the capital city of Santiago, started in 2007 under the coordination of the state oil company Enap (National Petroleum Company). The partners are British Gas, with 40% of the shares, while ENAP, ENDESA and METROGAS have 20% each. The project is built under an Engineering, Procurement and Construction Contract by the Chicago Bridge & Iron company, while BG will be the long term supplier of LNG. The plant received project finance for US$1.1 billion from a consortium of international banks and is due to start operating in July 2009. The Chilean government, as an additional response to secure electricity supply, proposed a new bill to the National Congress in August 2007. The main objective of this bill is to minimize the negative consequences derived from a generator's failure to meet its contracted supply obligations (i.e. due to bankruptcy). In such an event, the new law would mandate the rest of the generators to assume the obligations of the failed company. In addition, the National Energy Commission (CNE) has recently approved Resolution No.386, a new piece of legislation that will allow regulated final consumers to receive economic incentives to reduce their electricity demand. In 2008, a special law for non conventional renewable energy was approved (Ley 20.257), which requires that, from 2010 onwards, at least a 5% of the energy produced by the medium and large generator sector be from non conventional renewable energy sources. This quota will increase by 0.5% per year from 2015 onward, to reach a 10% requirement in 2024. A 2015 report addresses the challenges of the