Chilean Constitutional Court admits challenge to free utility reconnection law

The Constitutional Court of Chile has admitted a legal challenge filed by the Executive branch against Article 31 of the national reconstruction reform bill. The contested article mandates that water, gas, and electricity companies provide free service reconnections to residential users and micro, small, and medium-sized enterprises located in areas declared under a state of catastrophe.

The government argues that the provision is unconstitutional, claiming it violates Article 69 of the Constitution because it was incorporated during the legislative process without a direct relationship to the core objectives of the original bill. This legal dispute follows the devastating fires in Valparaíso, Ñuble, and Bío Bío.

The Senate and the Chamber of Deputies now have five days to submit observations and evidence regarding the matter. If the Constitutional Court ultimately rules in favor of the government, utility companies may be permitted to charge for reconnections in emergency zones, potentially increasing recovery costs for those affected by natural disasters.