Chile 2027 Budget proposes major cuts to climate funding

Chile's 2027 Budget proposal includes significant funding adjustments for the Ministry of the Environment. Key reductions include a 60.32% real decrease in funds for Nationally Determined Contributions (NDC) related to international climate commitments and a 54.47% cut to the Sustainable Heating program. Additionally, environmental inspection programs are set to decrease by 19.40%.

The Ministry of the Environment, led by Minister Francisca Toledo, stated that these changes are part of a resource reorganization and address previous budget execution issues, noting that approximately 6.7% of funds from the last four years were unspent. While some areas face cuts, the Biodiversity and Protected Areas Service (SBAP) is projected to see a real increase of 24.38%. The government also noted that the Sustainable Heating program will prioritize installing 10,072 heaters currently held in storage to reduce costs.