Abstract: Over the past decade, the promotion of renewable energy projects in Chile, especially solar energy projects, has become increasingly important, as energy dependence from foreign fossil fuels has increased and concerns regarding climate change continue to grow, posing a significant challenge to the local economy. Even though recent developments toward a more sustainable energy matrix in Chile have significantly increased the investment in the solar energy sector, social and environmental fragilities, combined with the lack of well-functioning institutions and the historical marginalization of indigenous communities who have been affected by several energy projects, result in gradually increasing conflictive situations. Unless proper mechanisms are designed and implemented to rapidly and correctly address these challenges, Chile could miss the opportunities that solar energy projects can provide to the development of its communities and to the economic growth of its regions. This article studies solar photovoltaics planning in Chile, focusing on the recent developments and the main challenges ahead, and proposes policy recommendations for effectively addressing these challenges.