Chile enacts law regulating the extraction of aggregates: Key points

Chile recently published its first comprehensive nationwide framework for aggregate extraction, Law No.21,800, in the Official Gazette.

Published on February 24, 2026, the framework includes certification of origin and traceability, prohibition and adjacent regulation zones, enhanced oversight and sanctions, and closure-plan requirements set by the competent authority.

We discuss key requirements of the law and its effective date below.

Key aspects of the law

1. Permitting pathway for extraction projects

The law regulates the extraction of aggregates from natural watercourses that are not navigable by vessels of more than 100 tons, as well as from areas designated by the law as “adjacent regulation zones.”

• Phase 1 (Administrative and technical feasibility): The applicant must request administrative feasibility from the relevant municipality for the area of interest. If a favorable report is issued, the technical authorization procedure for extraction will commence before the Directorate of Hydraulic Works (Dirección de Obras Hidráulicas, or DOH), who must issue a reasoned report on the technical feasibility of the extraction.
  
  
• Phase 2 (Technical authorization): If the project has not been subject to observations, or if any observations have been duly addressed, the DOH will issue the technical authorization for extraction. This authorization will include the technical conditions for project execution and, in the case of mechanized extraction (defined by the law as extraction carried out using heavy machinery), will specify the number of guarantees or insurance policies to be provided by the project owner.
  
  
• Phase 3 (Municipal authorization and payment): The owner of a mechanized aggregate extraction project must submit the required guarantees to the DOH and proceed with the payment of the corresponding municipal fees.

2. Public disclosure and prevention instruments

• Public register of aggregate extraction: The DOH will maintain a register of aggregate extraction activities in natural watercourses and adjacent regulation zones, which will be published on its institutional website.
  
  
• Registry of certificates of origin: The DOH will keep a registry of certificates of origin for the purpose of controlling material traceability and compliance with extraction conditions.
  
  
• Prohibition zones: The DOH may declare prohibition zones for new aggregate extraction activities when they may interfere with the hydraulic dynamics of natural watercourses and cause harm, or when aggregate availability is insufficient.
  
  
• Aggregate removal projects: The DOH may develop or contract projects for the removal of aggregate materials from natural watercourses for cleaning and conservation purposes.
  
  
• Aggregate recycling: The Ministry of Public Works must promote studies and planning related to public infrastructure waste, aggregate recycling, and new sources of this material.
  
  
• Closure plans for extraction operations: The project owner must implement a closure plan prior to the end of extraction activities, aimed at remediating, mitigating, or compensating for adverse effects on the surface affected by the project.

3. Mandatory traceability and certificate of origin

The law establishes that all aggregate materials must originate from an authorized supply source and be accompanied by a certificate identifying their origin and evidencing such authorization.

• Traceability obligations and sanctions: Project owners or material traders must submit the certificate of origin to the DOH. In addition, construction sites must keep a copy of the certificate, together with invoices or sales certificates, in a visible and accessible location for inspection by enforcement authorities. Furthermore, any person transporting, extracting, or selling aggregates must carry the corresponding certificate. Failure to comply with these obligations will result in a fine ranging from 30 to 100 monthly inflation-adjusted tax units (Unidad Tributaria Mensual, or UTM), determined based on the total unreported volume in cubic meters.
  
  
• Forgery-related offenses: The law criminalizes the falsification or alteration of technical authorizations and certificates of origin, the inclusion of false or incomplete information, and the malicious use of such documents. These offenses are punishable by imprisonment (presidio menor) in its minimum to medium degrees and a fine of 60 to 200 UTM.

4. Oversight, sanctions, and criminal exposure

• General Directorate of Water (Dirección General de Aguas, or DGA): The DGA will exercise policing and oversight powers over aggregate extraction in natural watercourses and adjacent regulation zones. It may sanction the lack of municipal authorization or technical approval, as well as non-compliance with extraction conditions. The DGA may also order the suspension of unauthorized activities or those that affect water availability or quality, impair water use rights, damage infrastructure associated with their exercise, or compromise essential infrastructure.
  
  
• Offense of illegal aggregate extraction: Any person who extracts aggregates without municipal authorization or without favorable technical approval will be subject to imprisonment (presidio menor) in its minimum to medium degree if they have been administratively sanctioned more than once for the same conduct within the previous two years.

Entry into force

The law will enter into force on February 24, 2027 – one year after its publication in the Official Gazette – and will apply to new applications for aggregate extraction submitted thereafter. Authorizations granted prior to its entry into force will continue to be governed by the regulations in force at the time they were granted; however, their renewal will be subject to the provisions of the new law.

For more information, please contact the authors.

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