Morning, ladies and gentlemen, and welcome to the Colbún Third Quarter 2021 earnings call. At this time, all participants have been placed on a listen-only mode, and we will open the floor for your questions and comments after the presentation. It is now my pleasure to turn the floor over to your host, Sebastián Moraga. Sir, the floor is yours.
Hello to everyone, and welcome to Colbún's Third Quarter 2021 earnings review call. My name is Sebastián Moraga, I am Company CFO, and joining me today is Miguel Alarcón, the Deputy CFO, and Soledad Errázuriz from the Investor Relations team. I hope that you have received our earnings report and an earnings review presentation that we have prepared to complement the analysis of our figures. Otherwise, you can download them at the investor se ction of our website. Our agenda for today on slide three is as follows. We will begin talking about the highlights of this quarter, to then analyze in detail this quarter results, and after that, we will provide an update on our growth opportunities. Following the presentation, there will be time to participate in a Q&A session. Now, please go to slide number four to review the highlights of this quarter.
Regarding the COVID-19 pandemic contingency, the company's power plants continued operating normally, and Colbún continued to take actions considering two priority focuses. First, to protect the health of personnel collaborators, suppliers, and our surrounding communities. Second, to ensure the continuity and security of the energy supply. Regarding the impact of COVID-19 on energy demand, there is still uncertainty about the magnitude and length of this contingency. Energy demand in Chile increased approximately 8.5% during this quarter compared to last year, and 3.6% during the last 12 months. While in Peru, there was an increase of approximately 7.2% during the quarter, and 8.8% during the last 12 months. In September of this year, the board of directors approved the investment of Horizonte Wind Farm.
The project considers an installed capacity of 778 MW, and it's located in the Antofagasta region. The start of construction is scheduled for the last quarter of this year, and commissioning of the last wind turbines for the fourth quarter of 2024. The total investment amount approved for this project is $850 million. On September 29, the Environmental Assessment Commission approved the environmental qualification resolution, RCA, for Jardín Solar PV Project. The project, located in Pozo Almonte commune in the Tarapacá region, has an installed capacity of 537 MW. The construction of this project is still subject to our board of directors' approval. On September 30, the sale of all the shares of Colbún Transmisión to Alfa Desarrollo was executed.
The final sale price was CLP 1,185 million, with which the effect on income before taxes amounted to CLP 830 million. On September 30, Colbún obtained the second place in Informe Reporta, which evaluates the information flow that companies deliver to the market for its 2020 integrated annual report. Now, please go to slide five to review subsequent highlights. As a result of the extraordinary income received from the sale of Colbún Transmisión and the company's liquidity position, on October 12, dividends were paid for a total of CLP 1,000 million. This payment is comprised of a provisional dividend for CLP 250 million, charged to this year's profit, and eventual dividend, charged to the profits of previous fiscal years, for CLP 750 million, which was approved during an extraordinary shareholders meeting held on September 15.
On October 14th, Colbún issued its first green bonds in international markets for an amount of $600 million, with a 10-year maturity, obtaining a coupon rate of 3.15%. The funds will be used to finance renewable energy projects eligible in accordance with our green financing framework, adopted based on the criteria of the sustainability bond guidelines and the green bond principles of 2021 of the International Capital Market Association. Now, please go to slide number six to review the main consolidated figures of the company.
Consolidated EBITDA for this quarter reached $72 million, decreasing 59% compared to $175 million in the last quarter, in the third quarter of last year, mainly explained by a significantly lower hydro generation, consequence of the extreme drought that affects Chile, and a significant increase in cost of thermal generation and spot market purchase due to the higher fossil fuel prices in international markets. Also, there were higher other expenses by nature, associated with a lower comparative base, considering that during the last quarter of last year, third-party services, trainings, travels, among others, were suspended as a result of the pandemic. The company recorded a profit of $601 million, compared to the profit of $62 million in the third quarter of last year, mainly explained by the extraordinary effect on results of the sale of the subsidiary, Colbún Transmisión.
As of the September 30, the company holds roughly $1,885 million of cash. Now I will turn to Soledad, who will speak about the main drivers of this quarter's results.
Thank you, Sebastián, and hello to everyone. Now, please continue to slide eight for physical sales and generation balance analysis in Chile. Total generation of the period decreased 20% compared to the third quarter of 2020, mainly due to lower hydro generation explained by very unfavorable hydrological conditions and to lower gas generation due to the lower gas availability compared to the third quarter of last year. These effects were partially offset by higher coal and diesel generation due to a higher economic dispatch and decouples in the national electrical system.
Physical sales during the quarter reached 2.8 TWh, 20% lower than the third quarter of last year, mainly explained by the lower sales in the spot market due to the lower generation recorded during the quarter and by lower sales to unregulated clients given the expiration of Anglo American contract in December of last year. Spot market balance during the third quarter of 2021 recorded net sales of 0.3 TWh compared to the net sales of 0.8 TWh recorded in the same quarter of the previous year. The variation is mainly explained by the lower generation of the quarter. Now, please continue to slide 9 to analyze the EBITDA from the generation business in Chile for the quarter. EBITDA of the generation business in Chile reached $32 million this quarter, decreasing 77% compared to the third quarter of last year.
This variation is mainly explained by, first, a significantly lower hydroelectric generation as a consequence of the extreme drought that affect Chile. Second, by a significant increase in thermal generation and spot market purchases due to the higher fossil fuel prices in international markets. Also, there were higher other expenses by nature associated with a lower comparative base, considering that during the third quarter of 2020, third-party services, training, travel, among others, were suspended as a result of the pandemic. Now, please continue to slide number 10 to analyze the EBITDA from the transmission business for this quarter.
EBITDA of the transmission business reached $2 million this quarter, lower than the $18 million EBITDA recorded in the third quarter of last year, mainly due to a decrease in operating income explained by the recognition of lower income as a result of the tariffication process that is still in progress, which would affect the tariffs that apply from January 2020 onwards, based on the company's best estimate. Now, please continue to slide 11 for our physical sales and generation balance analysis in Peru. Total generation of the period increased 16% compared to the third quarter of 2020, reaching 1.2 TWh, mainly driven by the higher dispatch of the power plant given the demand recovery on the Peruvian market.
Physical sales during this quarter reached 1.2 TWh, increasing 16% compared to the third quarter of last year, mainly explained by higher sales to the spot market as a result of the higher generation of the plant during the quarter by higher sales to customers under contract, driven by the entry into force of 40 MW of new PPAs and regulated segment demand recovery from the reduced 2020 levels affected by the pandemic. Spot market balance during this quarter recorded net sales of 0.7 TWh compared to 0.6 TWh during the same quarter of the previous year, due to the higher generation recorded in the quarter. Now, please continue to slide 12 to analyze the EBITDA in Peru for this quarter.
EBITDA in Peru reached $20 million in the third quarter of 2021, 27% higher than the EBITDA of $16 million recorded in the third quarter of last year, mainly due to the higher operating income explained by higher sales in the spot market, given both the higher generation and the higher average sale price registered during the quarter. Now, please continue to slide 13 for the consolidated non-operating income and net income analysis. Non-operating income in this quarter recorded gains of $709 million, compared to the losses of $25 million in the third quarter of last year. The profit is mainly explained by the extraordinary effects on results of the sale of the subsidiary, Colbún Transmisión.
The company recorded a profit of $601 million, compared to the profit of $62 million in the third quarter of 2020, mainly explained by the higher profit recorded in non-operating results previously mentioned. Continuing with this conference call, please go to slide number 15, where Sebastián will give you an update on the status of our growth opportunities.
Thank you, Soledad. Regarding our growth opportunities in Chile, we have focused our growth in renewables within three pillars. First, developing a pipeline of projects. Regarding the incorporation of renewable energy from variable sources, up to this date, Colbún has been able to complete a portfolio of locations for wind and solar projects, w hich are in different stages of studies and development. Under construction stage, Horizonte, a wind farm of 778 MW. Diego de Almagro Sur I & II, two PV projects for nominal capacity of 230 MW. Machicura, a PV project of 9 MW. On environmental study already approved, in Tarapacá, a PV project of 486 MW. Jardín Solar, a PV project of 537 MW. On feasibility stage, Los Junquillos, a wind farm of 360 MW.
Jardín Solar, a PV project of 156 MW. Additionally, at the end of the quarter, Colbún holds a portfolio of locations for other wind and solar projects, which are in early stages of development. For more details on this slide, you can refer to the latest earnings report available at our website. Second, the company does not rule out the purchase of renewable assets in operations. Finally, the third pillar of our growth in renewables is acquiring energy from third parties. In terms of our international expansion strategy, as we have mentioned before, we continue searching for growth opportunities in selected countries of the region in order to maintain a leading position in the power generation business and to diversify our sources of income. With this, we are concluding Colbún's third quarter results. Thanks for listening, and now we are open to answer your questions.
Certainly. Ladies and gentlemen, the floor is now open for questions. If you have any questions or comments, please press star one on your phone at this time. We do ask that while posing your question, please pick up your handset if you're listening on speakerphone to provide optimum sound quality. Once again, if you have any questions or comments, please press star one on your phone. Please hold while we poll for questions. There are no questions in the queue at this time. With no further questions in the queue, this concludes today's conference. Thank you, ladies and gentlemen. You may disconnect at this time and have a wonderful day. Thank you for your participation.