Chile's largest power generator, Empresa Nacional de Electricidad SA (EOC, ENDESA.SN), saw its 2010 net profit fall 15% to 533.56 billion Chilean pesos ($1.09 billion), from CLP627.05 billion the prior year, the company reported Wednesday.

The power generator's net profit fell as reduced rainfall curtailed its hydroelectric production and forced it make increased expensive spot-energy purchases.

"Consolidated hydroelectric generation fell 13.3%" mainly due to less precipitation in Chile in the latter half of the year and in Colombia during the first half, Endesa said.

Endesa has 13,864 megawatts of installed capacity distributed in Argentina, Chile, Colombia and Peru, with roughly 60% in hydroelectric generation and the rest in gas- and coal-fired power plants. Some 41% of the company's capacity is installed in Chile.

-By Anthony Esposito, Dow Jones Newswires; 56-2-715-8929; anthony.esposito@dowjones.com