6 minutos de lectura 8 mar. 2021
Energía obreros

Guide to Investing in Energy Projects in Peru

Autores
EY Perú

Organización multidisciplinaria de servicios profesionales

Paulo Pantigoso

Country Managing Partner, EY Perú

Managing Partner de EY Perú, enfocado en generar valor y en la construcción de un mejor mundo de negocios para nuestros clientes, nuestra gente y nuestra comunidad.

6 minutos de lectura 8 mar. 2021
Temas relacionados Energía reimaginada

Publication of EY Peru, ProInversión, the Peruvian Ministry of Foreign Affairs, PeruPetro and the Peruvian Ministry of Energy and Mines for the promotion of investment in Energy Projects in Peru.

The year 2020 has been a difficult one, the COVID 19 pandemic has affected the Peruvian economy in a negative way, but despite this situation, the energy industry is still playing an important part in the national economy. As the economy starts to reactivate in 2021, Peru’s solid economic fundamentals will determine a strong rebound after the pandemic, at around 8% economic growth by the end of the year. This guide is meant to lead the way of foreign investors who are looking to do business and learn more about Peru’ attractive portfolio.  

At the end of August 2020, the Energy industry generated:

$296 million

income for the government

In the last 10 years, Peru has been one of the fastest growing economies in Latin American, with an average growth rate of 4.5%. Peru has had an increasing demand in the Energy industry during the last 20 years, due to the developing of mining and industrial projects and the growth of its main cities. This potential is reinforced by the country’s geology, as well as the discovery of oil and gas deposits such as the Camisea natural gas reserves.

Demand for energy in Peru month by month in the last year

2020 Maximum demand (Mw)
January 7,070
February 7,125
March 7,116
April 5,173
May 5,682
June 6,101
July 6,363
August 6,550
September 6,607
October 6,836
November 6,836
December 6,960

This Energy Investment Guide is structured to help investors evaluate Peru’s energy sector investment conditions and provide them an updated landscape of the industry. In that sense, we have included various aspects usually taken into consideration by investors from around the world before making critical decisions on the development of new oil & gas operations. 

Peru’s Main Economic Activities 

Main Economic Activities by Region

Main Economic Activities by Region

Source: University of Texas - Perry Castaneda Library Map Collection

Peru’s sharply contrasting geographical areas, make it an extremely diverse country, with a wide variety of ecosystems, thus flora and fauna. It is ranked second in the world in 2020 in the production of silver, copper and zinc; third in lead; fourth in tin, mercury and molybdenum and eight in gold, besides having large deposits of iron, ore, phosphates, manganese, petroleum and gas, according to the US geological survey.

According to the Multiannual Sector Energy Plan – PESEM 2016-2021 of the Peruvian Ministry of Energy and Mines, Peru is a safe country for investments, since it offers not only great investment opportunities, but also has a legal framework and focused policies in respect of the environmental and social inclusion.

Oil exploration and exploitation investments evolution in USD Millions (2013-2020)

Oil exploration and exploitation investments evolution in USD Millions (2013-2020)

*The numbers shown for year 2020 include instruments performed on September 2020. 
Source: Perupetro

Energy activity not only represents one of the fundamental engines for the development of the national economy, but also represents an essential factor for the development of the population and the eradication of poverty. Peru seeks to incorporate the main trends and future energy events to the national sector such as the integration of energy and development of information technology is being considered; the use of WiTricity (wireless power energy); the capture, use and storage of carbon; the exploitation of hydrogen energy; mass migration to electric transport vehicles; and transformation of the supply chain with blockchain technology for oil & gas.

  • Natural gas: The fuel of the future

    Before the arrival of natural gas, the energy matrix of Peru depended on liquid fuels, such as imported diesel, coal, wood, amongst others. The development of natural gas and condensates from the Camisea project have created a new strategic option for the energy sector in Peru. The global trend, in terms of fuel oil is to replace with other sources that are cleaner and cheaper, so by the time Camisea’s potential is fully developed, Peru will be energetically integrated into these trends.

    Natural gas reserves (2006-2018)

    Natural gas reserves (2006-2018)

    *Includes contingent and prospective resources. Data updated up to December, 2018.
    The resources come principally from a reclasification of possible reserves to resources as of 2009
    Source: Ministry of Energy and Mine (MINEM)

  • Importance of Peru’s Electric Power Sector

    The global trend for clean energy makes the increase on electrical generation based in renewable sources possible. According to ProInversión, 3.6% of the investment to be made in 2021 will be related to electrical activities. As of February 2021, the projects to be developed or continue to be developed consists of the construction of transmission grids, substations, and modernization regional electric companies all along the Peruvian territory. The promotion of investment in the electric power industry has been established as a national priority in the past years and corporations have introduced new technologies for efficient processes.  

    The 2014 – 2025 National Energy Plan highlights the importance of the use of clean energies in the future in order to prevent any energy deficit and at the same time promote the regional sustainable development and integration. Some examples are:

    • Hydropower – Peru has a estimated potential of 69,445 MW 
    • Wind Power – Peru has a estimated potential of more than 20,000 MW 
    • Tidal Power – There are still no tidal power plants in Peru. 
    • Geothermal Power – Peru has a estimated potential of 3,000 MW 
    • Solar Power –The annual radiation of Peruvian regions oscillate between 3.3kWh/m2 and above 6.0Wh/m2, making it the easiest to access. 
    • Biomass Power – Peru has a estimated hydropower potential of 450 to 900 MW
  • Oil & Gas Trends

    • Stabilization of oil prices above USD50 
    • Cost efficiency plans 
    • Enhancing of Perupetro’s role in the industry 
    • Biofuels 
    • Electricity in the transportation system 
    • Smart grids 
    • Artificial Intelligence (AI) 
    • Internet of Things (IoT) 
    • Mobile Devices 
    • Blockchain

Click on the maps to see a closeup of Peru’s blocks and areas of investment. 

Tenemos una visión clara de las preguntas críticas y las nuevas respuestas necesarias. Accede a nuestra ayuda para la gestión de crisis, la continuidad del negocio y la resiliencia de la empresa.

Resumen

La Guía de Inversión en Proyectos de Energía elaborada por EY, el Ministerio de Relaciones Exteriores y el Ministerio de Energía y Minas, PeruPetro y ProInversión reúne información clave sobre esta industria en el Perú. Nuestro objetivo, es ayudar a los inversionistas nacionales e internacionales en la toma de decisiones respecto a la exploración y desarrollo de nuevos proyectos extractivos en el país.

Acerca de este artículo

Autores
EY Perú

Organización multidisciplinaria de servicios profesionales

Paulo Pantigoso

Country Managing Partner, EY Perú

Managing Partner de EY Perú, enfocado en generar valor y en la construcción de un mejor mundo de negocios para nuestros clientes, nuestra gente y nuestra comunidad.

Temas relacionados Energía reimaginada