Peru has the potential to develop about 70,000 MW from hydroelectric sources, 77,000 MW from wind, and 3,000 MW from geothermal sources, according to Jaime Mendoza, chairman of regulator Osinergmin.
Yet, important challenges emerge because 86% of the hydroelectric energy would come from the Atlantic basin and 14% from the Pacific basin, Mendoza said during the Renpower Andes webinar organized by Euroconvention Global. Generating energy in the Atlantic basin requires reservoirs in the jungle, which could raise opposition on environmental grounds, according to BNamericas.
Most solar and geothermal potential is in the south, while the departments of Ica, Cajamarca, Piura and Libertad are ideal for wind generation.
Currently, 60% of Peru’s energy matrix is made up of hydroelectric energy, 35% thermal, and 5% from unconventional sources such as wind, solar and biomass, which grew substantially in recent years, according to Osinergmin.
Mendoza highlighted that Peru has electricity production capacity of 13,386 MW and a maximum demand of 7,125 MW, so it holds over 6,000 MW in reserves.
Last year, China Yangtze Power Co. Ltd acquired an 83.6% stake in Luz Del Sur, which owns 100 MW of hydro generation assets and has another 740 MW of hydro assets in the pipeline.