Energy & Utilities
From The Report: Peru 2014
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Although its resource wealth should help to ensure Peru’s long-term energy security, in the short term surging demand continues to put pressure on the sector. A recent influx of investment in hydroelectric power stations and natural gas-fired thermoelectric facilities should be enough to stave off any bottleneck in electricity generation and avert potential power shortages in 2016 and 2017. Within the hydrocarbons subsector, the commercialisation of the giant Camisea field in 2004 changed the country’s energy mix, sparking an increase in exploratory investment. It is estimated that as much as $25bn could be invested in the hydrocarbons sector from 2011-20. Peru currently relies on a single pipeline to provide the gas used to generate more than 40% of electricity, and more broadly, the lack of infrastructure is the main and most pressing challenge facing the industry in the near term.