Rural Peru Electrification Requires US$960M

The program is designed to supply power to 91% of Peru's territory by 2012, through 33 new transmission lines, 243 electrical networks, and 60 hydro generators.

The program started in 1993 and aims to build 2,928km of transmission lines, 26,567km of small grid networks, 7,277kW of hydroelectric generation capacity, 4,680kW ofv thermoelectric capacity, 6,100kW of solar capacity, and 6,200kW of wind capacity.

Since the start of the program, the government has built 2,447km of transmission lines, 13,895km of small grid networks, 229 hydro and thermo generators, 36 solar panel projects with 77kW capacity, and two pilot wind projects in Marcona (450kW) and Malabrigo (250kW).

The Peruvian government has set aside 263mn soles (US$67.1mn) to invest in rural power schemes in 2003, but this figure excludes the Antamina and Pasco departments, which could add a further 100mn soles to the total budget.

According to previous reports, the government is negotiating a US$236mn loan with the Canadian government to finance its rural electrification program.

The funds will be targeted at those departments with greatest need, such as Cajamarca, which has 36% electricity coverage, and San Martin and Loreto, where coverage is below the national average.

The national power grid covers 75% of Peru's territory, but this still leaves seven million people without access to modern energy services.