Hydro developer eyes northern Peru

Peru region San Martín in the north of the country has been targeted for a medium-scale hydropower plant.

In a resolution, the energy and mines ministry granted Generación Eléctrica del Norte a temporary concession for 205MW hydroelectric project Las Palmas.

The company filed the concession request in March and now has 24 months to carry out feasibility studies in Tocache district and province.

Six other hydropower temporary concessions in San Martín total 1,640MW; country-wide temporary power concessions top 7GW.

Information from grid operator COES reveals that close to 2GW will be added through May 2016. Installed capacity at end-2014 reached 9,248MW.

Maximum load demand in July hit 5,883MW and is forecast to reach around 6,500MW in 2016. A record 6,036MW was set in March.

Peru's power generation profile, however, has raised flags among some stakeholders.

At the BNamericas 5th LatAm Power Generation Summit in Lima, Statkraft Peru chief Juan Antonio Rozas pointed to "excessive government planning."

Instead of new projects, Statkraft's growth plans are centered on acquisitions, improving profitability of existing assets and energy exports.