Peru is beginning to show technical conditions that position it as one of the most attractive renewable energy markets in the region. For Statkraft, one of the main differentiators is the quality of the resource: the company identifies wind projects with capacity factors exceeding 50% and solar developments that, in certain areas of the south, surpass 35%.
“ In Peru there are some projects where we have seen plant factors above 50% ,” said Enzo Contreras, Country Manager of Statkraft Peru , in the context of the “See You at FES” streaming event, organized by Future Energy Summit (FES) as a prelude to a new edition of FES Peru.
The figure takes on greater significance when compared to other markets in the region. According to the executive, good wind power projects in Chile have a capacity factor of around 30%, while in Brazil some areas approach 40%.
“ The capacity factor of the plants in Peru, which speaks to the resource, is extremely attractive because it allows for more efficient energy generation, and that allows for a better project ,” Contreras highlighted.
The potential also extends to photovoltaic generation. Southern Peru appears as one of the main areas of interest for Statkraft , both because of its radiation levels and its proximity to large consumption centers linked to mining activity.
“ In the case of solar power, especially in southern Peru, we have plant factors that exceed 35% ,” the executive stated.
These technical indicators are emerging in a market that also maintains a large-scale renewable energy portfolio under development. Peru is processing permits for more than 8 GW of wind power and has a significant number of solar and wind projects that still need to advance in terms of permits, contracts, and grid connection conditions to become new installed capacity.
For Statkraft, the combination of resources, economic stability, and growth prospects in demand creates an investment window that the company intends to take advantage of.
“ We view the country very optimistically ,” said Contreras, who emphasized that macroeconomic stability and the Peruvian legal framework allow for the analysis of projects with horizons of between 30 and 40 years.
From 430 MW of hydroelectric power to new solar and wind projects
Statkraft's focus on Peru is already translating into a diversification strategy for its local portfolio . Currently, the company has seven hydroelectric plants with a combined installed capacity of approximately 430 MW , a base it intends to complement with solar and wind power generation.
“We are working on a photovoltaic project in the south of the country and another wind project in the north , in addition to maintaining a portfolio of initiatives in different phases of study and development,” the executive said.
The location also reflects the geography of the resources. Southern Peru boasts particularly competitive solar conditions and, at the same time, significant mining activity , making it possible to bring generation closer to consumption centers. Meanwhile, the north contains some of the areas with the best wind resources identified by Statkraft.
The company's objective is not simply to acquire assets in isolation. Contreras explains that the company aims to build a pipeline capable of sustaining successive investments and achieving significant scale in the Peruvian market over the next five to ten years.
In the shorter term, a concrete objective emerges. Statkraft expects to have two new assets operational in Peru by the end of 2028: one solar and one wind , which would complement its existing hydroelectric platform.
This development is taking place in a market where the gap between announced volume and actually executable projects remains significant. Therefore , permits, contracts, regulation, and grid capacity are as important as wind or solar radiation availability .
Demand, rules and transmission: the conditions for unlocking investments
The opportunity is also linked to the evolution of consumption. Contreras estimates that Peruvian electricity demand should grow, roughly keeping pace with the performance of the gross domestic product and even slightly exceeding it.
“ We are talking about demand growth that should be between 3% and 4% annually ,” the executive projected.
Compounded over a decade, this increase would represent a considerable expansion of supply needs. For Statkraft, this opens up space to incorporate new generation while maintaining a diversified energy mix of hydroelectricity, natural gas, and variable renewable technologies.
The group's vision does not propose an immediate replacement of one energy source with another. Regarding the debate on the future role of gas, hydroelectric, solar, and wind power, Contreras summarized: " It's about complementing each other."
Continue reading
The Country Manager maintains that Peru can continue to leverage Camisea gas and its hydroelectric base while incorporating larger volumes of solar and wind power. According to his analysis, these technologies allow for a reduction in the marginal cost of new generation and diversification of the system , while flexible assets provide backup.
In fact, he projects that solar and wind power could quickly gain market share. “ Peru has the potential to have close to a third of the country's capacity in renewable energy ,” Contreras stated, referring to both technologies.
The challenge will be to transform that potential into bankable and interconnected projects. Law 32249 introduced changes to the Peruvian electricity system, including the possibility of moving towards tenders with separate energy and power allocations, although some of the regulations necessary to implement these mechanisms remain crucial for the sector.
The market had already been showing this gap between potential and execution. Recent sector analyses placed more than 20 GW of solar and wind projects in various stages of electrical feasibility studies , while specialists have warned that long-term power purchase agreements, clear rules, and competitive mechanisms will be necessary to convert that portfolio into installed capacity.
For Statkraft, the regulatory direction is favorable, but some details still need to be finalized. Among them, Contreras mentions how renewables will participate in future electricity tenders and under what mechanisms the new generation blocks will compete .
The risk that Peru can still avoid
However, transmission is one of Statkraft's main concerns . The rapid development of solar and wind power could lead to generation outpacing the infrastructure needed to transmit it.
The immediate point of reference is Chile, where renewable energy growth has exposed grid constraints and high levels of wastewater discharge. Brazil is also facing similar discussions due to the rapid addition of new capacity.
Contreras believes that Peru currently has a solid transmission infrastructure, but argues that the challenge will be to maintain that standard while increasing renewable penetration .
Investments in generation, he argues, must advance in coordination with new networks, especially in those areas where large solar and wind power hubs are anticipated.
“ What I see as the biggest lesson today is curtailments ,” the executive warns, analyzing the experience of other regional markets.
Planning becomes even more important given the speed at which these technologies are being built. A solar plant can be built much faster than a large transmission project, and this time lag can result in energy being generated that the system is unable to transmit .
According to Statkraft, anticipating where the main investment focuses will be would allow for strengthening infrastructure before structural constraints appear.
Therefore, the question of whether the time has come to invest in Peru cannot be answered solely by natural resources. Capacity factors exceeding 50% for wind power, levels above 35% in certain solar projects, demand projected to grow between 3% and 4% annually, and more than 8 GW of wind power in the pipeline demonstrate the scale of the opportunity.
But the pace of implementation will depend on another equation: regulation, transmission, contracts and permits must keep up with the speed at which developers and investors seek to incorporate new capacity .
In that context, Statkraft intends to establish a position. “ Now is the time ,” Contreras maintains, referring to the opportunities in the Peruvian market.
And he completes the company's strategy with another message: " We are present in Peru and we want to be protagonists of the country's energy transition ."
See you at FES Peru
The debate will continue onSeptember 28 in Lima , during a new edition of Future Energy Summit Peru , which will bring together the main representatives of companies, associations and institutions linked to the energy sector.
Confirmed participants include representatives from Fenix Power, Orygen, Kallpa Generación, Grupo Elecnor, Aurora Energy Research, Sungrow, JA Solar, CATL, Jinko Solar, FMO, AFRY, CAPO Energy and Solar Steel , as well as associations such as the Peruvian Renewable Energy Association, H2 Perú and Perú Renovable.
The event will bring together executives, developers, suppliers, and institutional leaders on an agenda focused on investment, regulation, storage, competitiveness, and the execution of new projects.