| Abstract |
Peru is a country that depends mainly on two energy sources to produce electricity: natural gas,which is finite, and hydropower of large hydroelectric plants that is affected by climate change. This limited source of energy puts the country in a condition of energy vulnerability, which is more accentuated in the southern zone, where there is currently a deficit of almost 500 MW of efficient generation. Thus, the southern regions of Peru import almost 80% of the electricity they consume, which generates energy centralism and dependence on transmission lines that affect the competitiveness of local industries and impacts the life of the population. At the same time, the country has large potential renewable resources, such as geothermal energy, which is located precisely in the southern zone where there is power deficit. Thermal manifestations can be observed across the country, mainly in the Andes Mountains, but the hottest ones and whose origin is associated to volcanic activity are located in the southern Peru. In the regions of Arequipa, Moquegua, Tacna and Puno at least eight geothermal fields have been identified with an average subsurface temperature around 220 °C and an estimated potential of 850 MWe. In addition to its strategic location, geothermal energy could provide clean baseload due to its high capacity factor ( more than 80% vs. 25-35% for solar and wind) and GGE´s low emissions. Also, this technology is compatible with traditions and lifestyle of the communities of the Andean highlands. Besides, geothermal legal framework and regulation have been recently updated, and the government offers incentives to encourage private developers to participate in exclusive auctions for renewable energy projects. In consequence, geothermal energy is the most feasible source to provide clean, renewable and sustainable energy for southern Peru, contributing to the diversification of the energy matrix and energy security since is an indigenous source. Despite all these advantages and the need to develop geothermal power plants in southern Peru, why is there still no projects under exploratory drilling phase? Is it not enough that there is good resources and investors to build geothermal plants in the country? What other factors should be considered by geothermal developers? This paper pursues to explain this situation from the political, economic, environmental and social point of view, and recommends specific ways in which key decision makers can unlock the Peruvian geothermal industry, working since the beginning with a comprehensive and transversal approach, as demanded by today´s world. |