STRATEGIC INTERCONNECTION AND TRANSMISSION LINES

Promoter – Financial Intermediary

REPUBLICA DEL PERU

Location

• Peru

Description

The loan will finance the Peruvian side of the Peru-Ecuador power interconnector line consisting in the 500 kV Piura Nueva-Frontera transmission line (270 km) and substation. The project also includes other strategic transmission lines, such as the 138 kV Puerto Maldonado transmission line (160 km) and the 220 kV Valle del Chira substation.

Objectives

The aim is to strengthen the transnational Peru-Ecuador power interconnection as well as other strategic energy transmission lines in Peru. By exploiting the complementary hydrological regimes in both countries, the power interconnector at the border will help to integrate higher shares of renewable energy, and therefore reduce greenhouse gas emissions, while improving energy efficiency and supply security. The project is part of the Global Gateway Investment Agenda, given its critical role in reinforcing energy security in the region and promoting Climate Action in Peru and Ecuador.

Sector(s)

• Energy - Electricity, gas, steam and air conditioning supply

Proposed EIB finance (Approximate amount)

USD 133 million (EUR 123 million)

Total cost (Approximate amount)

USD 266 million (EUR 246 million)

Environmental aspects

In accordance with the national related regulations in Peru, Environmental and Social Impact Assessments (ESIA) for the project must be carried out. The compliance with the EIB's Environmental and Social Standards will be fully assessed during the appraisal and evaluation stages.

Procurement

The EIB will require the Special Purpose Vehicle-awarded company to ensure that the implementation of the project will be done in accordance with the EIB's Guide to Procurement.

Status

Under appraisal - 7/03/2024