Peru seeks funds for Ecuador power interconnection

The financing process for a project to connect Peru’s power grid to that of Ecuador is expected to reach a milestone in the coming months.

Information from the European Investment Bank (EIB) shows that Peru’s government has requested funds from the lender for the planned link which is penciled in to come online in 2027.

The Peru infrastructure comprises the 270km, 500/220kV Piura Nueva-Frontera transmission line, the 160km, 138kV Puerto Maldonado-Iberia transmission line and the 220/60/22.9kV Valle del Chira substation.

Puerto Maldonado Transmisora de Energía, a subsidiary of Spain’s Celeo Redes, holds the concessions for the dispatch works.

EIB would provide US$133 million of the Peru project’s US$266mn cost.

Earlier this year, the bank approved US$125mn for Ecuador’s side of the interconnection that includes lines Chorrillos-Pasaje (204km) and Pasaje-Frontera (75km), the expansion of the Chorrillos substation and the new Pasaje substation.

A limited capacity link, the 220kV Zorritos-Machala line, exists between the countries to help guarantee supply during dispatch shortfalls.

“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,” EIB highlights.

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