US$60mn Peru hydro project back on front burner

Peru power generator Empresa de Generación Eléctrica de Arequipa (Egasa) launched bidding to advance the US$60mn, 20.9MW Charcani VII hydro project.

The work entails drafting the pre-operational study (EPO) for the plant and its interconnection to the national grid (SEIN).

An EPO is filed with power grid coordinator COES and used to show that a proposed plant and associated transmission infrastructure will not hinder the expansion of the SEIN or impact the system’s safe and reliable operation.

Offers for the 50-day contract are due by September 6, according to procurement information available here, using number 934357 (place the number in the “Identificador Convocatoria” box after clicking on “Búsqueda Avanzada”).

Last year, the energy and mines ministry qualified as force majeure events cited by Egasa related to Charcani VII, among them the state of national emergency on account of COVID-19.

Egasa also has bidding underway to carry out studies for the overhaul of the Chalhuanca dam and earlier this year awarded a contract to advance development of a 100MW solar project.

In another sector development, distributor Luz del Sur, which serves Lima, placed 360-day bonds for 120mn soles (US$32.5mn) with a yield of 7.71875%.

Demand for the B-series bonds, which are part of the second issue of short-term instruments under the utility's fourth corporate bond program, was 191mn soles, the company said in a filing to local securities regulator SMV.

Read Free clients driving sales for Peru’s Luz del Sur

Pictured: Environmental monitoring for Charcani VII (Credit: Osinergmin)