The problem is that current regulations limit the entry of new operators into the national electricity market and restrict the use of new technologies, which are now much cheaper and cleaner, says the respective union.

In Peru, there are projects for generating energy from renewable sources worth around 11,608 million dollars, which are awaiting approval, said the president of the Peruvian Association of Renewable Energies, Brendan Oviedo.

During the Green Hydrogen and Renewable Energy Congress, which is taking place within the framework of Expomina 2024, he reported that these are solar and wind projects that contribute to fulfilling the commitment made by Peru to reduce 30% of greenhouse gas (GHG) emissions by 2030.

However, Oviedo revealed that current regulations limit the entry of new operators into the national electricity market and restrict the use of new technologies, which are now much cheaper and cleaner.

As a result, electricity rates are not reduced and instead are increasing every year.

In light of this, he argued that the relevant regulatory changes must be made to allow competition between generation projects in long-term tenders for distributors.

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Likewise, equal conditions should be promoted in tax incentives for all renewable power plant construction projects by opening up the possibility that the benefits of early recovery of VAT include projects with construction periods of less than two years.

THE POTENTIAL OF HYDROGEN

For his part, Daniel Cámac, president of the Peruvian Hydrogen Association-H2 Peru, said that the planet needs to reduce about 45% of emissions by 2030 to avoid entering an irreversible scenario.

In this sense, hydrogen, the most abundant substance on the planet, takes on strategic importance. Cámac explained that it allows the decarbonisation of mining, agricultural, industrial and transport activities.

The expert also welcomed the interest of the Government and the Congress of the Republic to actively promote the development of hydrogen in the country through the enactment of Law No. 31992, the Law for the Promotion of Green Hydrogen and the recent amendment of Article 2 of the aforementioned law.

For Cámac, this commitment reflects a strategic vision towards a cleaner and more sustainable energy future, aligned with global decarbonisation trends.