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PERU PLANS TO USE SOLAR TO PROVIDE ELECTRICITY TO 500,000 POOR HOUSEHOLDS SPECIAL MENTION PERU The future of Latin America’s renewable energy potential is solar. The region has sunshine that many other regions in the world would envy. Latin America’s current energy demand could be met about 40 times over using solar energy15. A full 70 per cent of its’ renewable energy potential comes from the sun [5]. In 2013, only 0.4 percent of Latin America’s total non-hydro renewable power consumption was solar [6]. That seems too little for a region that generates about 60 per cent of its power from renewables (including hydro). But on current trends, the picture might soon look quite different. By the end of 2012, the region’s solar power installed capacity was about 90 MW [7]. By mid-2014, it is estimated that capacity has already grown to over six times as much [58][59]. During the first half of 2014, two solar mega plants came on stream: the Aura Solar I Plant in Mexico (30 MW) and the Amanecer Solar Cap Plant in Chile (100 MW) [69][70]. According to power project developers, there are at least an additional 836 MW of solar projects under construction; more than 1,000 MW of solar power will come online in the region before 2015 [67]. Declining system costs, alongside increasing policy support throughout the continent, have driven growth in solar capacity. Combined with resource availability, business opportunities have increasingly encouraged solar-focused investment in the region. In 2012, investments in solar reached US$1.4 billion and accounted for about seven per cent of region’s total investments in renewable energy. Peru, Mexico and Chile together accounted for about 70 per cent of the figure [7]. In 2012, Costa Rica attracted almost US$10 million to its solar sector, while Ecuador saw US$4.4 million in solar financing [7]. As part of its aspiration to double renewable power generation by 2018, Mexico has set a target of additional 574 MW of solar capacity [71]. Given their win-win market condition for up scaling, Brazil, Chile, Panama and Dominican Republic are other Latin American countries where the future of solar shines brightly [72][73]. As energy demand grows on the Latin American continent, opportunities are ripe for countries to exploit solar resources to provide power for to their citizens. Peru in particular is using solar power to pursue energy security, independence and diversification. The Andean country plans to use solar to provide electricity to 500,000 poor households [74]. In 2010, solar systems in remote rural areas, where extension of grid infrastructure is expensive, was estimated to exist only in 0.8 per cent of the more than 2.2 million Peruvian rural homes [75]16. Through this program, Peru intends to increase this capacity 30 times over, while ensuring a quarter of all rural homes in the country have access to electricity. Peru already has a good track record of fighting energy poverty with solar power. In 2006, the Peruvian Ministry of Energy and Mines (MEM), in partnership with the United Nations Development Programme (UNDP), implemented the programme “Photovoltaic Rural Electrification in Peru”. It led to the installation of 4,200 solar systems in Amazonian Peru by 2011. The “Energy, Development and Life” project, conducted by the German Cooperation Agency (GIZ), has allowed over 33,000 people to benefit from solar technologies [77]. The future of solar in Peru is promising beyond international funded initiatives. Local microfinance has also played a role in bringing solar access to Peruvian families. 15 Considering both, solar photovoltaic electricity (PV) [estimated 37 PWh], and concentrated solar power (CSP) [estimated 17 PWh] potentials[5]. 16 More recent figures estimate there are 19,586 households with solar systems, that is, about 0.9 per cent of all households [76]. WWF | Green Energy Leaders: Latin America’s Top Countries In Renewable Energy | Page 30PDF Image | Latin Americas Top Countries In Renewable Energy
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