“It is impossible to continue with the current model (of Majes Sigua II),” said Joaquín Roura, manager of Cobra, concessionaire of this agribusiness project paralyzed for 4 years. The Spaniard arrived in Arequipa to participate in the Autodema workshops that seek to socialize Addendum 13 to the regional councilors. With the vote of these authorities, it will be determined whether the works will be reactivated in the medium term (6 months).
The manager argued that all “roads lead to the addendum” and that it is not a question of reducing water to irrigate 38,500 hectares. If you want to electrify and automate the irrigation and distribution system, for example, you need an addendum. If you do not have enough water for plots, anyway, add.
“There are a series of circumstances that force us to make an addendum, be it this or a similar one. But trying to do another one would take 4 years. I don’t think the company wants it. Either it is the addendum or there is nothing. It’s that hard, ”said Roura.
He argued that the increase in the ecological flow for the Apurímac River was unknown in the original contract (2010), with which the water for the project was reduced, as well as losses in its distribution. For the Comptroller, these are not new circumstances, it only validated that of climate change. Roura pointed out to the counselor Elmer Pinto that it was not Cobra’s fault that the work stopped. “I also do not understand why it took 4 years to approve the addendum,” he said.
At another time, he argued that Addendum 13 solves all current problems. Although he did not rule out the directors Harberth Zúñiga and José Luis Hancco that other circumstances occur. “I am not God to know. In principle, with the addendum, everything is closed. But it may happen that they ask that the farms (modules) of 200 be 50 hectares. Changes would have to be made to do so ”, he replied.
The Cobra manager made it clear that they are seeking to reach an agreement with the Regional Government of Arequipa. “As they say, a bad agreement is better than a good judgment. We have invested more than US $ 60 million ”, he warned. The Regional Council has until December 8 to discuss the addendum that will modify the contract for US $ 104 million. This money will be recovered by the State from the progressive land auction. Otherwise it will go to an international arbitration.
Roura stressed that the first phase of Majes Siguas II has a physical progress of 45% and that they were not obliged to make investments, but that they did so in good faith with the promise of the previous regional management to approve addendum 13. On why They do not make the financial closure, he explained that it was agreed to do so by having above all the signed addendum and the complete delivery of land for the Angostura dam and other interventions.
One of the concerns of the counselor Silvio Arias is the development of the Majes phase I infrastructure that Majes II will use. There are 88 kilometers of tunnels and 15 of canals that need to be repaired. Arturo Arroyo, manager of Autodema, indicated that the Regional Government is preparing the terms of reference for the file. The works must be completed one year before Cobra completes the main works.
In his presentation Luis Pita, representative of ProInversión, indicated that the technological change is absolutely reasonable, due to the change of the water distribution system from canals to pipes. “I doubt that a new project can be successful,” he said. The entity will be in charge of the auction of the 38,500 hectares.
Regarding this, Pita indicated that the Ministry of Economy and Finance (MEF) would have to be asked for approval to allocate a percentage of land at social cost to Arequipa farmers. He recalled that there is a financial scheme to respect to make Majes II profitable.
Two counselors did not attend the workshop
Councilors Eddy Medina and Miguel Guzmán did not attend the workshops he organized Autodema. The president of the Regional Council, Ysrael Zúñiga, only participated in the morning presentations. He indicated that he is convinced to give his vote to approve addendum 13. Similarly, Silvio Arias considered reactivating it once and for all. Harberth Zúñiga indicated that he has doubts about some aspects, while José Luis Hancco, that the contract is harmful to the State with the risk of proposing more addenda.
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