Congress will decide if Petroperú returns to Fonafe, announces the MEF

The Ministry of Economy and Finance (MEF) will present a bill that places Petroperú back under the scope of the National Fund for Financing State Business Activity (Fonafe).

According to Minister José Arista, the objective of reintegrating the oil company into the holding company currently occupied by state companies such as Córpac, Sedapal or Essalud is to recover its financial governance and transparency, in addition to improving spending processes and personnel selection.

Previously, and in line with Emergency Decree No. 004-2024, published last February, MEF had commissioned Fonafe to supervise the “restructuring actions that Petroperú will implement in 2024”, as well as evaluate the financial situation of the company, among other tasks.

“What is sought is to recover control of the management of the company, reincorporating it into the scope of Fonafe, a place from which it should never have left, for which purpose a bill will be proposed to the Congress of the republic in the coming months,” he highlighted during his interview.

Petroperú left Fonafe in July 2006 with the Law of Strengthening and Modernization of Petroperú (Law 28840) that was published at the insistence of Congress at the end of the Toledo government, who opposed its promulgation.

The law established an essential issue: Petroperú could participate in the entire industry chain, from exploration, exploitation (production), refining, transportation, wholesale and retail distribution, as well as petrochemical activity. The formation of the board of directors and ad hoc regulations for purchases and acquisitions made by the company are also established.

A return without clarity

The former president of Perupetro Aurelio Ochoa Alencastre finds a natural reaction from the MEF to “regain control” of the state oil company, which he considered was already “engaged in an annexation process” since it was asked to comply with Fonafe’s hiring directives on its board of directors.

“The only thing that would be being done is to formalize his direct reinstatement. There are strict rules to which Petroperú must now submit under the aegis of Fonafe, it does not mean that the treasury or government palace will have an impact,” he says.

However, for hydrocarbon expert Alexei Huerta this is a wrong decision. The UNI professor points out that Fonafe would generate excessive pressure on the spending budgets for the purchase of fuel, and would even affect its performance as a partner in Lot X.

Instead, Huerta assures that MEF has not found the formula to reorganize the company, whose main problem is that it went from having a 50% share of the local market to less than 30% during the modernization of its refinery.

“Petroperú needs to relaunch itself with subsidiaries in exploration and production that allow it to find the areas that generate losses. What the minister does is save his skin. MEF was already a shareholder in Petroperú, it is the father who does not want to recognize his son,” he says.

MEF will prevent “insolvency” of Petroperú

In his questioning, Minister Arista mentioned that the support that will be provided to Petroperú will not mean a greater benefit for the Public Treasury.

One day before these statements, the Minister of Energy and Mines, Rómulo Mucho, indicated that Lot 192, operated by Petroperú and Altamesa in Loreto, will begin operations in October.

The new Petroperú Board of Directors, appointed by the Fonafewill take control in 2025. Recently, Oliver Stark was made official as president of said staff.