SNMPE asks the government to guarantee a stable scenario for energy investments

The National Society of Mining, Petroleum and Energy (SNMPE) urged the government of President Pedro Castillo to “guarantee a predictable, stable and transparent regulatory framework” that promotes private investment in the mining and energy sector, with consistent signals that restore investor confidence.

For this purpose, the vice presidents of the SNMPE Magaly Bardales, from the mining sector; Carlos Mario Caro, from the electricity sector; and María Julia Aybar, from the hydrocarbons sector, met with the Minister of Energy and Mines, Carlos Palacios Pérez.

“It is important that the Ministry of Energy and Mines, which is the governing body of the sector, has honest, qualified professionals with extensive experience and who know the mining and energy industry technically, legally and economically,” the institution said.

For the organization, reversing the crisis caused by the pandemic and ensuring economic reactivation involves preserving the sustainability and competitiveness of the mining and energy industry, which has the strengths to become an engine for sustained development in Peru.

Along these lines, the private representatives noted that in order to strengthen the development of the electricity sector, a stable, predictable, promoter, agile and expeditious regulatory framework is required; while the hydrocarbon industry needs measures that encourage the reactivation and promotion of investments so that it can overcome the crisis it has been facing for three years.

For its part, the mining sector needs clear signs of stability and legal certainty in order to make its project portfolio of more than 53 billion dollars viable.

“This is urgent, since after Quellaveco starts operations this year, mining investment does not have large projects that are aimed at starting construction in the short or medium term,” the SNMPE mentioned.

The directors of the SNMPE also stated that the Minem and other State institutions linked to the energy mining task must focus on providing a comprehensive solution to permitting and paperwork, as well as social conflict, which have become the greatest obstacles to carrying out new investments and projects.

“The Minem must not deviate from its real essence of being a technical and highly specialized ministry, where meritocracy must prevail, allowing qualified, upright and experienced professionals to lead the development of the mining, electricity and hydrocarbon sectors,” concluded the meeting.