Peru’s energy mix is characterized by a high reliance on hydroelectricity and natural gas for power generation, while oil continues to dominate total primary energy consumption, primarily due to the transport sector. In 2024, Peru achieved approximately 59% low-carbon electricity production, nearly meeting its 2025 target of 60%.

Peru is positioning itself as a major hub for green hydrogen in Latin America through massive infrastructure investments and new legislative frameworks.

Major Projects

• Horizonte de Verano ($11.2 – $12.5 Billion):
  • Location: Arequipa region (Southern Peru).
  • Scope: Expected to be one of the largest green hydrogen and ammonia plants in Latin America.
  • Components: Includes a 5.85 GW solar photovoltaic plant, a water desalination plant, and a 500 kV electrical substation.
  • Timeline: Construction is slated to begin in 2026, with the first phase operational by mid-2027 and full capacity reached by 2032.
• Phelan Green Energy ($2.4 – $2.5 Billion):
  • Location: La Joya district, Arequipa.
  • Scope: A dedicated solar-based hydrogen and ammonia production facility spanning 4,000 hectares.