Peru's petroleum resources
Peru is a country in northwestern South America known for its diverse climate and geography, including a long Pacific coastline and the Andes Mountains. The nation has significant untapped petroleum resources, contributing to its energy landscape where over half of electricity generation comes from hydropower and around 39 percent from fossil fuels. As of 2023, Peru produced 118,000 barrels of petroleum per day but consumed 210,000 barrels, highlighting a reliance on fossil fuels. The estimated crude oil reserves stand at approximately 858.89 million barrels. Despite its wealth in mineral and energy resources, the country faces challenges related to poverty and income inequality, with about 27.5 percent of the population living below the poverty line. Transitioning towards sustainable energy, Peru aims for 20 percent of its energy to come from renewable sources by 2030, with aspirations of achieving 81 percent power generation from renewables by 2030. This energy transition is viewed as a potential avenue for economic growth and a reduction in carbon emissions.
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Peru's petroleum resources
Official Name: Republic of Peru.
Summary: Peru has experienced economic growth, which has led to an increased demand for energy. The country has significant untapped petroleum resources. More than half its electricity generation derives from hydropower and about 39 percent comes from fossil fuels.
Peru is a country in northwestern South America with a long Pacific coastline of 1,499 miles (2,414 kilometers). It shares borders with Bolivia, Brazil, Chile, Colombia, and Ecuador. Peru’s area is 798,596 square miles (1,285,216 square kilometers), and the country has several types of climate and terrain, including a coastal plain, lowland jungles, and the Andes Mountains. Only 3.1 percent of the land is arable, but Peru is rich in mineral resources, including copper, silver, gold, iron ore, and petroleum, as well as hydropower, wind, and solar resources. The population as of 2024 was estimated to be 32,600,249, with about 79 percent living in urban areas. The per capita gross domestic product (GDP) in 2023 was $15,100. As of 2022, an estimated 27.5 percent of the population was living below the poverty line. A 2022 Gini Index rating of 40.3, reflects the country’s high income inequality.
Peru has experienced growth in its economy and population, which has led to an increased demand for energy, a trend that is expected to continue. In 2023, Peru produced 118,000 billion barrels per day of petroleum (while consuming 210,000 billion barrels per day) and 12.27 billion cubic meters of natural gas (while consuming 7.185 billion cubic meters). With estimated reserves of 858.89 million barrels of crude oil and proven reserves of billion cubic meters (2021), the country could continue to grow in these areas.
In 2022, 55.8 percent of its electricity was generated from hydroelectricity, 39.6 percent was generated from fossil fuels, 3.1 percent was from wind power, 1.4 percent was from solar power, and 1 percent was generated from biomass and waste. In terms of fossil fuels, in 2022, Peru produced coal, petroleum, and natural gas. As of 2024, the country did not have nuclear power.
Renewable Energy Goals
The release of the report "An Energy Transition Roadmap for an Emissions-Free Peru 2030-2050" in 2022 found that Peru could achieve a net revenue of more than $128 billion by reducing its carbon emissions, which were 45.504 million metric tons. According to the report, 81 percent of Peru's power generation could come from renewable sources by 2030. About 35 percent could come from solar and wind power. Peru set a goal of generating 20 percent of its energy from renewable sources by 2030.
Bibliography
"Energy System of Peru." US International Energy Agency, 2021, www.iea.org/countries/peru. Accessed 7 Aug. 2024.
Latin American Energy Organization. “Peru.” http://www.olade.org.ec/en/node/390. Accessed 7 Aug. 2024.
“Peru.” The World Factbook, US Central Intelligence Agency, 30 July 2024, www.cia.gov/the-world-factbook/countries/peru/#energy. Accessed 7 Aug. 2024.
"Peru Energy Information." Enerdata, 2022, www.enerdata.net/estore/energy-market/peru/. Accessed 7 Aug. 2024.