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Project Alert: ProInversion called for a public bid to award five transmission projects

Insight

august 21, 2023

The Peruvian government called for a public bid in order to grant the concessions for the design, financing, construction, operation and maintenance of five (5) transmission projects belonging to the Guaranteed Transmission System ("the Projects"):

500 kV Chilca CTM-Carabayllo Transmission Line - Third Circuit,
500/200 kV Bicentenario New Substation, associated substations and extensions,
Reconfiguration of the 220 kV Chavarría – Santa Rosa – Carapongo transmission line, associated substations and extensions,
220 kV Muyurina New Substation, 220 kV Ayacucho New Substation, 220 kV Muyurina-Ayacucho Transmission Line, associated substations and extensions, and
Expansion of Supply Capacity of the Ica Transmission System.

The bid is aimed to national and international potential investors.

The concessions will be granted for a 30-year term, counted as of the commercial operation date of the Projects. The facilities will be paid by the users of the grid.

Find below a brief description of the Projects:

Description	Location	Estimated investment (USD)
500 kV Chilca CTM-Carabayllo Transmission Line - Third Circuit
This project will improve the 500 kV transmission security in the zone of Lima.	Lima Region	63.5 millon
500/200 kV Bicentenario New Substation, associated substations and extensions
This project will improve the control and voltage level at 220 kV in the Mid-South area (Asia, Desierto, Cantera, Independencia and Ica Substations).	Ica Region	76.9 millon
Reconfiguration of the 220 kV Chavarría – Santa Rosa – Carapongo transmission line, associated substations and extensions
This project will strengthen the Carapongo - Chavarría System and will provide greater reliability to the Northern Transmission System.	Lima Region	83.1 millon
220 kV Muyurina New Substation, 220 kV Ayacucho New Substation, 220 kV Muyurina-Ayacucho Transmission Line, associated substations and extensions
This project will improve flow control, increasing transmission capacity on the 220 kV Mantaro - Cotaruse - Socabaya Transmission Line.	Ayacucho Region	67 millon
Expansion of Supply Capacity of the Ica Transmission System
This project will solve the overloading of the Ica Parcona substation, allowing a new 220 kV supply point for the Ica system and areas with growing demand. This project will also increase the reliability of the Ica Transmission System.	Ica Region	57.9 million
Total		348.4 million

The competition factor will be the lowest Total Service Cost. The Total Service Cost is comprised by the sum of the Annual Investment Cost, plus the Annual Operation and Maintenance Cost of each Project.