In a past outlook, BNamericas highlighted how Bolivia’s vast natural gas reserves coupled with the government’s push to accelerate hydrocarbons E&P will guarantee the use of natural gas to fire power plants for years to come.

The same can be said for Peru and its Camisea-led natural gas reserves and the country’s efforts to increase the offtake of this hydrocarbon for all sectors, in particular electricity production.

Indeed, in the third quarter of last year, gas shipments from hydrocarbons transporter TGP to power generators rose 19% from 3Q10.

A study from World Bank-administered energy sector management assistance program Esmap highlights Peru’s low natural gas price and the resulting low rate for power generation versus other energy sources.

In a just released report, grid operator COES announced that natural gas use for power plants grew 17.6% last year to 13.5TWh compared with 2010, while hydro and bagasse rose 7.59% and 8.82% to 20.4TWh and 84GWh.

Fuels that saw drops in 2011 were diesel (31.4% to 532GWh) and coal (31.4% to 732GWh). Biogas output totaled 3GWh last year with the start of company Petramбs’ waste-to-energy plant.

Total production last year grew 8.61% to 35.2TWh, with hydro and thermo up 7.59% and 10% respectively to 20.4TWh (57.9% of output) and 14.8TWh (42.1%), adds the operator. The top three generators were Edegel (8.14TWh), Electroperъ (7.24TWh) and Enersur (4.68TWh).

Maximum demand in the period increased 8.35% to 4.96GW, according to COES’s report, available in Spanish here

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