Southern Peru: Rising leader in green hydrogen production

Arequipa, Moquegua, and Tacna are ideal for green hydrogen production because of their favorable climatic conditions.

Southern Peru is emerging as a prime location for green hydrogen production, and PROMPERÚ aimed to attract investment in this crucial sector during Hyvolution Chile 2024, which took place in Santiago, Chile.

This meeting brought together companies, associations, and government entities interested in renewable energy projects, showcasing the significance of Peru's natural conditions for green hydrogen production.

Photograph: Shutterstock

Southern Valleys: Energy potential

At the fair, the valleys of Arequipa, Moquegua, and Tacna were highlighted as the most suitable regions in Peru for green hydrogen production.

According to solar irradiation maps, Arequipa, Moquegua, and Tacna stand out for having ideal conditions for the development of photovoltaic technology. In these three southern regions of the country, global horizontal irradiation ranges from 6.8 kWh/m² to 7 kWh/m², while direct normal irradiation ranges from 7.5 kWh/m² to 8.5 kWh/m².

These geographical areas are ideal for green hydrogen production due to their high solar radiation and favorable climatic conditions. The regions' optimal environment makes them well-suited for harnessing renewable energy.

On the other hand, the greatest wind potential is concentrated in the coastal zone, thanks to the strong influence of the Pacific anticyclone and the Andes Mountains, which generate southwest winds. This is especially notable in the regions of Piura, Lambayeque, La Libertad, Ancash, Ica, and Arequipa, where average wind speeds range from 6 to 12 m/s (at an average wind turbine height of 100 m), suitable for both onshore and offshore wind energy development. According to the latest data from the Wind Atlas of Peru (2016), the usable wind potential is estimated at 20,493 MW.

According to Sfera Proyecto Ambiental (2022), with data up to 2021, Peru has the largest installed capacity for wind energy generation in the region, with 21,161 MW. If it fully harnesses this potential, Peru could surpass countries like Mexico (7,692 MW), Argentina (3,292 MW), and Chile (3,137 MW), positioning itself as a regional leader in installed wind energy capacity.

Finally, Peru’s capacity to produce green hydrogen using renewable energy sources that reduce greenhouse gas emissions to zero is tied to its vast potential in wind, solar, hydro, geothermal, and biomass energy. Unlike many other nations, this gives Peru a strategic advantage, positioning it as a key player in exporting green hydrogen—a crucial resource for global decarbonization efforts.

Photograph: Freepik

Peru: Emerging leader in renewable energies

Peru is establishing itself as a key player in renewable energy, with a particular emphasis on green hydrogen production. With its strong resource base and commitment to sustainability, the country presents a compelling opportunity for foreign direct investment.

For this reason, PROMPERÚ has been actively promoting the country's opportunities in this sector, emphasizing the comparative advantages that make Peru an ideal destination for long-term investments in renewable energy and green hydrogen production.

Facts 

• Peru is currently the third largest country in South America for foreign direct investment projects in renewable energies, with 48 initiatives between 2003 and July 2024, totaling an investment of USD 8.473 billion. 

• These investments have generated over 6,000 direct jobs, with a significant presence in regions such as Arequipa, Ica, Moquegua, and Piura. 

• The main investors in this sector are South Africa, Spain, and Brazil, further reinforcing Peru’s importance on the global renewable energy map.