Peru’s electrical supply put at risk by Kallpa plant dispute


Peru’s electrical supply has been put at risk by an unexpected threat: the municipality of Chilca has issued an order that would shut down the Kallpa gas plant.

The order came on Wednesday, when the municipality south of Lima decided to close the plant, saying that Kallpa had not paid its local taxes and fines, nor had it acquired a construction license for its new additions. According to El Comercio, officials from Kallpa, nonetheless, say that the company has paid all of the money that it owes.

The Kallpa plant supplies roughly 18% of the electricity consumed in Peru, and so far it has remained in operation despite the closure notice.

Officials from Kallpa say that Chilca mayor Alfredo Chauca has been harassing operations, ordering frequent inspections of the plant and threatening to close it down, according to Gestión.
According to Gestión, if the plant were to be actually be shut down, up to half of Lima would be without power.

Speaking with RPP this weekend, President Ollanta Humala spoke about the Kallpa dispute. “It’s an embarrassment,” he said. “How they can, many times for local interests, stop a project of national interest.”

A dispute between the municipality of Chilca and a gas-powered power plant could put Peru’s electrical supply at risk.