Energy System Transformation Outlook (ESTO)

Peru is strengthening its institutional capacity for longterm energy planning as part of its update to the National Energy Plan. Led by the Ministry of Energy and Mines (MINEM), the initiative enhances the use of the TIMES model as the central tool for nationalscale, longterm energy system analysis. The focus is on improving the representation of key elements for the energy transition, such as renewable energy integration, energy efficiency, and electrification of transport, to better align national planning with climate and development objectives.

The work includes specialised training and technical support to expand government expertise in energy system modelling, enabling MINEM to carry out more robust, datadriven scenario analysis. This enhanced capability supports informed decisionmaking for the deployment of renewables, investment in grid infrastructure, and longterm strategies for reducing greenhouse gas emissions. It also assists in addressing the operational challenges of integrating a higher share of variable renewable energy (vRE) into the national power system, in close coordination with the national system operator.

By embedding advanced modelling and planning processes within MINEM’s energy policy framework, Peru is better equipped to pursue its target of a diversified and sustainable electricity mix, including a projected 20% share of wind and solar by 2030 alongside its significant hydropower base. The strengthened planning platform supports coherent policy design, prioritisation of investments, and the alignment of sector development with national and international climate goals.