PERUVIAN ELECTRICITY SECTOR Prepared to: The Federation of Israeli Chambers of Commers 2.6.14 ELECTRIC ENERGY PRODUCTION National Electric Energy Production (GWh) Electric Energy Production by source (%) 45,000 2013 2003 40,000 Thermal 14% 35,000 30,000 Others 1% 25,000 20,000 15,000 10,000 Hydraulic 86% 5,000 Thermal 46% Hydraulic 53% 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Hydraulic Thermal Source: Committee of Economic Operation of SEIN Others Source: Committee of Economic Operation of SEIN The exploitation of the Camisea field has lead in the expansion of thermal generation, which has grown by an average annual rate of 22% for the last ten years. ELECTRIC ENERGY DEMAND Electricity Coverage Population with access to electricity (%) 2003-2012 Maximum Demand (MW) 2003 - 2013 84.8% 6,000 5,000 79.5% 78.1% 87.2% 78.5% 4,000 82.0% 78.7% 3,000 68.7% 76.0% 2,000 69.6% 1,000 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Source: Committee of Economic Operation of SEIN 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Source: National Society of Mining, Oil and Energy The growth of the country's economic activity has generated an expansion of energy demand. The maximum demand of the National Interconnected Electric System (SEIN) amounted to 5,575 MW in 2013, which is 5.4% above the prior year. Regarding the electricity coverage, it reached 87.2% in 2012. The aim is to reach 90% in the coming years. SOLAR POTENTIAL The availability of solar energy is fairly uniform throughout the year within a margin of + / - 20% of the annual average. Annual average (kwh/m2) Southern coast 6,0 – 6,5 Central coast 5,5 – 6,0 Highlands 5,5 – 6,0 Southern jungle 5,0 – 5,5 Northern jungle 4,5 – 5,0 Source: Ministry of Energy and Mines 1st RER Bidding for Energy Supply for Not Connected Areas Objective: Award for a 15 years period, the electricity sypply of with Renewable Energy Resources up to 500,000 consumers located in isolated rural areas. Is expected to achieve the installation of: 410,000 panels on housings. 7,500 panels on Educational Institutions. 2,100 panels on Health Stablishments. Schedule Activities Fechas Call September 12th, 2013 Registration of participants Up to August 1st, 2014 Authorizations and Permissions: Obtaining sectorial rights, permissiones o licences is not required because the equipment will be installed on users property. Selling Bases Up to August 1st, 2014 Suggestions and inquires to Bases Up to May 12th, 2014 Competition factor: Annual compensation proposal, that shall be in accordance with the «Base Remuneration» established by OSINERGMIN. Files presentation Current Status: Registration of participants up to August 2014. Price of Bases: US$ 1,000.00 Publication of Minutes of Bidders Award August 5th, 2014 August 22nd, 2014 September 09th, 2014