Luz del Sur has an important share in the electricity sector of the Peruvian market, which has already shown a notably increasing demand and similar future perspectives.
Rates are regulated by law, through an autonomous technical agency â€“ Commission for Energy Rates (GART-Spanish abbreviation).
Service quality regulations are also clearly set forth in the Law of Electric Concessions and in the Service Quality Regulation, its supervision thus being under the responsibility of the General Bureau of Electricity and OSINERG.
State-owned and private companies which have important ongoing expansion projects furnish power generation in Peru.
The Peruvian power sector is divides into 3 portions:
- Generation Companies
Share in final rate to customer: 60%
- Transmission Companies
Share in final rate to customer: 5%
- Distribution Companies
Share in final rate to customer: 35%
Our company entered the power distribution sector in August 1994. It has more than 940 thousand customers and covers 30 districts of the Eastern, Central and Southern areas of Metropolitan Lima (See Concession Area).
Rates are set by GART.
The last rate modification by GART affects power distribution companies since those rates assigned are the lowest of the continent.
To show this, below there is a comparison of domestic power rates in capitals of similar countries, breaking down the generation, transmission and distribution values.
The graph shows how power distribution companies of other countries have a share in the final price of electricity of no less than 40%.
Rates of the Industrial Sector
Peru has currently one of the lowest electricity prices of the continent. This is due to the great efficiency generated by the private electricity companies.
Just as an example, losses due to energy theft reached 20% in Luz del Sur in 1994. Today, they have dropped to less than 7.5% thanks to the great effort made by the Peruvian administration.