Electricity sector developments in South America

In early August 2026, reports highlighted varying aspects of the electricity sectors in Peru, Ecuador, and Argentina. In Peru, electricity generation saw a 7.34% year-on-year increase in June, driven by a 29.04% rise in thermoelectric output and a 13.38% increase from wind and solar sources, despite a 9.40% decline in hydroelectric production.

Ecuador faced rising electricity demand, projected to grow by 11.13% in 2026 due to economic expansion, mining, and electric vehicle adoption. Experts noted a need to increase generation capacity to address a 1,300 MW supply gap originating from a 2023 power crisis.

In Argentina, infrastructure investments were directed toward the Toma Norte sector of Gran Neuquén Norte. A project valued at approximately $216 million pesos aims to replace irregular connections and damaged infrastructure with formal service for roughly 100 families.

Recent developments show continued expansion of electrical access and transmission capacity. In Argentina, the Secretariat of Energy has launched a national and international public tender for the expansion of the ‘AMBA I’ high-voltage transmission system, covering construction, operation, and maintenance.

In Peru, the Ministry of Energy and Mines (MINEM) has approved modifications to seven electrical projects within the 2027-2036 Transmission Plan to better align with the National Interconnected Electric System (SEIN). These updates include reinforcing the 500 kV transmission line between Carabayllo, Chimbote, and Trujillo to reach a 1,000 MVA capacity, and upgrading the Chilca substation to enhance energy flow and transformation capacity.