On 20 January 2017 Peru’s government announced a budget of US$1.24 billion for water and sanitation projects to be built in 2017, a 70% increase over 2016 spending. The announcement follows four legislative decrees passed in December 2016 aimed to unlock over US$25 billion of stalled infrastructure projects.
New legislation promoting decentralization, autonomy, and access to a water infrastructure-specific fund signals the government’s intent to improve national infrastructure programs. In this Research Note, Bluefield water experts analyze the impacts of this legislation on the pipeline for public-private partnerships, Peru’s infrastructure commitment, and new entrants into the market.
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Bluefield Takeaways
- Legislation takes aim at MVCS program shortcomings.
- Proinversion looks to de-bottleneck Public- Private Partnership pipeline.
- Spanish players well-positioned for service and greenfield contracts, Acciona key partner to Peru’s largest EPS.