August 3, 2011 / 2:51 AM / 7 years ago

Peru government to ration energy in north

LIMA, Aug 2 (Reuters) - Peru will ration energy in the northern part of the country, the mines and energy ministry said on Tuesday, due to a lack of transmission capacity and hydroelectric power in an area where important mines operate.

Mines and Energy Minister Carlos Herrera said the scheduled rationing would affect areas from Trujillio to Cajamarca, where U.S. miner Newmont runs the Yanacocha gold mine with Buenaventura in one of the world’s fastest-growing economies.

Herrera’s predecessor, Pedro Sanchez, had said the rationing was expected to start next year. Herrera said the rationing was coming sooner than expected.

“This is because of the electrical system. The bulk of generation is located in the center of Peru and there isn’t yet the ability to transmit to the north, which has decreased hydroelectric generation,” he told reporters.

He did not say how much energy would be rationed or how long the restrictions would last, but a formal announcement is expected on Wednesday. (Reporting by Patricia Velez and Terry Wade; Editing by Himani Sarkar )

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