Peru: New technical COES N° 13 procedure approved

The purpose of the new PR-13 is to calculate the annual Firm Energy¹ of the generation units. Another purpose is to verify that each generator covers the annual energy demand and monthly power that it has committed to its customers (free users and distributors) with its own firm energy and power and/or that it had contracted with third parties, whether they belong to the COES (Committee for Economic Operation of the National Interconnected System) or not.

Next, we share the main aspects regulated in the new PR-13:

1. Annual report on the balance of the committed power of the generators
   The COES will prepare annually for each generator a report of the balance of the committed power coverage with Firm Power.² This report will be forwarded by the COES to OSINERGMIN. 
2. Value of the Firm Energy in case the generator does not deliver the calculation within the established term
   PR-13 specifies that, in the event of power generators' noncompliance with the Firm Energy calculation within the indicated deadlines, the value of the Firm Energy will be that which is determined by the COES with the best available information. 
3. Firm Energy record and third-party backups
   The guidelines have been established to update the value of the generator's Firm Energy. Thus, it has been specified that the Firm Energy calculation can be updated due to the following events: income in commercial operation, conclusion of commercial operation or withdrawal of generation units, new commitments to buy/sell Firm Energy, among others. 
4. Typical load factors for customers without historical information
   It has been specified that for cases of customers without historical information (new free customers), the historical monthly load factor will not be part of the verification of the generator balance. 
5. Guidelines for the coverage balance with Firm Power
   The guidelines to be considered by the COES for carrying out the review of the committed power coverage by generating companies, either with their own or third-party Firm Power, are detailed. 
6. Requirements that must be met by generation units that are not in commercial operation that support the integral generators with their Firm Power or Energy
   The documents that must be submitted by the generators that declare the purchase of annual Firm Energy or monthly Firm Power associated with generation units that are not in commercial operation are established. 
7. Inclusion of definition of 'ecological flow'
   The term 'ecological flow' has been incorporated into the Glossary of Abbreviations and Definitions Used in the COES Technical Procedures to establish that the ecological flow cannot be considered and/or exploited by the agents in the application of the COES Procedures related to the calculations of Firm Energy and Guaranteed Power. 

We hope that this information will be useful to you and your company. If you require legal advice on this issue, do not hesitate to contact us.

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_{¹ It is the maximum expected production of electrical energy, determined for a 95% probability of surplus for hydroelectric generation units and of unavailability, programmed and fortuitous, for thermal generation units.}

_{² It is the amount of power that each generating unit can supply with a high degree of safety}

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