Enel Americas S.a. · BCS:ENELAM
Enel Americas — Investor Presentation (June 2017)
22 slides from Enel Americas's investor presentation, June 2017
Slide 1: Peruvian Regulatory Framework Analyst Update Meeting
Peruvian Regulatory Framework Analyst Update Meeting June 2017
Slide 2: Agenda
Agenda Peru – General View Market description Regulatory framework Hot Topics 2
Slide 3: Peru General View
Peru General View Political, economical and energetic stability Effective Capacity –2016 Total: 12 775 MW Hydro: 39% (1) Thermal: 58% (2) Eolic - Solar: 3% Energy Production 2016: 48 326 GWh (∆ + 9%) Peru 2015: 44 540 GWh Hydro: 47% Thermal: 50% Wind - Solar : 3% Peak Demand President: Pedro Pablo K
Slide 4: Institutional Framework
Institutional Framework Institutional framework provides legal and regulatory security • Defines energy policies • Regulates environmental matters applicable to the energy sector • Oversees the granting, supervision, Ministerio de maturity and termination of licenses, Energía y authorizations and co
Slide 5: Market structure
Market structure Separated activities promote investment opportunities and competition GENERATION (Gx) TRANSMISSION (Tx) DISTRIBUTION (Dx) • Competitive Market. • Natural monopoly. • Natural monopoly. • Marginal costs in the spot market. • Regulated business. • Regulated business, VAD (Valor Agregad
Slide 6: Transmission
Transmission 18,747 km of transmission lines with voltage ≥ 138 kV. Strong Transmission system ensures national supply Km by Voltage level 500 kV 10% 138 kV 25% 138 kV 220 kV 500 kV 220 kV 65% Km by company REP REP Otras 33% Transm. 44% ATN Transm. ATN 18% Others Otras 5% 6 Source: COES SINAC - 2016
Slide 7: Generation
Generation Effective capacity Enel Peru has a relevant position in the Peruvian energy market Effective capacity SEIN 2016 : 12 776 MW Effective capacity ENEL 2016: 1 977 MW MW 0.8% 0.5% ENEL Total 1977 1% 1.7% Enel Generación Piura 293 22.9% CT Malacas 104 NORTH NORTE CT Reserva Fría 189 MIDDLE CEN
Slide 8: Generation
Generation Generation Plants ENEL Generación Perú 126 customers: Sales (TWh) Malacas # Distributors 11 5.6 # Free customer 115 3.7 Enel Generación is the largest private producer Ventanilla Yanango y in the country (share: 18%) Chimay Santa Rosa 2028 MW (61% thermal; 39% hydro) (1) Huinco, Mat
Slide 9: Enel Distribución Perú
Enel Distribución Perú Concession area in the North of Lima with a high economical development potential ENEL Distribución Perú Enel Dx 1.37 millions of customers: Sales (TWh) # Regulated 1 366 368 4.9 # Eligible free 515 1.1 Lima Metropolitan customer Lima # Free customer 261 1.6 410 kWh/month
Slide 10: Distribution – Quality indicators
ENEL Distribución Perú Distribution – Quality indicators ENEL Distribución (ex Edelnor) delivers best quality service nationwide Quality Service 2016 - Distributors (# events) (hours) 10 Source: Osinergmin
Slide 11: Agenda
Agenda Peru – General View Market description Regulatory framework Hot Topics 11
Slide 12: Peru electricity market
Peru electricity market Customers 2016 – regulated and free market Economical growth will keep free market expansion Free Market Regulated Total Energy Sales 2016 Energy (GWh) Market (GWh) (GWh) Generators 20 002 0 20 002 48.25% 51.75% Distributors 2 359 20 850 23 209 TOTAL 22 361 20 850 43 211 Shar
Slide 13: Market Position Enel Peru 2016 – Distribution
Market Position Enel Peru 2016 Distribution Enel Dx is the largest distributor nationwide, with high potential of growth by customers and per capita consumption 1,600,000 800 1,200,000 600 kWh/clustomer Customers 800,000 400 400,000 200 0 0 Luz del E. Enel Dx Hidrandina E. Centro Seal E. Norte E. Du
Slide 14: Market Position Enel Peru 2016 – Generation
Market Position Enel Peru 2016 Generation Enel is the first private generator in the country Effective Capacity Energy Production 13% 17% 21% 22% 16% 7% 5% ENEL 5% ENEL 18% 5% 18% 22% 14% 17% State ENEL State ENEL ENGIE IC Power ENGIE IC Power ORAZUL Fenix (Colbun) ORAZUL Fenix (Colbun) 14 Others Ot
Slide 15: Agenda
Agenda Peru – General View Market description Regulatory framework Hot Topics 15
Slide 16: Distribution Regulatory Model
Distribución Regulatory Model Distribution is a stable & profitable activity with high growth potential Distribution Regulation (VAD): remuneration based on due investments for a model company, tariff studies approved by the Regulator every 4 years. Since 1994, four tariff processes have been done.
Slide 17: Tariff structure
Tariff structure Residential tariff (jun 2017): US$ 175 /MWh for a 200 kWh/month customer FOSE + CER 3% Others 1% Distribution (VAD) 25% Transmission (Dx) 5% Generation (Gx) 49% Transmission (Tx - SGT) 17% Transmission Others charges 7% 10% 17 Source: Enel Distribución
Slide 18: Regulatory News – Distribution
Regulatory News Distribution A recent regulatory update has been approved with new incentives for investments Issue Regulatory modification - DL 1221 The new methodology for VAD definition is more focus on a ideal Dx Company that approaches better to real VAD figures. QUALITY VAD remuneration incent
Slide 19: Regulatory News – Generation
Regulatory News Generation Recent regulations to improve market performance and to eliminate market imperfections Issue Regulatory modification Decreto de Urgencia Spot market price cap will end by October 2017 N° 049-2008 Large customers can purchase energy to cover up to 10% of their demand Di
Slide 20: Agenda
Agenda Peru – General View Market description Regulatory framework Hot Topics 20
Slide 21: Hot Topics
Hot Topics • Gasoducto Sur Peruano (GSP) to be delayed: The GSP Project was scheduled to begin operations in 2021. The project has been cancelled due to non fulfillment of financial close by the JV. Peruvian government wants to restart a new competition process for the construction. The estimated da
Slide 22: Thank you
ene Thank you