TRANSPeru, sustainable transport NAMA (Peru)


General Information of the NAMA

GENERAL INFORMATION
Country Peru
National implementing entity (NAMA owner) Ministry of Transport and Communications
Development stage Full concept under development
International partners Gesellschaft für Internationale Zusammenarbeit (GIZ), CAF, Kreditbank für Wiederaufbau (KfW), Inter-American Development Bank (IADB), Finance Corporation of Development (COFIDE)
Total costs  USD 6.2 billion
Duration 2015-2025
SCOPE OF THE NAMA
Type of NAMA Supported (with unilateral elements)
Type of action Strategy or Plan
Scope of action National, Sub-national
Type of approach Shift-Improve
Transport mode Bus, Rail, Car, Motorcycle, Other motorised transport, Walking, Cycling, Road Cargo

The average age of the Peruvian vehicle fleet is 14 years. As a result of sharply increasing motorization, average traffic speeds have slowed down to 14 km/h in Lima, resulting in societal costs of USD 7 billion per year. Severe air pollution in Lima causes 6,000 deaths annually. Transport-related emissions rose by almost 65% in the last 10 years.

The overall objective of the TRANSPerú NAMA is to reverse the current trend towards car-dominated urban conglomerates with high congestion levels, severe air pollution and high economic losses and transform the transport sector towards a sustainable, low-carbon development path.

In order to reach these goals, the NAMA focusses on the implementation of key structural changes:

    • Improved political framework conditions (e.g. fuel economy standard, strengthening of vehicle homologation),
    • Enforcement of public infrastructure (e.g. metro lines, optimised bus fleet, cycle lanes), and
    • A strong institutional set-up (e.g. Single Transport Authority for Lima/Callao).

 

TRANSPerú´s core element is an innovative policy matrix, reflecting a sector transformation agenda which addresses the major challenges in the sector in a structured manner. The policy matrix is developed and implemented commonly by an inter-institutional Steering Committee. It foresees the following elements:

  1. Integrated public mass transport system in Lima/Callao: Construction of parts of Metro Line 2 (13.5 km) and 4 (8km), extension of the BRT line by 10.5 km, 12 intermodal integration spots, timetable and ticketing integration for BRT and Metro systems,
  2. Non-motorized transport in Lima: Drafting of a Master Plan for Non-Motorized Transport, revision and dissemination (with districts) of the outdated technical guidelines for NMT-infrastructure, mass awareness campaigns
  3. Institutional development to improve urban transport management in Lima/ Callao: coordination agreement between Lima and Callao, process towards the establishment of a Single Transport Authority for Lima and Callao
  4. Vehicle homologation and fuel efficiency for light vehicles: implementation of a national vehicle homologation system including technical vehicle inspections, review of emission standards, and introduction of a labelling scheme for energy efficiency and CO2 emissions, implementation of 30 NGV stations in 5 secondary cities.
  5. Modernization of the public transport vehicle fleet: implementation of a scrapping scheme for Lima and Callao for routes competing with organized mass transport lines (replacement of 6000 old units by 1800 modern high capacity buses), development of scrapping schemes in secondary cities.
  6. Support to local governments to strengthen sustainable urban transport: Implementation of a Sustainable Urban Transport Policy and Programme that support secondary cities in the planning, financing and implementation of sustainable urban transport measures.

Mitigation potential

MITIGATION IMPACT
Expected mitigation impact 5.6-9.9 MtCO2eq accumulated over the period 2015-2025

Together, the implementation of the measures outlined in the NAMA will yield a CO2-Mitigation effect in the range of 5.6 – 9.9 MtCO2 accumulated over the period 2015 – 2025. For the implementation phase of the matrix (2016 -2019), the mitigation effect accounts for 1.1 – 2.03 MtCO2, given the fact that most of the measures will contribute to the long-term effect, rather than have an immediate direct emission reduction effect. According to the Peruvian pledges under the Copenhagen Agreement, the country targets an emission reduction of about 7 MtCO2/a. The NAMA will contribute considerably to reach this target.

It is important to note, that measure 6: the National Programme for Sustainable Urban Transport is not considered in the estimation, as it was not defined with the necessary detail at the time of the estimation. As this measure is meant to transfer funding and capacities to medium-sized cities, it can be expected that this measure will have a significant additional mitigation impact.

Financing

The NAMA has a complex financial setting with many actors involved. In general, the NAMA process helps to coordinate the actions by the many stakeholders.

COSTS
Total costs  USD 6.2 billion
Funder  NAMA Facility, CAF, IADB, KfW
Costs for preparation
Costs for implementation

The NAMA has a complex financial setting with many actors involved. In general, the NAMA process helps to coordinate the actions by the many stakeholders.

The Government of Peru has allocated significant amounts to the policy matrix, mainly to the integrated mass transportation system in Lima (roughly USD 7 billion). Additional amounts are planned for other measures. Several development banks (CAF, IADB, KfW) and technical cooperation agencies have pronounced their strong interest and have committed certain amounts (USD 700 million for Metro line 2) or are currently in the approval process (e.g. USD 250.000 for the National Programme).

With GIZ and KfW as delivery organisations the NAMA was pre-approved for support by the NAMA Facility (a NAMA fund commonly established by the German and British Governments) for the initial implementation phase (EUR 9 million plus loans >EUR 250 million) and submitted a proposal for additional support for the set-up of the National Programme (EUR 11 million plus loans > EUR 60 million) which has been approved for the financial component and earmarked for the technical component. A study on costs and financing was carried out, which found that further international support in the range of USD 102 million is needed to ensure full implementation of the NAMA. Additional support will be needed for subsequent phases of the NAMA (beyond 2019). Implementation of the measures will open up investment opportunities for private actors in the range of USD 10 billion, such as tenders for metro lines, concessions for the operation of restructured bus routes (1800 modern buses will be necessary in Lima), or tenders for transport infrastructure (cycling infrastructure, parking facilities, etc.).

MRV

Concept: 

The MRV concept is currently being developed. It is planned to consist of a bottom-up inventory for Lima/Callao Metropolitan area, based on detailed trip data for the urban population. An open question is yet how baseline and reductions can be monitored in an effective way.

Co-benefits

Ecological:

  • Reduced air pollution by stringent vehicle and fuel standards
  • Rational use of scarce resources, e.g. fossil fuels by stringent vehicle and fuel standards

Societal:

  • High decrease in travel times (18 million hours) and associated economic benefits by extension and formalisation of public transport system
  • Reduced health costs associated with reduced stress levels from traffic noise/air pollution
  • Reduced casualties and injuries by reduction in traffic and modernised fleet

Contact: 

Jill Velezmoro

jill.velezmoro@giz.de

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