Over the last 20 years, mining contributed a total of US$20 billion in canon and royalties, which were transferred to regional and local governments, Videnza Consultores (consulting group) Director Milton von Hesse reported.
During the "Territorial Development" discussion session at the 15th International Mining Meeting - Symposium, von Hesse said these resources have unfortunately not been invested efficiently in closing infrastructure and social gaps.
Regarding the sectors to which resources from mining canon and royalties have been allocated in 2023, he indicated that these were invested in transportation, mostly road works worth S/1.704 billion (about US$456 million), as well as in planning and management (S/725 million = US$194 million) that correspond to various projects which are executed without coherence regarding the population's needs.
"Actually, these are projects that have very little impact on people's quality of life," he expressed.
Von Hesse indicated that there is currently a group of five regions benefiting the most from contributions by the mining sector: Cajamarca, Ancash, Arequipa, Moquegua, and Tacna.
He added that a shift in approach is necessary to close gaps, supported by a territorial perspective.
"This implies that, by understanding the territory and the needs of its population, and based on a strategic plan featuring defined objectives, gaps that must be closed and prioritized are identified," he noted.
The discussion also included the participation of Puno Governor Richard Hancco, who said that one of the challenges facing the mining sector is to prove that its investments benefit the population.
A challenge for authorities lies in improving the preparation of technical files of those projects to close gaps.
"This difficulty leads to unfinished or improperly executed projects. Many mayors go for easy and uncomplicated works, but they do not focus on health and infrastructure issues that will close gaps," he stated.
In turn, Arequipa Chamber of Commerce and Industry Chairman Julio Caceres stated that "the figures (of mining contribution) are clear."
However, in Arequipa, 62% of the population does not have access to potable water, and 18.6% lacks access to sewage systems. Another 17.2% live in inadequate housing conditions.
In Puno, 12% suffer from chronic malnutrition.
About the Symposium
The 15th International Mining Meeting – Symposium is an event focused on the analysis of challenges facing current mining, as well as this sector's contribution to the economic growth of Peru and the region.
During the three days, the gathering will bring together Peruvian and foreign leaders from the mining sector to address topics focused on the evolution of mining in development, responsible mineral production, investment opportunities in Peru, the importance of copper, mining-energy transition, among others.