Peru

Introduction to Peru 

Peru is a coastal nation located in western South America, with a population of 33.7 million1 , of which 22% is rural.2 Encompassing a diverse range of landscapes, Peru’s climate zones vary by geography with hot desert climate along the Pacific coastline, subarctic climate in the Andes Mountains, and tropical rainforest climate in the Amazon rainforest.3 The country has been witnessing increasingly severe extreme weather events, particularly floods, landslides, extreme temperature, and epidemics. With vast mineral and fossil fuel reserves concentrated in the mountains, and mineral exports making up 60% of the country’s total export revenue, Peru is ranked second in the world for copper, silver and zinc production, and top in Latin America for gold production.4 Mining, illegal logging, oil extraction, and unsustainable agricultural practices are driving deforestation in the Peruvian Amazon, which covers over half of the country’s land area and is a critical carbon sink.5 This is a continuation of the systemic exploitation of Peru’s natural resources and its people that shaped the Spanish conquest in the region for over three centuries.6 Legacy of the colonization along with continued imperialist and neoliberal interventions have maintained Peru’s dependence on export-oriented industries, subjugated its indigenous communities, and intensified its vulnerability to the climate crisis. 

Mapping Major Climate Events and Climate-Induced Displacement

Peru is highly vulnerable to climate disasters, ranking 46 out of 180 countries in the Global Climate Risk Index 2021.7 The major climate hazards experienced by the South American nation are floods, landslides, and extreme temperature, which account for over 65% of the average annual hazard occurrence for 1980 to 2020.8 Between 1980 and 2000, the country experienced 1 year of extreme temperature and 9 separate years of intense flooding. But the numbers increased to a staggering 10 and 14, respectively, between 2001 and 2020,  In 2016, during the worst drought in a decade9 , forest fires burned through five protected natural areas in Peru and displaced over 2,000 people.10 And in 2017, extreme floods affected over 2.1 million people. Between 2008 and 2021, 251 disaster events were reported in Peru, amongst which floods displaced over 600,000 people.11 In March of 2023, Cyclone Yaku made landfall in Peru’s northern coastal region causing widespread damage and leading to a state of emergency in 400 districts and causing over $300 million in damages to infrastructure.12 Soon after, heavy rains and flooding displaced over 136,000 people in the same region.13  

Mapping the Costs of the Climate Crisis

The GDP of Peru is US$223 billion14 , and more than 25% of its population live below the national poverty line. Climate impacts threaten to disproportionately harm unserved and underserved populations resulting in significant economic and welfare losses. Every year, natural disasters on average already result in 2% GDP loss and welfare loss equivalent to 5.2% of the GDP.15 Further, it is estimated that the climate crisis could increase the loss in GDP to 6% by 2030 and to 20% by 2050.16 Peru is also uniquely confronted with significant risks due to climate change mitigation efforts, such as the increased utilization of clean energy technologies that rely on critical minerals. The demand for copper, which represents a third of Peru's export earnings17 , is projected to triple by the year 2040.18 The destructive operations of mining companies in Peru, often legalized by government regulations, continue to have devastating effects on the livelihood and habitats of Peru’s indigenous and peasant populations.19

Mapping Resilience and Mitigation Pathways

Peru, constituting 0.43 percent of the world's population, is responsible for 0.11 percent of the global cumulative carbon dioxide emission. Peru pledged to take action to mitigate and adapt to the effects of climate change by signing the Paris Agreement, with the aim of reducing 30% of its greenhouse gas emissions by 2030 under the Business As Usual (BAU) scenario or 40% with substantial international support. Further, Peru has a target of reaching carbon neutrality by 2050. In Peru’s NDC, the focus areas prioritized for developing adaptive capacity and resilience are water, fishing and aquaculture, forest, agriculture, health, tourism and transport. Peru is actively emphasizing gender, intergenerational, and cultural inclusiveness in its reporting and monitoring of adaptation measures recognizing the different experiences of diverse population groups. In 2018, the country developed the National Law on Climate Change regulations establishing a framework for incorporating mitigation and adaptation measures into the planning and budgeting processes at the national, regional, and local levels.20 Peru’s Ministry of Agriculture and Ministry ran reforestation campaigns in order to put a check on the destruction of forests as well as provide sources of livelihood for local communities.21

Necessary Changes

Peru is demonstrating dedication to achieving its emissions and carbon neutrality goals with notable efforts in climate mitigation and adaptation. In order to address the adverse impacts of climate change, Peru’s government is planning on spending US$1.06 billion on climate and weather measures.12 Now, it is necessary for the country and international community to support Peru in a just transition that is inclusive of its indigenous, peasant, and low-income communities. The indigenous population of Peru is disproportionately affected by climate impacts, and their rights to their lands and livelihoods need to be ensured. One of the major exports of the country, fossil fuel constitutes over 65% of Peru’s energy source, and it is critical for the country to scale down its reliance on coal, natural gas, and oil, and boost its investment in clean and renewable energy sources. At the same time, it is imperative for the international community to acknowledge the social and environmental consequences associated with mineral extraction for global decarbonization initiatives. Efforts should be made to prevent these costs from being disproportionately shouldered by the most vulnerable countries. Finally, Peru’s government needs to shift away from its extractivist model of development, and instead focus on creating a sustainable, regenerative and inclusive economy.  

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