Lima 2014 Blog: Panel – Climate Change and the Role of the Private Sector

By
Elizabeth Gonzalez

Panelists discussed the private sector's role and challenges in confronting climate change.

Speakers:

  • Edwin Quintanilla Acosta, Vice Minister, Ministry of Energy and Mines of Peru
  • Eva Arias, President, Sociedad Nacional de Minería, Petróleo y Energía (SNMPE)
  • Germán Jimenez Vega, Country Manager, Peru,  Pluspetrol
  • José Antonio Ríos, Chairman and CEO, CELISTICS
  • Diego de la Torre de la Piedra, President, Perú 2021 (moderator)

"The public sector does not have a monopoly over public good," said Diego de la Torre de la Piedra as he kicked off the Lima conference’s panel on the private sector’s role in addressing climate change. “The architects of a better world are entrepreneurs; politicians create the legal framework.” 

The President of United Nations Global Compact in Peru also noted the false dichotomy perceived in economic growth and environmental initiatives, pointing to Scandinavian countries like Denmark, which has succeeded in both. Plus, Peru has a significant natural resource advantage over Denmark, with extensive access to hydroelectric, wind, and solar power.

Moreover, the Andean country’s economy has expanded 7 to 8 percent per year, according to Edwin Quintanilla Acosta, vice minister of Peru's energy and mining ministry. "Peru has a good problem, a problem of growth," said the vice minister. "But our growing economy has meant that we’ve needed to double our energy supplies."

Panelists agreed working on improving energy efficiency was imperative to fighting climate change while expanding the energy matrix. Eva Arias, president of Sociedad Nacional de Minería, Petróleo y Energía, pointed to practices already in place, such as mines that use completely clean hydroelectric power. However, illegal mining contributing to deforestation is one issue that needs greater attention, said Arias. “Government efforts must combat informal industrial activities while also offering alternatives for the people involved, and an investigation into the conditions that drive them there,” she explained.

For Pluspetrol Peru’s Country Manager Germán Jimenez Vega, one of the greatest issues is underestimating the force of climate change and unrealistic expectations. “The problem is much bigger and the actions taken are not sufficient,” he said. “Only if we investigate issues further can we expand the scale of efforts.”

Incentivizing companies to innovate is key, said CELISTICS CEO José Antonio Ríos. On the other hand, citizens need to be more involved, taking advantage of sophisticated communication technologies and networks, he added.

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