1. Peru, Bolivia, Colombia and Ecuador Opportunities for Finnish companies in the water sector in the Andean Region

2. Energy cooperation between Finland and Andean region Finnish Ministry of Foreign Affairs will launch a renewable energy and energy efficiency program for the Andean countries (Peru, Bolivia, Colombia and Ecuador) The program offers good opportunities for Finnish know-how and technology providers Budget of the program is 6,2 million EUR for 3 years The Andean energy project will be launched on 7 th of March, 2011

3. Basic facts - Peru GDP: 129 Billion USD GDP growth: 0,9 % (2009) and 3,4 % (2010) Population: 30 Million GDP (PPP) per capita: 8,500 USD Ease of doing business: 36 (2010) (2 nd in Latin America after Mexico) Inflation: 2,9 % FDI: 5 Billion USD (2009) Exports: 34 Billion USD (2008) Imports: 22 Billion USD (2008) Main export goods: minerals, petroleum, fish, agricultural products, textile, wood, furniture Main export countries: USA, China, Switzerland, Canada, Japan, Germany Main import countries: USA, China, Brazil Finnish exports to Peru: 93 Million USD (2008) Source: Finnish Customs, CEPAL, World Bank, CIA World Factbook

4. Water has been a priority for the Peruvian government since 2006 All water treatment companies are public, but autonomous and under civil law Peru has 50 companies that provide water and sewage services These serve approx. 17.1 Million Peruvians (urban: 81%, total: 60%) The companies provide drinking water to 14,7% of the people and sanitation system to 13,2 Million inhabitants. In the country there 143 wastewater treatment plants Wastewater treatment level has risen a lot in the past years. Some 10 years ago the level was 10% on national level, and today it is 32%. Upgrade projects There are several upgrading projects being made in the water companies Source: Business News Americas, Perus Ministry of Sanitation Water sector sector in Peru

5. 300,000 new water connections have been made in the past three years Investment of 3.2 Billion USD is required to carry out the country's major water programmes, according to Peru's national water authority (ANA) Meanwhile, according to ANA officials Peru's total required investment for water projects could be more than double the 3.2 Billion USD figure. The investments are expected to come primarily from the private sector. Funding The base for funding is good, the state guarantees the water tariffs and also external funding is available The waterworks initiatives include irrigation, hydro-power generation, seawater desalination services, and potable water and sewage services. Millennium Development Goals by 2015 Water coverage in national level should rise to 82% (63% in 1990) Sanitation to 77% (54% in 1990). Coverage of wastewater collected by the sanitation system must reach 100% in urban areas. Water for All People- program The goal is to provide clean water access to 100% of the Peruvians Source: ANA, Business News Americas Peruvian water sector

6. Investments in the water sector in Peru Source: Sedapal

7. Investments in the water sector in Peru

8. Source: Sedapal

9. Basic facts - Bolivia GDP: 17,6 Billion USD (2009) GDP growth: 2,8 % (2009) and 3,4 % % (2010) Population: 9,8 Million GDP (PPP) per capita: 4,700 USD (2009) Ease of doing business: 149 Inflation: 3,3% FDI: 500 Million USD (2008) Exports: 6,448 Billion USD (2008) Imports: 4,641 Billion USD (2008) Main export goods: natural gas, soybeans and soy products, crude petroleum, zinc ore, tin Main export countries: Brazil, US, Japan, Colombia, South Korea, Peru Main import countries: Brazil, Argentina, US, Chile, Peru (2009) Finnish exports to Bolivia: Source: Finnish Customs, CEPAL, World Bank, CIA World Factbook

10. Bolivian water sector National Plan for Basic Sanitation 2009-2015 Goals for coverage and additional population served: 90% coverage the potable water (2,9 Million more inhabitants) 80% coverage in sanitation (4,4 Million more inhabitants) 80% coverage in Wastewater Treatment Plants (2,6 Million more inhabitants) Wastewater treatment 30% of wastewater collected in sewage systems, receive any treatment before disposal. In 2009 Bolivia had a total population of 9,827.522 (urban: 65%, rural: 35%) Source: National Plan of Bolivia for Basic Sanitation 2009-2015

11. Coverage and the number of people who have water and sanitation services (2007): Bolivian water sector Metropolitan: Cities of La Paz, El Alto, Santa Cruz and Cochabamba. Large: Cities with more than 100.000 inhabitants. Medium: Cities with 10.000 to 100.000 inhabitants. Small: Urbanic centers with 2.000 to 10.000 inhabitants Source: National Plan of Bolivia for Basic Sanitation 2009-2015

12. Total investment required in the sector to fullfill the goals of National Plan for Basic Sanitation by 2015 (Million USD) Investments in the Bolivian water sector Source: National Plan of Bolivia for Basic Sanitation 2009-2015

13. Basic facts - Colombia GDP: 232.4 Billion USD (2009) GDP growth: 0.8% (2009) Population: 45,6 Million GDP (PPP) per capita: 9,300 USD (2009) Ease of doing business: 39 Inflation: 4.2% (2009) FDI: 10 Billion USD (2008) Exports: 38.54 Billion USD (2008) Imports: 37.56 Billion USD (2008) Main export goods: petroleum, coffee, coal, nickel, emeralds, apparel, bananas, cut flowers Main export countries: US, Venezuela, Netherlands (2009) Main import countries: US, China, Mexico, Brazil, France, Germany (2009) Finnish exports to Colombia: Source: Finnish Customs, CEPAL, World Bank, CIA World Factbook

14. Access to safe water and sanitation services has increased significantly over the last decade Challenges Insufficient coverage of services, especially in rural areas Inadequate quality of water and sanitation services The water sector is expected to grow substantially in the next years. There are significant differences between urban and rural areas. Water supply coverage (2005) Total 83.2% Urban 94.3% Rural 47.1% sewage coverage (2005) Total 73.1% Urban 89.7%. Rural 17.8% Source: UNICEF, water authorities in Colombia Colombian water sector

15. Investments in water sector in Colombia Source: Business news Americas, Colombian water authorities

16. Investments in water sector in Colombia Source: Business news Americas, Colombian water authorities.

17. Basic facts - Ecuador GDP: 110,4 billion USD (2009) GDP growth: 7.2% (2008) Population: 14,6 Million GDP per capita: 7,600 USD (2009) Ease of doing business: 130 Inflation: 8.4% (2008) FDI: 1 Billion USD (2008) Exports: 19.15 Billion USD (2008) Imports: 17.78 Billion USD (2008) Main export goods: petroleum, bananas, cut flowers, shrimp, cacao, coffee, hemp, wood, fish Main export countries: US, Peru, Chile, Panama, Colombia, Russia (2009) Main import countries:US, Venezuela, Colombia, China, Brazil (2009) Finnish exports to Bolivia: Source: Finnish Customs, CEPAL, World Bank, CIA World Factbook

18. Ecuadorian water sector Drinking water 95% of Ecuador's population had access to improved drinking water (2006). Urban population (63% of the inhabitants): 98% Rural population: 91%. Sanitation services 84% of the total population has an access to improved sanitation Urban population: 91% Rural population: 72%

19. Investments in the water sector Ecuador Source: BMI View...

20. Opportunities for Finnish companies The Andean market offers the opportunities for Finnish companies in Piping Engineering & consulting Chemicals Pumps Biogas & energy generation from water sludge Small waste water treatment plants for rural areas Aereation Steel structures Sludge treatment and mechanization

21. Finpro at your service Finpro is ready to partner up with you and make your landing soft and to discover all the business opportunities in the market: Market access consulting, market studies and local partnering In depth site selection for production Subcontracting and local supplier search (local sourcing) Establishment services for sales and service offices/ subsidiaries Regional strategy development for Latin America Analysis of import / export programs Assistance in negotiations Reputation analysis of potential partners Tailor made programs / assignments Finpro México Oficina Comercial de Finlandia Monte Pelvoux 111, 4 Piso Col. Lomas de Chapultepec 11000 México D.F. Mexico Phone +52 55 5520 3397 Fax +52 55 5202 6567 Heidi Virta Consultant heidi.virta@finpro.fi Mobile: +52 1 55 5072 4432