Peru's National Development Institute, Inade, is transferring authority to develop the Majes-Siguas II irrigation and hydroelectric project to regional authorities in Arequipa department.

The regional government will call for tenders for the construction and operation concession after the transfer.

Originally Inade authorities were planning to hold an international competition for the 40-year concession. The project includes developing a water diversion tunnel and the construction of the Angostura dam, which would irrigate some 55,000ha. Majes-Siguas, which brings water from the Colca river basin, includes the Condoroma reservoir.