Uzuña (10 Mm³)—as well as complementary infrastructure for potable water supply and wastewater treatment. In this way, Pillones not only increased storage capacity by 80 Mm³ but also triggered a sequence of investments that consolidated an integrated water management system. 3.1 Securing the Source: The First Loop of the System The starting point of the circle is water security. With Pillones as its foundation and the subsequent expansion of the reservoir system, regional storage capacity exceeded 400 million m³, reducing seasonal variability and ensuring water availability during the dry season. Securing the source activated the first feedback loop: water reliability enabled more stable planning of energy generation, urban expansion, agricultural development, and mining investment with reduced risk. 3.2 Renewable Energy: Regulation that Multiplies Capacity The regulation initiated with the Pillones Dam—and subsequently reinforced by the new reservoirs incorporated into the system—made it possible to optimize the operation of EGASA’s six Charcani hydroelectric power plants, which together have an installed capacity of 170 MW. Greater flow stability and availability increased the average capacity factor from approximately 50% to 60%, raising annual renewable generation by about 20%, from 750 to 900 GWh/year. Without the need to construct new hydroelectric plants, the expansion of the water regulation system maximized the utilization of the existing 170 MW installed capacity, demonstrating how storage infrastructure can function as a multiplier of clean energy and operational efficiency. 3.3 Society and Territory: Expanding Well-Being Water security enabled the provision of potable water to more than 350,000 people through the Miguel de la Cuba Ibarra Treatment Plant and supported the expansion of 5,000 hectares of agricultural land within the Chili River basin. In parallel, the La Enlozada wastewater treatment plant - made possible under the same institutional framework—treats 95.5% of Arequipa’s wastewater, restoring the Chili River and improving the overall ecological quality of the basin. 3.4 Industrial Circularity: Mining Integrated into the Water Cycle With the regulatory foundation established by Pillones, Cerro Verde incorporated approximately 1 m³/s of treated wastewater as process water, decoupling its growth from freshwater extraction. This scheme enabled more than USD 5 billion in subsequent investments, consolidating mining as an integrator within the water cycle rather than a competitor for the resource. In parallel, the treatment and diversion of wastewater—particularly through the La Enlozada plant—contributed to the cleanup of the Chili River, reducing pollutant discharges and 6
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