Financial Alert – May 2020

ALERT – FINANCIAL

On Sunday, May 3, 2020, Supreme Decree 080-2020-PCM was issued adopting the “Resumption of Activities” within the framework of the State of Emergency in the wake of the Covid-19 pandemic, which consists of four (4) phases for its implementation. The Supreme Decree addresses Phase 1.

In this regard, the following must be considered:

• Phase 1 begins in May 2020. The competent Sectors are authorized to arrange by Ministerial Resolution the date of the beginning of Phase 1 activities, which are detailed in the Annex.
• For a company or entity of the sectors authorized in Phase 1 to restart activities, the following must occur:

(i) The competent sectors of each activity must have adopted, by a Ministerial Resolution, the Sectoral Health Protocols, within a maximum period of five (05) calendar days from the entry into force of the Supreme Decree;

(ii) The entities, companies or natural or legal persons that are allowed to do so, must prepare their “Plan for the monitoring, prevention and control of COVID-19 at work”, which must comply with the “Guidelines for the monitoring of the Health of workers at risk of exposure to COVID-19” [1] and the Sectoral Protocols;

(iii) The entity or company must register its Plan in the Integrated System for COVID-19 (SICOVID-19) of the Ministry of Health.

• Each sector must also adopt by Ministerial Resolution the “Criteria for territorial targeting and the obligation to report incidents”, including the detection of cases of COVID-19.
• The Health Authorities, the Local Governments and the National Superintendence of Labor Inspection – SUNAFIL, within the scope of their competencies, exercise the control and supervision of compliance with the provisions contained in the regulation. In the case of public services and public infrastructure, the “Plan for the monitoring, prevention and control of COVID-19 at work” of the provider companies, is also monitored and supervised by the public service regulatory agencies.
• The companies, entities, natural or legal persons carrying out activities related to the provision of essential goods and services and others that were already allowed during the State of Emergency, must comply with the provisions of the regulation as appropriate, without prejudice to their continued activities.

[1] Adopted by Ministerial Resolution No. 239-2020-MINSA (and subsequent adjustments)

ANNEX

Activities under Phase 1 of the “Resumption of Activities”             

Mining and industry

1. Exploitation, profit, storage, transport and closing of mines of the great mining stratum and, projects in construction of national interest and hydrocarbons.
2. Inputs for agricultural activity.
3. Industrial fisheries (indirect human consumption).
4. Temporary production: expired and due purchase orders (exports).
5. Glass, forestry (wood and non-wood), paper and cardboard, plastics and ice industries, textile and clothing expansion, machinery and equipment.
6. Metallurgical industry
7. Basic chemicals and fertilizers and complementary services to agriculture (for essential activities).

Construction

8. Projects of the National Infrastructure Plan for Competitiveness (PNIC)
9. Projects of the Authority for Reconstruction with Changes (ARCC)
10. 56 projects of the Transport and Communications Sector.
11. 36 remediation works.
12. Agricultural infrastructure activities (irrigation, maintenance, drainage rehabilitation, etc.).
13. Prioritized real estate projects (excavation phase, structures and finishes, and rural housing).
14. Agricultural products (hire/sale of machinery)
15. Investments in Optimization, Marginal Expansion, Rehabilitation and Replacement (IOARR), water and sewerage access in police stations, hospitals and schools.
16. Industries and services related to construction.

Services and tourism

17. Restaurants and related authorized for home delivery (with own logistics of the establishment and safety protocol and pick up on site)
18. Categorized hotels and tourist transport for essential activities.
19. Services related to telecommunications
20. Complementary services to agriculture.
21. Services provided to companies (IT support and professional services, knowledge service exports)
22. Notarial services
23. Recycling services.
24. Maintenance services of equipment related to buildings and homes (pumps, thermal baths, elevators, plumbing, electrician, carpentry, etc.)
25. Storage services of: Fertilizers and agricultural raw materials, plastic articles, glass, paper, cardboard, wood sawing, ice for general activities.

Trade

26. Marketing of agricultural products
27. E-commerce of household and related goods.