PERU is preparing a comprehensive overhaul of its national railway safety regime following a fatal collision near Cusco on the line to Machu Picchu on December 30. The accident exposed gaps in regulatory l oversight, incident reporting and infrastructure management on the country’s tourism-focused network.
The accident reinforced calls for clearer separation of regulatory and operational responsibilities, as well as stronger enforcement mechanisms, particularly on high-profile tourist corridors where the number of foreign visitors is significant. Tourist operators Inca Rail and PeruRail, which is owned by Belmond, have come under particular scrutiny with safety governance closely linked to service reliability and reputational risk.
In response, Peru’s Ministry of Transport and Communications (MTC) is drafting a new National Rail Regulation aimed at strengthening operational safety standards, improving inspection regimes, and modernising accident investigation protocols. It will also focus on upgrading infrastructure by eliminating manual and analogue train control systems in favour of real-time GPS monitoring and automated braking. The project is expected to require a Sol 1.82bn ($US 540m) investment.
While the broader regulatory framework is developed, MTC has introduced a new national accident reporting format to improve data collection and transparency. Officials say this will help standardise reporting across operators and improve the quality of safety investigations.
British tie-up
A key component of the reform process is technical cooperation with Britain. The British government’s Department for Business and Trade organised a targeted rail mission to Peru and Chile in July 2025, bringing together operators, suppliers and regulators to share best practice on rail safety and system modernisation. Subsequent Britain-Peru technical engagement in late 2025 and early 2026 focused on safety reform and regulatory benchmarking after the Machu Picchu railway incident.
The new National Rail Regulation is expected to consolidate existing fragmented rules into a unified framework covering safety certification, operating licences, infrastructure standards and emergency response protocols, alongside formalised requirements for operator training and incident investigation procedures.
While no implementation timeline has been confirmed, authorities indicate that regulatory modernisation will be prioritised alongside broader rail investment initiatives.