Villa Paz, located in the municipality of Arauquita (Arauca), is one of nine villages that benefit from very fertile land, which allows them to harvest bananas, corn, yucca, cacao, rice and fruit, among other products.

They are also dedicated to cattle raising, making them, in the words of Omaira Fuentes, a resident of Villa Paz, an “agricultural pantry for the region”.

However, they had a big problem and that was the condition of the road that connects them with the main road from Tame to Arauca in order to get their products out. “The road was terrible, at the end it was impassable. In winter time it was lakes and in summer it was sandy,” described Fuentes.

Álvaro Ávila Silva, director of the General Royalties System (SGR), explained that this work was achieved with resources from royalties. “Now it is a road of more than 18 kilometers, which allows farmers to get their products, reducing costs and travel time by more than 50%”.

A similar situation was being experienced in the village of Bruselas in the municipality of Morelia (Caquetá). Its 120 inhabitants were affected by the rain and the condition of the road because they could not sell their products.

“The road was very deteriorated and when it rained, neither the trucks that bring our products nor the one that collects our milk, which is our livelihood, could pass. Now it is looking very good because it has a footprint,” explained Uberney Gutiérrez, president of the Junta de Acción Comunal de Bruselas.

Precisely, the repair of these two roads is part of a package of 4,533 projects financed with resources from royalties from the last biennium (2019-2020), whose total budget for that period amounts to 14.2 trillion pesos.

According to Gesproy data (as of November 30 of this year), provided by the SGR, 82.7% of the resources approved have been concentrated in the following sectors: 37.72% in the transportation sector (1,576 projects); 13% in housing (541 projects); 11.3% in education (413 projects).9.3% in Science, Technology and Innovation (252 projects); 6.4% in environment (226 projects) and 5.7% in mining (216 projects).

And the regions of the country with the most projects financed are the Caribbean with 1,268 projects and the Central East with 884 (see infographic).

In the housing sector, Belén de Umbría, in the department of Risaralda, is an example of the positive impact on the community.

Claudia Salazar is a beneficiary of the delivery of housing with royalty resources and that, for the most part, is delivered to women heads of household. “We no longer have to pay rent and with the money I save I can help my daughter go to college. It’s a big help to know that we’re in the house and that it’s a future for her too.” said Salazar.

Johana Ocampo, who also received a home, said: “For me, royalties are housing, well-being, future and the joy of being in one’s own home.

In addition, there are areas as remote as the Alto San Isidro hamlet, in the municipality of Belén de los Andaquíes, where 108 families received, for the first time, rural electrification, which was also done with royalties. “Here there was no light, it was only by candle. We can now have a refrigerator and a television,” commented Blanca García, a resident of the village.

4 questions to Álvaro Ávila Silva, director of the SGRMore agile and more resources’.

1. What are the main achievements of the SGR during this biennium (2019 – 2020)?

We have a more agile and flexible system. We reduced project approval times from more than 133 days to 46 days. Currently, 6 royalty projects are approved every day in Colombia.

We had the highest approval of resources in history: more than 10 billion pesos in more than 3,000 projects in one year. These are projects with a high social impact, many of which are already a reality today.

In this biennium, we have financed 4,533 projects for $14.2 billion pesos.
We have provided technical assistance to all 32 departments. More than 12,700 kilometers of tertiary roads have been built or rehabilitated, more than 50 new aqueducts and sewage systems have been constructed, and we have reached very remote areas with rural electrification; today more than 22,000 families have electricity.

It has also been key to achieving peace with legality (through the OCAD Paz) which had an investment of 1.5 trillion pesos directed to more than 166 projects benefiting more than 6 million Colombians. Next year it will have 4.5 billion pesos.

2. Which sectors have benefited the most from royalties?

Royalties are key to economic reactivation because they impact all sectors, are an engine of development and a highway to a better future for all. Resources can be invested in any sector, but priority is given to: transportation, housing and basic sanitation, sports and recreation, and education.

3. What was the SGR’s support to face the sanitary emergency caused by Covid?

By speeding up projects that seek to save lives, we were able to approve these resources in one month, through Decree 513 of 2020, which enabled territorial entities to directly approve Covid projects. Today, 420 projects worth $825,922 million pesos have been financed with SGR resources.

These have focused on strengthening laboratories, health services, beds, respirators, X-ray units, as well as vehicles for patient transportation, among others.

What is the goal for the next biennium (2021 – 2022)?

The new Royalties Law, which will begin to operate as of January 1 of next year, is a promise fulfilled by President Iván Duque. This will create a system that brings us multiple challenges; we will achieve a more equitable, decentralized and agile SGR. It will also have a high capacity for technical assistance, strengthened in its new actions, as well as project follow-up. We will consolidate the system as a key tool for economic reactivation and hope that the trend in project approvals and project materialization in favor of the communities will continue.

*A special editorial content project, under the auspices of the National Planning Department (DNP).