President Iván Duque sanctioned this Wednesday the new royalties law, which basically changes the model regarding the distribution of resources.

Therefore, in the act of sanction, Duque not only recalled that this was a campaign promise, but also that with the reform to the General Royalties System, direct allocations for municipalities and departments that are committed to the mining and energy sector will be doubled. They will increase from $2 billion to nearly $4 billion over the biennium.

The Presidency also highlighted that during 2021, the departments will be able to streamline investments, directly approving 100% of regional investment resources, estimated at $5.2 trillion.

But parallel to this, one of the great novelties of the new law is that it is aThe project allows for an advance payment of 70 percent of the royalty resources foreseen up to 2030 for PDET works, i.e. those in the most remote and violence-affected municipalities.

According to Emilio Archila, Stabilization Advisor, this means that from now until 2022 there will be an investment of some 4.5 trillion pesos in peace-related projects.