IDB Invest finances the Achiras wind farm in Argentina
THE TOTAL AMOUNT OF THE LONG-TERM LOAN WAS DISBURSED AFTER SIGNING THE AGREEMENT, SUPPORTING RENEWABLE ENERGY IN THE COUNTRY
IDB Invest, the private sector institution of the IDB Group, finances the construction, operation and maintenance of the Achiras 48 MW wind farm located in the southeast region of the province of Córdoba, in Argentina. The project includes a transmission line of 14 kilometers and is developed by the company Central Puerto, S.A.
The financing consists of a $20 million IDB Invest loan and the mobilization of $10 million from the Canadian Climate Fund for the Private Sector of the Americas (C2F), managed by IDB Invest. The financial package also includes co-financing of $20.7 million from the International Finance Corporation (IFC). On April 9, 2018, the full disbursement of the loans from IDB Invest and IFC was made for the project.
The tenor of up to 15 years makes the project financially viable as this period is not available in local capital markets.
The objective of the operation is to contribute to the diversification of Argentina's energy matrix and to the sustainability of its power generation capacity. In addition, the Achiras wind farm will displace the equivalent of 2,047 million tons of carbon dioxide in the next 20 years. With the mobilization of capital, the project also increases private participation in the Argentine energy sector.
The intervention of the C2F Fund includes incentives for the project to incorporate an internship program for women. The wind farm will integrate female workforce in disciplines related to science, technology, engineering and mathematics, both at the corporate level and in the execution of the project. Also, through IDB Invest, the parties involved agree to increase their commitment to implement best practices in environmental and social matters.
About IDB Invest
IDB Invest, the private sector institution of the Inter-American Development Bank (IDB) Group, is a multilateral development bank committed to supporting Latin America and the Caribbean businesses. It finances sustainable enterprises and projects to achieve financial results that maximize economic, social and environmental development for the region. With a current portfolio of $11.2 billion under management and 330 clients in 23 countries, IDB Invest works across sectors to provide innovative financial solutions and advisory services that meet the evolving demands of its clients. As of November 2017, IDB Invest is the trade name of the Inter-American Investment Corporation. www.idbinvest.org
About Central Puerto Renovables S.A.
Central Puerto is the largest private shareholder of the companies Vuelta de Obligado S.A., Termoeléctrica José de San Martín S.A. and Thermoelectric Manuel Belgrano S.A. The mission of Central Puerto S.A. is to produce electricity efficiently and efficiently, contributing to supply electricity demand with quality, and managing business in a way that creates value for the company while creating it for society, in a sustainable way and in harmony with the environment. The objective is to be the leading company in the production of electricity in Argentina, by market share, by operational excellence and profitability, while supporting the technological evolution of the industry at a national, regional and global level, and adapting its portfolio of assets to this evolution. http://www.centralpuerto.com/es/