Argentina's province of Jujuy launches green bond for largest PV complex in the country
The Argentina's province of Jujuy has launched a US$210 million green bond aimed to co-finance the development of the 300 MW Cauchari solar project, which was selected in the first round of Argentina's renewable energy auction, RenovAr 1.
The green bond, which carries an 8.62% interest rate and 5-year maturity, has resulted in a 3.4 times oversubscription, as it received US$744 million orders. According to sources, unspecified investors from the United States, Brazil, Chile, UK, Germany, Switzerland, Spain, Luxembourg, China, Taiwan and Argentina have offered to buy the bonds.
The solar project is also being financially supported by Chinese state-owned bank Export-Import Bank of China.
The Cauchari project's first phase involves the development of the Cauchari 1,2 and 3 solar parks with 100 MW of capacity each, which will be part of a planned 1GW solar complex, expected to be the world's second largest. The facility will be owned 80% by JEMSE and 20% by Power China, Shanghai Electric and Talesun.
Argentinas’s electric market management company Compañía Administradora del Mercado Mayorista Eléctrico (CAMMESA) will purchase the power generated by the Cauchari project, at a price of US$60 per MWh under a 20-year PPA.
As we reported in mid January Argentina's Ministry of Mines and Energy signed the contracts with seven developers, for 315 MW of the 1,142 MW awarded in the first round of its renewable energy auction, RenovAr 1. The projects included five wind farms, one biomass and one biogas plants, which represent 28% of the total awards in the first tender round of the RenovAr renewables programme.
Later on, in August, Argentina launched the RenovAr Ronda 2 national auction, comprising 1,200 MW of renewable energy capacity.
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