BNDES and BRIC Bank disburse financing for 650 MW renewable projects

Brazil's National Bank for Economic and Social Development (BNDES) has raised US$156 million from the New Development Bank (NDB) to support investments in renewable energy generation.

The funding concludes the transfer of US$300 million provided for in the agreement signed between the two institutions in April 2017. The other two installments were released in April and June 2018, in the amounts of, respectively, US$67.3 million and US$75.8 million.

This last tranche, the largest release ever made by the so-called BRIC Bank, is intended for two projects, also supported by BNDES funds: the Campo Largo I wind farm and the Pirapora I solar complex.

For Campo Largo I, BNDES and NBD released US$95 million each, totaling US$190 million. With respect to the Pirapora I solar complex, the BNDES released US$102 million while the NDB supported US$61 million, totaling to US$163 million.

The Pirapora project consists of the design, construction, commissioning and operation of four solar photovoltaic plants with a combined capacity of 321 MW, as well as a 10.3-kilometer high voltage transmission line of 138 kW and other interconnection facilities to be located in the municipality of Pirapora, State of Minas Gerais, Brazil. The four plants are composed of 475,800 solar panels, with a total of 120 megawatts of installed power. It is estimated that the plants will reduce CO2 emissions by 21,172 tons per year and create 1,105 direct and indirect jobs.

The Pirapora Complex is controlled by Pirapora Holding SA, whose shareholders are EDF EM do Brasil Participações Ltda (belonging to EDF Energies Nouvelles SA), with 80% of the capital, and Canadian Solar UK Projects Ltd. (belonging to Canadian Solar Inc) , with 20% of the capital. EDF Energies Nouvelles is a subsidiary of Electricité de France SA,

The Campo Largo I wind project comprises the implementation of 11 wind farms with a total installed capacity of 326.7 megawatts and the respective transmission line. Among the parks that form the complex, six were winners of the 20th New Energy Auction and another five were developed for the free market. Each of the parks has 11 wind turbines, with a total of 121 turbines, which estimates the reduction of the emission of 102,300 tons of CO2 per year and the creation of 2,400 direct and indirect jobs.

The Campo Largo I wind farm belongs to the Engie Group. Engie Brasil Energia (a group holding in Brazil).