The European Investment Bank (EIB) will provide EUR50 million (US$55 million) in financing to Renovables de la Ribera, a 50-50 joint venture between Iberdrola and Caja Rural de Navarra to build a new renewable energy project - the Cavar wind complex - in Navarra, Spain.
The EIB is assisting this project via a Green Loan, the features of which are fully in line with the requirements set out in its Climate Awareness Bonds programme. As a result, it is likely to be allocated to its portfolio of loan operations financed via the issuance of these bonds.
The new project, located between the municipalities of Cadreita and Valtierra, includes four wind farms and will have an installed capacity of 111 MW. Construction will enable the creation of up to 200 jobs and the complex is expected to become operational in the first quarter of 2020.
The new wind complex - which will not release any polluting emissions - will generate enough clean energy to meet the electricity needs of 46 500 people and will avoid the release 84 000 tonnes of CO2 into the atmosphere a year.
Cavar is also the first wind project in Spain to sell its energy to a large corporation. A long-term bilateral contract (a Power Purchase Agreement or PPA) will see it produce 40 MW of clean energy for Nike in Europe.
