Ten financial entities, mostly linked to global or regional public institutions -some of them specifically oriented to supporting sustainable projects in developing countries- signed financing agreements for Acciona’s Eurus wind power park in Mexico. The credit deals signed by the different entities total 375 million dollars (314 million euros at the current exchange rate), making it the biggest credit deal ever signed in Latin America for a renewable energy facility.
The Eurus wind farm in the state of Oaxaca, with 250.5 MW already in service, has the highest installed capacity in Latin America and is the biggest built by Acciona in the world.
Its production will cover up to 25% of the electricity supply needs of the cement plants of Cemex in Mexico. The wind farm’s renewable production will avoid the emission of around 600,000 tonnes of CO2 to the atmosphere a year.
The financing agreements for the windpark were signed by global and regional entities such as the International Finance Corporation (IFC), which reports to the World Bank, Banco Interamericano de Desarrollo (IDB) and Corporación Financiera Andina (CAF), the main source of multilateral financing in the region.
The group of signatories also includes the Mexican companies Nacional Financiera (NAFIN) and Banco Interamericano de Comercio Exterior (BANCOMEXT); the Instituto de Crédito Oficial (ICO) of Spain, the French company Promotion et Participation pour la Coopération Économique (PROPARCO), and Deutsche Investitions und Entwicklungs Gesellschaft (DEG) from Germany.
Two private institutions complete the list of financing entities: BBVA and Banco Spirito Santo (BES).
The total sum financed, the country in which the funds are materialized and the type of entities participating in the operation make this a singular agreement, in line with the new financing scenarios for this type of installation in developing countries.
All the signatories have expressed their satisfaction at reaching the agreement, which is part of the objective of the Mexican Government to diversify its energy mix and reduce the country’s emissions of greenhouse gases.
This strategy – which includes the approval of a Special Program for the Exploitation of Renewable Energy Sources and a Special Program on Climate Change in November 2008 – expects to make a contribution to the objectives proposed by President Calderón of reducing CO2 emissions by 50% in 2050 against the level recorded in 2000.
Three additional wind energy parks in the same area
Acciona Energy was recently granted the construction and operation of another three wind farms in the state of Oaxaca (Mexico) with a total capacity of 306 MW and an investment of around 450 million euros (approx. 562 million dollars at the current exchange rate).
The construction of the wind farms, located near the Eurus facility, will begin in the second semester of 2010 and they will all be in commercial operation by December 2011. These facilities will consist of 1.5 MW wind turbines of ACCIONA Windpower technology.
This means that Acciona Energy will consolidate its wind energy leadership position in Mexico with installations located in an area with excellent wind levels. This guarantees the profitability of the investment in a country that is considered a priority in the Strategic Plan recently presented by the company.