The new OPIC financing will enable Conduit Capital Partners, a private equity investment firm, to finance the construction and operation of the Tacna and Panamericana solar plants in Peru’s rural south.
The plants will produce nearly 100 million kilowatt hours of electricity annually, according to a statement.
All electricity generated by the plants will be sold to Peru’s national grid, supporting the country’s effort to diversify its sources of power generation.
"The Peruvian government, in partnership with the private sector, continues to make great strides in bringing electricity to the majority of its population. This project will enable Peru to take advantage of its great solar potential in order to increase energy access in rural, poorer areas where the need is greatest," said OPIC President and CEO Elizabeth Littlefield.
The project is particularly designed to help Peru take advantage of its significant solar potential: solar energy levels in the southern mountain ranges exceed six kWh/m2/day, which are among the highest worldwide.
The initiative is OPIC’s second major solar project in Peru within a year: last June, OPIC’s Board approved US$123 million in financing for the construction of two 20-megawatt solar power plants — the first large-scale solar power project in the country.