Global renewable energy power producer and developer, Akuo, and Atlantica Sustainable Infrastructure have announced the successful closure of financing and the start of construction for a portfolio of nine photovoltaic power plants in Chile. The portfolio, with a total capacity of 80 MWp, will be situated in the south of Santiago de Chile, in the Regions of Maule, Ñuble, Araucanía, and Biobío. Upon completion, the power plants will provide electricity to nearly 60,000 households and help the country to diversify its electricity mix, which currently heavily depends on fossil fuels.
The portfolio will avoid the emission of over 60,000 tons of CO2 per year and will provide a sustainable and local source of clean electricity. The solar farms will support Chile’s goal of converting 70% of its total energy consumption to renewables by 2030, with strong citizen support. The portfolio benefits from the country’s Pequeños Medios de Generación Distribuida (PMGD) regime, with DNB providing the debt financing.
The Engineering, Procurement, and Construction activities for the realization of the nine solar plants will be performed by Italian engineering player MAIRE Group, that also acted as co-developer of the initiatives, through its Integrated E&C Solutions business unit. Akuo and Atlantica Sustainable Infrastructure are the equity sponsors of the projects.
According to Martin Bocage, Akuo Country Manager for Chile, Argentina, and Uruguay, the company is committed to Chile’s energy transition and is determined to inject electricity for the benefit of the citizens. Antonio Merino, VP South America at Atlantica, mentions that this investment increases Atlantica’s presence in Chile, with the portfolio being fully aligned with the company’s long-term strategy and GHG emissions reduction targets.
Esteban Uauy, Senior VP for project finance in Latam, states that DNB is very pleased with this financing, which continues to underpin the importance of distributed generation in Chile while supporting the growth and development of two clients deeply committed to renewables.