IDB Invest, the private sector institution of the Inter-American Development Bank Group, provides $86.6 million in financing to the multinational company Enel Green Power for the construction and maintenance of three solar plants in Mexico with a total capacity of 1,088 MW.
The largest, Villanueva I, will be the largest solar project in the Americas.
The energy production of these three solar projects, which include Villanueva I and Villanueva III in the State of Coahuila and Don José in the State of Guanajuato, will contribute to the expansion and diversification of the country’s energy matrix, decreasing Mexico’s dependence on the thermal energy, and doubling the solar capacity currently installed. Together, they will displace the equivalent of 954 thousand tons of CO2 per year and the electricity generated will be connected to the national network of the Federal Electricity Commission.
The projects were awarded in the first long-term bid by the National Energy Control Center of Mexico, as part of Mexico’s energy sector reform process. In this way, these three operations will boost the creation of a wholesale electricity market in the country, increase the participation of the private sector and usher in a more competitive source of energy.
IDB Invest’s financing has a tenor of 18 years. Additionally, IDB Group’s participation in the project included a technical cooperation from the Inter-American Development Bank with CENACE. The purpose of this cooperation was to support the creation of the necessary regulatory and technical framework to plan and carry out the expansion of the Mexican electricity system.