September 20 (Solar) – The Inter-American Development Bank will be providing a total of USD 25 million (EUR 21.4m) in financing for small and medium businesses looking to implement solar distributed generation (DG) and energy efficiency projects in Brazil.
The IDB is making this move in a partnership with the Development Bank of Espirito Santo state (Bandes), the Regional Development Bank of the Extreme South (BRDE), Goias Fomento, AXA Seguros and the Brazilian Association of Technical Standards (ABNT).
Each institution will act in its specific field to attract private sector companies to DG and energy efficiency initiatives, IDB noted.
The new financial product links concessional credit lines to a performance risk insurance cover. IDB pointed out that a set of mechanisms was developed to minimise the risk of energy savings not materialising.
(USD 1 = EUR 0.86)