Brazilian energy firm CEEE-GT will receive a $$88.7m loan from the Inter-American Development Bank (IDB) aimed to help it extend, modernise and upgrade its generation and transmission capacities to meet the growing demand for power and improve service reliability.
The loan is sovereign guaranteed and will help finance CEEE-GT’s Pro-Energia programme, which includes:
- Expansion of the output from the Ijuizinho II small hydroelectric plant from 1 MW to 15 MW;
- Rehabilitation and modernisation of the Itauba and Passo Real hydro plants; and
- Expansion and upgrading of its transmission network to improve the load and voltage levels.
The IDB loan is for a 25 years, with a four-year grace period. The IDB financing is complemented by a $59m loan from the French Development Agency.
This funding marks an important step forward in the development of Brazil’s electricity infrastructure, which is needed to meet the projected increase in demand, not least from hosting of the World Cup in two year’s time.
For more Business news.
For more Latin America news.