Green Energy Investment in Nicaragua: ElectriFI and BIO-Invest Collaborate on San Isidro Solar Project
In an alliance for sustainable development, ElectriFI and BIO-Invest are spearheading the financing for the construction of the 14MWac San Isidro solar project in Malpaisillo municipality, Leon Department, Nicaragua. Nordic Solar S.A. is at the forefront of this initiative, demonstrating a shared commitment to fostering renewable energy solutions in developing nations.
The San Isidro solar project, with an installed capacity of 14MWac (16.33MWdc) and a storage facility of 1.1 MWh, is strategically positioned in Malpaisillo. The project aims to contribute an annual energy output of 33,200MWh/year (P90) to the grid at the Malpaisillo substation, located a mere 380 meters from the project site. Anchored by a 20-year power purchase agreement with ENATREL, the transmission company, the project’s construction is scheduled to be completed by November 2024.
The San Isidro project is designed to transform lives and communities. The projected annual energy output of 33,200 MWh/year (P90) is poised to improve 45,152 existing and new grid connections. Additionally, the project is anticipated to save 20,949 tons of CO2-equivalent emissions annually, making a substantial contribution to environmental sustainability.
ElectriFI is set to play a pivotal role by committing USD 1.88m towards the total project costs estimated at USD 12.5m, collaborating closely with the sponsor and BIO-Invest. This financial commitment underscores the shared vision of driving positive change through sustainable investments.
ElectriFI’s support for the San Isidro project is anchored in several key factors:
- Financial Additionality: High financial additionality through the use of subordinated capital, catalysing investment from BIO-Invest.
- Renewable Energy Objectives: Contribution to Nicaragua’s objective of achieving 90% renewable energy in the electricity mix, a crucial step in decarbonizing the energy supply.
- Pioneering Project: The San Isidro project stands as one of the first sizable photovoltaic power projects in Nicaragua, marking a milestone in the nation’s renewable energy landscape.
- Competitive Tariff: Competitive tariff rates, as per the Power Purchase Agreement (PPA) with ENATREL.
- Experienced Sponsor: A trustworthy and experienced sponsor in Nordic Solar S.A., which owns and operates other renewable energy assets.
As the San Isidro project takes shape, it not only generates clean energy but also creates opportunities, fostering economic growth and reducing the ecological footprint in Nicaragua.