Brazilian lender Banco do Nordeste do Brasil (BNB) has approved a BRL-429-million (~$80.2 million) loan to support the construction of the 213 MW Caldeirao 2 (CG2) solar project in northeast Brazil. The bank’s FNE credit line provided the financing to local developer Grupo Ibitu Energias Renovaveis.

The investment represents 56% of the total investment needed for the solar projects, BNB said.

Ibitu Energia will provide the remaining amount of BRL 334 million (~$62.64 million) for the construction of the solar project.

Located in the Caldeirao Grande do Piaui, in Piaui state, Brazil, the solar portfolio will consist of seven projects. One is already operational, and two more are scheduled for commissioning by the end of the month.

“Having the support of Banco do Nordeste in this process has been fundamental due to all the differentials that a regional development bank provides. The Caldeirão Grande 2 Solar Complex is the third project we signed with BNB, and continuing to have this partnership, which started in 2017, is strategic for expanding our sustainable actions in the region”, highlighted Ricardo Santos, CFO from Ibitu Energia.

According to Mercom’s 9M and Q3 2022 Solar Funding and M&A Report, announced large-scale project funding in the first nine months of 2022 came to $22.8 billion in 128 project funding deals, a 97% increase compared to $11.6 billion in 138 projects in 9M 2021. The European Bank for Reconstruction and Development (EBRD) also provided $5.5 million to the renewable energy subsidiary of Egyptian energy company TAQA Arabia to build and operate a 7-MW solar PV project in El Minya, Egypt. The funding comprises a $4.95 million loan from the EBRD and a $550,000 concessional loan from the Global Environment Facility (GEF).