Support for Establishing a RE/EE Finance Facility in Brazil

Purpose

To establish a dedicated private equity investment fund for renewable energy and energy efficiency.

Main Activities

  • Prepare the project pipeline;
  • Contract financial advisory services;
  • Legally supervise the preparation of documents and registering with the Brazilian authorities;
  • Fund raising and related activities;
  • Identify potential sources of capital;
  • Promote the involvement of national and local investors and financial institutions;
  • Support the adaptation of orthodox financial mechanisms and business structures;
  • Coordinate the project.

Expected Impact

  • Establishment of a first-of its-kind $70 million equity and guarantee facility to finance small hydropower, with a total leverage of $280 million;
  • Based on average construction costs of small hydropower plants in Brazil, at least 200 MW of new, installed capacity of renewable energy generation could be built within the first three years of the fund.
Programme sector: 

RE & EE (Business&Finance)

Stage of project: 

Completed

Duration: 

2005 - 2006

Budget: 

€ 212,000 including co-funding from Blue Moon Fund

Implementing agency: 

La Guardia Foundation

REEEP grant funded by:

United Kingdom