Brazil wind set for 20% BNDES boost

BNDES is the key channel for Brazilian state finance to wind

BNDES is the key channel for Brazilian state finance to wind

Brazil's National Development Bank (BNDES) is likely to increase lending to the wind power sector by 20% in 2014 to R$4.32bn ($1.8bn) from the R$3.6bn it lent in 2013, the bank's alternative energy department said.

The increase represents a recovery in lending by BNDES. In 2012 the bank had disbursed R$3.8bn to the sector.

BNDES is the key body channelling Brazilian government support to the country’s fast-growing wind sector, and is also responsible for enforcing the stringent local-content requirements that turbines must meet to be eligible for the best finance deals.

The projected rise in lending coincides with a record 4.7GW-worth of contracts awarded for new wind power projects at auctions held in 2013.

In 2012, the country contracted only 294MW in new projects. In 2011 BNDES lent R$2.3bn BRL to the Log in to read complete article.

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