Brazil wind finance compromise is too little, says body

Brazilian development bank BNDES is offering a reprieve for imported wind equipment currently ineligible for finance because of a row over local-content rules – but at a price that project developers may find hard to swallow.

It has emerged that in the case of projects contracted through to 2011, BNDES is prepared to offer finance to developers using equipment from Vestas, Suzlon, Acciona and other major overseas producers currently deemed ineligible by the bank on suspicion of not meeting its 60% minimum national-content level.

But the finance would be at a higher interest rate that could make some projects unviable given the tight margins developers are working on.

The portion of the equipment made in Brazil would attract finance at a preferable long-term rate called TJLP, which currently stands…

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