San Isidro Solar

Period

2023

Country

Nicaragua

Sector

Renewable energy

Financial facility

ElectriFI

Project overview

ElectriFI and BIO-Invest are financing the construction of the greenfield 14MWac San Isidro solar project located in Malpaisillo municipality, Leon Department in Nicaragua developed by Nordic Solar S.A. The project has an installed capacity of 14MWac (16.33MWdc) and a storage facility of 1.1 MWh. It is set to deliver 33,200Mwh/year (P90) to the grid at the Malpaisillo substation located 380 meters from the project site. The project is structured against a 20-year power purchase agreement with ENATREL, the transmission company. Construction period is approximately 9 months from financial close and is scheduled for November 2024.

Funding objective

ElectriFI to participate for USD 1.88m in total project costs estimated at USD 12.5m alongside the sponsor and BIO-Invest.

Investment rationale

ElectriFI is supportive of the business model of Nordic Solar for the following reasons:

High financial additionality with the use of subordinated capital to catalyse an investment from BIO-Invest;
Contribution to the country’s objective of 90% of renewable energy in the electricity mix and therefore help decarbonizing energy supply;
The Project is among the first sizable photovoltaic power project in Nicaragua
Currently the cheapest tariff as per the PPA with ENATREL.
Truthful and experienced Sponsor owning and operating other RE assets.