The European Investment Bank and the Instituto de Crédito Oficial will finance the development of the Núñez de Balboa photovoltaic solar plant, which Iberdrola is currently building in Extremadura (Spain). With 500MW total capacity and a surface area of nearly 1,000 hectares, it will be able to supply clean energy to 250,000 people, more than the combined population of the cities of Cáceres and Badajoz, and will avoid the emission into the atmosphere of 215,000 tonnes of CO2 per year.
This green finance agreement was signed in Madrid by EIB Vice-President Emma Navarro, ICO President José Carlos García de Quevedo and Iberdrola Chairman Ignacio Galán. The EU bank will lend €145 million and the ICO up to €140 million to the company's new renewable energy project, whose total investment exceeds €290 million.
Núñez de Balboa is located between the Badajóz province municipalities of Usagre, Hinojosa del Valle and Bienvenida. Commissioning is planned for 2020 and during its construction phase over 1,000 people will be employed by the project, which includes the grid connection infrastructure.
During the signing ceremony in Madrid, EIB Vice-President Emma Navarro stated: "We are very pleased to support a project that will strengthen Spanish and European leadership in the transition to a low-emission economy. Our participation proves EIB's strong commitment to climate action. The EU bank is the largest multilateral finance provider for projects that contribute to the fight against climate change, such as this one that reduces polluting emissions while generating economic growth and jobs."
The President of ICO, José Carlos García de Quevedo, has declared that "the operation signed today strengthens the support for financing investments in energy efficiency or the production of energy from renewable and non-polluting sources. This financing is part of the ICO Group's global strategy which includes sustainability criteria to perform its activities."
The Chairman of Iberdrola, Ignacio Galán, explained that "with this new agreement we are securing our investment in Núñez de Balboa and we continue to make progress towards the objective of tripling our wind and solar capacity in Spain by 2030". The facility signed with EIB and ICO is also in line with "Iberdrola's commitment to a sustainable energy model that allows the transition to a low-carbon economy," said Galán.