Canadian Solar has secured $55m funding from Banco do Nordeste do Brasil for the over 152MW Lavras solar farm in Brazil.
The 152.4MW project will be funded over 21 years across the construction and operation phases of the project.
The inflation-linked debt tied to the national consumer price index will provide improved capital and resource alignment with the Brazilian economy, Canadian Solar said.
Lavras was secured in Brazil’s A-4 federal auction in April 2018 with a 20-year, inflation-adjusted power purchase agreement awarded at a base price of about $29 a megawatt-hour with the Brazilian Electric Power Commercialization Chamber.
The project is expected to start construction in the second quarter of 2020 and reach commercial operation in 2021.
Since the beginning of 2019, Canadian Solar has secured $247m in solar financing with Banco do Nordeste do Brasil for multiple projects.
Canadian Solar chairman and chief executive Shawn Qu said: “We are delighted to close our fifth consecutive project financing with BNB.
“Sustainable public sector commitment for clean and affordable solar energy infrastructure has transformed Brazil to be the fastest growing renewable energy market in Latin America.
“As a leader in financing infrastructure projects, BNB’s continuing participation in our solar portfolio promotes confidence in the long-term potential of Brazil’s renewable energy sector.”
Lavras is part of a 482.6MW portfolio whose 80% interest was sold to Nebras Power Investment.