- Neoen of France laid first solar panel at construction site of El Salvador’s largest solar power plant of industrial size
- Out of the 101 MW capacity, Neoen won 76 MW through competitive bidding, and the remaining 25 MW from a local distribution company
- The project is being funded by the Inter-American Development Bank which is providing 58% of funding, while Neoen and Proparco are pooling in 22% and 20%, respectively
Officials of the Government of El Salvador and representatives of French renewable energy company Neoen laid the first solar panel at the 101 MW capacity Providencia Solar Power Plant. The project was officially launched on June 22, 2016 in the Central American country. It comprises two sub-plants – a 76 MW system that Neoen won in a competitive bidding process in 2014 and another a 25 MW project, which the French company acquired from a distribution company.
The solar power project is being built with a total investment of $151 million. The Inter-American Development Bank (IDB) is giving $88 million, while Neoen is pooling in $33 million and French development bank Proparco invests the remaining $30 million.
Neoen plans to allocate 3% of the revenues to finance social investments. The project will create 300 direct jobs during the period of construction.
The General Manager of Neoen, El Salavdor, Emmanuel Pujol, said, “This work demonstrates the competitiveness and viability of solar energy projects, even in countries where solar energy is used for the first time. It also demonstrates the ability of El Salvador to carry out bidding processes of modern structures in a successful manner. Neoen is proud to launch the construction of solar power project public service in El Salvador.”
This particular project is touted as the largest solar power project of industrial size in El Salvador. The launch ceremony was attended by top ministers of the government and Neoen management.