The Brazilian Senate has approved on Thursday a draft resolution (PRS 25/2017) that authorizes an external credit of $750 million for the financing of the country’s incentive program for renewables, Programa de Financiamento para Energia Sustentável.
The additional funds, which will be provided by the Brazilian Development Bank (BNDES) and the Inter-AmericanDevelopment Bank (IDB), will be used mainly for projects of small and medium-sized companies in the renewable energy and energy efficiency sectors.
The BNDES had announced this new credit line in December 2016. At the time, the government-run financial institution said that the funds would be utilized to increase the share of solar, wind and biomass in the country’s energy mix. Furthermore, the BNDES said that the new funds could be used for a 10-year period and finance private projects and investments of small and medium-sized enterprises in renewable energies.
