GE’s energy investing unit and YPF
Energía Eléctrica have secured international
funding for two power projects in Argentina, one of the first
times in 20 years that project finance has been used to fund
the development of local infrastructure.
The $219.5 million five-year loan, provided by Credit
Suisse, Citigroup and Export Development Canada, will be put
towards the completion and operation of two of the largest
projects awarded in 2016 under a tender issued by the Secretary
of Electric Energy. These are two thermal power plants with a
combined capacity of 374MW in the western provinces of
Tucumán and Neuquén respectively.
Argentinian president Mauricio Macri announced last year
that he was ending the long-term practice of subsidised
electricity, which had resulted in financial difficulties for
the country’s utilities. This formed part of a
wider initiative to promote the use renewable energy under the
RenovAr programme. Of the 60...