GreenYellow concludes €40m financing agreement for 85 MWp solar projects in Colombia
- GreenYellow in Colombia has signed a financing agreement with Banco de Bogotá for a solar portfolio worth 172 billion COP (~40 million euros).
- This is the third financing granted to GreenYellow’s Colombian subsidiary through a project finance mechanism. The funds will be used to finance a mixed portfolio of 7 grid-connected and self-consumption power plants.
40.2 million euros to support GreenYellow’s growth plan in the country
GreenYellow takes a major step forward in its commitment to Colombia’s energy transition with a financing package totalling 172 billion COP (around 40 million euros) from Banco de Bogotá. GreenYellow’s continued investment in the Colombian energy sector also reflects its commitment to reducing its carbon footprint, and its confidence in the growth potential and stability of the country’s energy market.
This financing represents a strong endorsement of GreenYellow’s growth strategy by the Colombian banking sector. This time, the borrowing operation was structured as project financing, with the funds obtained destined to support the continued deployment of the company’s growth plan in the country, reaffirming its commitment to clean energy production.
This new financing agreement enables the refinancing of 7 solar farms:
- 5 of these are located in the departments of Magdalena (“Caimán Cienaguero”), Meta (“Versalles”, “Dinamarca”, “La Mena”) and Córdoba (“Alejandría”);
- the other 2 being installed on sites belonging to a leading player in the transport of
“At Banco de Bogotá, we are proud to support initiatives that promote the development of renewable energy sources and the reduction of greenhouse gas emissions, ensuring that our country’s communities benefit from more sustainable and prosperous growth. At Banco de Bogotá, we have a green portfolio of over 2.6 billion COP, demonstrating our support for companies that are taking the step towards using renewable energy sources.” said Isabel Cristina Martínez, Vice-President of Sustainability and Corporate Services at Banco de Bogotá.
Non-recourse portfolio financing in Colombia: a positive signal for the country’s energy transition
GreenYellow, for its part, is making a significant investment via this photovoltaic production portfolio, deploying over 130,000 solar panels across the country. This strategic move underlines GreenYellow’s strong commitment to the development of solar energy in Colombia, contributing to the growth of renewable energies in the country and, consequently, to the reduction of CO2 emissions that contribute to global warming.
“The conclusion of this solar portfolio financing agreement with Banco de Bogotá marks a significant milestone for GreenYellow. It gives us the additional resources we need to continue investing in projects in Colombia, consolidating our position as a company actively committed to the energy transition. This success is the fruit of the work of a multidisciplinary team of passionate professionals, united by a noble mission: to contribute to the long-term sustainability of our planet.”, said Felipe Camargo, General Manager of GreenYellow Colombia.
The installations included in this portfolio represent a diversity of clients, technologies and geographical areas. This is the first non-recourse solar portfolio financing in the country, setting a notable precedent for the energy sector and the various players in the national market.
These solar projects not only make a significant contribution to the country’s energy capacity, but also generate over 2,230 jobs in the construction phase, some of which will accompany the operating phase for over 20 years to operate and maintain the sites, and participate in the transfer of knowledge while stimulating the economic growth of the local communities where the solar power plants are located. They will contribute to the reduction of greenhouse gas emissions by around 596,735 tonnes of CO2 equivalent over 30 years, a positive environmental impact comparable to the planting of over 2,983,650 trees (over 30 years). With this initiative, GreenYellow reaffirms its commitment to the economic and environmental development of Colombia, confirming itself as a key player in the transition to a cleaner, more diversified energy mix.
“This financing is a testament to the work done by GreenYellow’s teams to implement financing solutions and market practices. It highlights the Colombian banking sector’s ability to support long-term, non-recourse projects on complex, diversified portfolios. GreenYellow will continue to invest in Colombia by expanding its asset base financed by local lenders, underlining the growth potential of photovoltaic solutions, particularly for clients in the tertiary and industrial sectors, and the availability of local currency financing. Although this initiative is a first for solar photovoltaic energy, other financings are already being considered to further support the country’s energy transition,” concluded John Garcia, Project Finance Manager at GreenYellow headquarters.
