dinero_admin The deputies of the Finance and Special Budget Commission have given the green light to a significant step for the salvadoran energy sector. A favorable opinion has been issued for the Comisión Ejecutiva Hidroeléctrica del Río Lempa (CEL) to subscribe a loan with the Banco Internacional de Reconstrucción y Fomento (IBRD) for up to US$150 million.
This initiative, which will be backed by the Sovereign Guarantee, will finance the “Geothermal Energy Project for El Salvador’s Sustainable and Inclusive Development”, which represents a strong boost to renewable energy generation in the country.
The Government of the Republic seeks with this initiative a substantial increase in the generation of renewable electricity and the promotion of the direct use of geothermal energy in productive applications. This approach not only boosts the sustainable development of the nation, but also improves energy efficiency and consolidates the necessary infrastructure for a greater use of this clean source.
The loan, with a term of up to 30 years that includes a grace period of up to six years, is a key financial tool for El Salvador. This strategic investment will expand geothermal energy capacity, one of the country’s most promising renewable energy sources given its geological wealth.
In addition to the energy impact, the project includes a relevant social and environmental component. It will support programs that generate local economic opportunities and directly benefit the communities surrounding the geothermal power plants, ensuring that energy development translates into progress and well-being for the population.
