VH Global Sustainable Energy boosts solar energy in Brazil

Global Sustainable Energy Brazil

VH Global Sustainable Energy, the London-based investment company, announced this Tuesday an investment commitment of $63 million to fund the construction of 18 remote solar generation projects across ten Brazilian states.

Firstly, the projects will have a combined capacity of 75 megawatts; however, the investment will fund the projects separately. The initial tranche of $4 million will fund the construction of four projects across Rio de Janeiro. Once operational, those projects will provide 5MW of energy to local communities and regional utilities.

Secondly, this initial investment will be followed by the second tranche, of $24 million, to be exercised in June. This phase will support eight projects across Sergipe, Rio Grande do Norte, Paraiba, Mato Grosso do Sul, Piaui, Bahia and Para, which will provide 28MW of energy.

Thirdly, the remaining $35m will be deployed by August across Rio de Janeiro, Minas Gerais, Bahia and Sao Paulo to build six solar projects which will generate 42MW of power.

Moreover, all of these projects are at the Ready-to-build stage, and will become operational in less than six months from investment. Once operational, they will exceed the Company’s target annual dividend yield of 5%; and total return of 10%.

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Global Sustainable Energy partnered with Energea Global for solar development in Brazil

In addition, Global Sustainable Energy will partner with developer Energea Global LLC; which has a proven track record in developing and operating distributed power generation assets in Brazil. Partnership will provide the grounds for the actual development of the projects.

On the other hand, the investment’s goal is to support and accelerate the growth of a sustainable energy system in Brazil; by improving and securing localized access to clean energy and helping to lower Brazilian energy prices.

Furthermore, as said above, the projects will supply their energy to creditworthy commercial and industrial energy users; as well as large multinational corporations with operations in Brazil.

On the other hand, Mike Silvestrini, Managing Partner at Energea, said. “Brazil is one of the most exciting markets in the world when it comes to distributed generation; we are also proud to have the backing of an experienced team at Global Sustainable Energy; to develop further distributed solar power generation across the country.”

Finally, he remarked. “Right now, Brazil has the attractive combination of enabling policy landscape; also, strong energy economics and high degrees of customer adoption; marking it as a prime opportunity for investors looking to have a positive impact on the world and help battle the climate crisis.”

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