Washington, D.C., January 20, 2010—IFC,
a member of the World Bank Group, today announced the formal launching
by Chilean President Michelle Bachelet of the Totoral Wind Farm, a wind
project that will promote clean energy and diversify Chile’s energy
mix with renewable energy technologies.
Situated 300 kilometers north of Santiago
in Canela County, the 46-megawatt Totoral Wind Farm consists of 23 two-megawatt
Vestas wind turbines. The project is expected to generate an
average of 110 gigawatt hours a year of electricity for the
Chilean central grid, relieving the country’s significant supply constraints,
reducing environmental pollution, and improving the quality of life.
is Chile’s first project-financed wind farm.
IFC invested about $30.8 million for its own account and syndicated
an additional $30.8 million, funded by DnB NOR, the leading Norwegian financial
services firm. The project developer
is Norvind S.A., a special-purpose vehicle set up by the project sponsors,
Statkraft Norfund Power Invest A.S., the Norwegian power developer, and
its Chilean partner, Centinela. Centinela,
a local firm owned by the Pavez family, is an investment company with interests
in a wide range of industries.
One of the largest operating wind farms in
Chile, the Totoral Wind Farm is the first
renewable energy project to be financed under Chile’s new “Non-Conventional
Renewable Energy Law” that was enacted in March 2008. IFC’s financing
monetizes the expected carbon revenues under the Kyoto Protocol’s Clean
“IFC is proud to participate in the
inauguration of the Totoral Wind Farm, a significant renewable energy project
for Chile,” said Bernie Sheahan, IFC Director for Infrastructure. “We
look forward to continuing our support for such sustainable energy projects
in the country, including solar and wind power, geothermal,
and small hydropower.”
IFC is supporting Chile’s objectives of
rapidly increasing and diversifying its energy supply. In the past
five years, IFC has invested more than $290 million in five projects with
a focus on supporting the expansion of the country’s traditional energy
sources and less traditional energy sources such as wind.
IFC is the only international financial institution
focused exclusively on the private sector, the engine of sustainable development
in emerging markets. Along with IBRD, it is currently seeking a capital
increase to strengthen its ability to create opportunity for the poor in
developing countries—including by investing in renewable energy projects
such as the Totoral Wind Farm.
IFC, a member of the World Bank Group, creates
opportunity for people to escape poverty and improve their lives. We foster
sustainable economic growth in developing countries by supporting private
sector development, mobilizing private capital, and providing advisory
and risk mitigation services to businesses and governments. Our new investments
totaled $14.5 billion in fiscal 2009, helping channel capital into developing
countries during the financial crisis. For more information, visit www.ifc.org.
For more information about DnB NOR, visit
For more information about SN Power, visit
For more information about Centinela, visit