Brazil’s solar market is booming. The large-scale ground photovoltaic plan in the next few years will grow substantially, solar energy is surpassing the dominant wind power in history. At present, the performance of solar energy in Brazilian national tenders exceeds the wind energy, which is expected to have 2.5GW solar grids this year, while wind energy is only 2.4GW. However, in many cases, there is still a major obstacle – project financing. Image Source: Bloombergnef hopes that the developers of the Brazilian construction project should learn about two important financing channels – State-owned Development Bank and Commercial Bank. Other factors, such as the development of the free market and the differences in monetary monetary are also affecting the Brazilian market. PV Tech Premium interviewed Brazilian analysts, companies and banks, explored the choice of solar energy in financing for project. Projects from the Development Bank financing the fanaticism of the Brazilian market have led to a fierce loan competition. Brazil’s large ground photovoltaic project financing is usually from national development banks or commercial banks. The former is the most competitive, but there are additional conditions and limited budgets, the latter is a crowded market. There are several different options to develop banks. Some banks cover specific areas, such as BDMG only funds the rich Minas Gerais, which is rich in solar resources, B \u0026 amp; B is funded by Northeast Brazil. Other banks, such as Bndes, cover the country. Camila Ramos, General Manager of Clean Energy Latin America (CELA), Clean Energy Latin America, Brazil, Brazil, said that their budget from the central government’s annual budget and unable to meet all loan needs. Cela has been working with development banks and solar companies to alleviate this bottleneck problem. Ramos said that development banks have a long financing time, and funds will never be issued before starting, which means that developers need a bridge loan or existing capital to launch projects. In addition, development banks are also subject to certain constraints. For example, they usually do not provide funding for imported devices (except components), so only the local part of the project can be supported. Ramos explains, this means that developers usually choose Dual Finance: Development Bank is financing for local partial financing and commercial banks. However, it has proven that the components are excluded from the outside of the solar industry extremely advantageous. One spokesperson of Bndes said to PV Tech Premium, and 820 has undergone major changes. At that time, Brazil updated the terms related to photovoltaic equipment, allowing us to provide financing for photovoltaic systems using imported components. \u0026 quot; This is reflected in data. 2017-2018, Bndes approved 516MW photovoltaic project. In 2019, it was not approved in a project. After the rules of the 2020 rules, it batch within one yearThe 663MW project was quoted, and the project approved in 2021 even more than 700MW. Bndes expressed to PV Tech premium, \u0026 quot; Bndes can provide up to 80% of the leverage for projects, and will evaluate environmental licenses, regulatory agencies, equipment and construction contracts, and energy commercial strategies when making decisions. \u0026 quot; It is reported that most of the photovoltaic developers in Brazil purchased photovoltaic components, inverters, brackets and other equipment from the dealer. In the component sales, it is almost contracted by China Components, with high market share, Atrs, Tianhe, Jingki, Oriental Rising, Jingke, BYD, etc. The inverter has a sunny power supply in China’s brand, Huawei, China Scaffold Company to open the market in the country. Commercial banks are feasible but competitive programs, and commercial banks are a major source of funding, which is also very demanding for commercial banks. They are not facing many restrictions like a state-owned organization, but the interest rates provided are not as attractive to the development bank. Mrtin Vogt, CEO, CEO, said that the competition between commercial bank financing is very intense, and the market is dominated by large-scale generators, which means that the difficulty of capital is very difficult. This independent generator project is spread all over Latin America. Part is not active in Brazil because of \”large-scale competition\”, and more inclined to pay attention to other Latin American markets. Axel Holmberg, a senior vice president of Latin America Business Development, believes that in view of Brazil, solar resources and industry activities, the Brazilian market is critical. Because there are many companies that compete for funds, he also believes that it is difficult to get funds from commercial banks in Brazil. Despite this, SCATEC has recently announced that it is planned to build a 532MW solar photovoltaic project in Brazil Rio Grande Do Norte through $ 320 million. It is worth noting from regulatory to the free market that the non-supervised market, the free market is rapidly developing in Brazil. \u0026 quot; Brazil has been stepping from the regulatory market to non-regulatory market enterprises PPA, the supervision market is based on the long-term purchase agreement (PPA) of the distribution company. \u0026 quot; Ramos said that solar photovoltaic is one of the most competitive sources of power, and is benefiting from the development trend of the Brazilian market. Solar photovoltaic leads the expansion of the non-regulatory market. Brazilian companies hope to ensure power supply through bilateral agreements. Brazil’s energy demand is high, but the supply is not safe. When it comes to Brazilian project financing, another financial factor that needs attention is that the agreement is signed in US dollars or Brazil. Vogt and Holmberg indicate that the Rayar signing agreement may cause the company to face risks due to fluctuations and uncertain supervision, and the US dollar is a more stable bet. PPA in the regulatory market is always based on Brazil. A large part of the free market is priced in the US dollar, a recent legislation has put thisPractice formalization.RAMOS is expected that more and more private PPA will sign in US dollars.

By