EIB’s Electric loan for Brazil
By Steve Skinner22 March 2010
EDP-Energias do Brasil (EDP) has signed a € 90 million loan facility with the European Investment Bank (EIB) for the expansion and reinforcement of electricity networks in São Paulo and Espírito Santo in Brazil.
According to EIB vice president Carlos da Sulva Costa, the loan will contribute to the development of the areas concerned as it provides basic infrastructure to meet the growing demand for power. "This project is a good example of the common interest shared by the EU and the Latin American region," he said.
Speaking of the social dimension of the loan Mr da Silva Costa said, "This investment will provide employment during construction and will improve power supply in areas that, together with the national Universalização programme, will benefit the poorer population."
The 2004 national Universalização programme relates to rural electrification and is being implemented by the Brazilian government under the banner, "light for everyone".
EDB provides electricity to 2.7 million customers in the southeast region of Brazil, an area with a population exceeding 8 million. Investment for expansion and improvement, part funded by the EIB loan, will involve work on overhead distribution lines, underground cables and substations.