World Bank approves $480 million guarantee to promote solar and renewables in Argentina

Argentina aims to cover 20% of its energy demand with renewables by 2025.

The World Bank announced that it will provide a US$ 480 million guarantee to support the construction of large-scale renewable energy and solar projects across Argentina.

The 20-year guarantee will be used mostly for the development of wind and solar power projects being implemented under Argentina’s renewable energy program RenovAr and selected through two bidding rounds (Round 1 and Round 1.5), which were held by the Argentinean government in 2016.

The country’s Ministry of Energy and Mining selected 59 projects with a combined capacity of 2,423 MW through these two tenders. The World Bank specified that, of these projects, 27 have requested its guarantee, including 10 PV projects totaling 306 MW. Overall, 916 MW of solar projects were awarded through the two bidding rounds.

Round 2 of the RenovAr program is expected to be launched by May of this year.

Currently, renewables represent 1.8% of the energy mix in Argentina. The country has set an objective of having renewables make up 20% of its energy mix by 2025.