Sustainable Energy for the World: Developing Sustainable Energy Projects Rachel Robboy, Principal Investment Officer Structured and Corporate Finance Department

The Eurus Wind Power Project: Description  The Project: 250 MW wind power plant located in Oaxaca, Mexico with a 20-year power purchase agreement with Cemex Mexico being developed under Mexico’s self supply energy framework  Total Cost: US$535 million  Sponsor: Acciona Energia S.A.  Financing: –US$50 million IDB A Loan –US$30 million from the Clean Technology Fund out of the Climate Investment Fund –US$75 million from IFC Loans –Additional debt from other development finance agencies and commercial banks

The Eurus Wind Power Project: Role of IDB  Upstream Intervention –Bank support for the Government of Mexico’s climate change agenda through policy based loans to develop the regulatory and institutional framework for renewable energy –Technical cooperation funding for a series of studies regarding the energy pricing structure for renewables –Funding through the Clean Technology Fund of the Climate Investment Fund to undertake a comprehensive assessment of opportunities for attracting carbon finance for renewable energy and energy efficiency

The Eurus Wind Power Project: Role of IDB  Project Specific Interventions –Financial additionality Long-term loan to specific project Resource mobilization from other development finance institutions –Demonstration effect One of first private win farms in Mexico One of first CTF loans in LAC Largest wind farm in LAC –Environmental and social additionality Cumulative study to assess impact on birds and bats in project vicinity MDB support for local Ejido land owners

The Eurus Wind Power Project: Consultants  Market Analysis  Independent Engineer and wind analytics  Site specific certification  Legal advisory from local and international counsel  Insurance advisory  Environmental analysis  Cumulative impact study on birds and bats