In September 2011, OeEB and IFC, a member of the World Bank Group, provided US-Dollar 98 million in financing for Compañía Hondureña de Energía Renovable S.A. (COHERSA), to construct a private hydropower project in Honduras, which will promote clean energy and help the country meet its growing power needs.

Project name Hydropower plant La Vegona
Region Central America and the Caribbean
Sector Energy / Resource efficiency / Infrastructure
Service Investment Finance
Project country Honduras
OeEB project volume USD 23 million
Projekt partner(s) IFC, COHERSA
Project Story Honduras: A power line to the future

OeEB is supporting the construction of the 38.5-megawatt project with a US-Dollar 23 million parallel loan. IFC is providing senior and subordinated debt totaling US-Dollar 30 million and has mobilised additional US-Dollar 45 million senior debt.

In mid-2013, the hydropower plant is expected to produce about 181 gigawatt hours of electricity a year, and will power thousands of households in the country. La Vegona will also help to improve the competitiveness and sustainability of Honduran exporters by supplying lower-cost energy from a clean source. During the construction phase, the project is expected to employ about 500 local workers.

La Vegona
Clean Power for Honduras - Video of our EDFI-partner and co-investor Finnfund

Related projects with COHERSA:

Connection of five Honduran villages to the electricity grid