Cubico Alten Aguascalientes Solar PV Project (IIC-12083-01)

Countries
  • Mexico
Geographic location where the impacts of the investment may be experienced.
Specific Location
El Llano, Aguascalientes
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
Financial Institutions
  • IDB Invest (IDBI)
  • Inter-American Development Bank (IADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Apr 11, 2017
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Cubico Alten Aguascalientes UNO, S.A.P.I. de C.V and Cubico Alten Aguascalientes DOS
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Energy
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 110.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 368.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Other Related Projects
Primary Source

Original disclosure @ IIC website

Updated in EWS Aug 17, 2021

Disclosed by Bank Mar 1, 2017

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

From the Inter-American Development Bank Invest (IDB Invest), formerly the Inter-American Investment Corporation (IIC):

The Cubico Alten Aguascalientes Solar PV Project consists of the design, construction, commissioning and operation of two solar photovoltaic (PV) plants with a combined capacity of 290 MW that will connect to the Mexican Comision Federal de Electricidad (CFE) national grid. The plants will be built in El Llano municipality, Sate of Aguascalientes, Mexico. The project includes two adjacent solar power plants (150-MW Solem I and 140-MW Solem II), two electrical substations, and a 6.6 km 230 kV power transmission line connecting both substations to the CFE.

All infrastructure will be built within a 963.7 ha area that will be purchased and leased by Cubico-Alten. The Project's Engineering, Procurement and Construction and Operation and Maintenance Contractor will be Grupo Ortiz.

The first of the two plants, Solem I, a 150MW PV plant will reach commercial operations date as per the PPA offer on September 30, 2018. The second plant, Solem II, a 140 MW PV plant should reach PPA COD on June 29, 2019. The PPAs were signed with the CFE, a government-backed institution. The Project will contribute to the Government of Mexico's objectives of diversifying its electricity matrix by delivering clean, PV solar energy and supporting the push to create a wholesale electricity market, while reducing the country's dependency on thermal energy, as Mexico's goal is for clean energy sources to provide 50% of the nation's electricity generation mix by 2050. When the Project is successfully completed, it will be the largest PV solar plant in Latin America and the Caribbean.

According to the IIC Environmental and Social Sustainability Policy, the Project has been classified as Category B, as the Project presents potential limited adverse environmental or social risks and/or impacts that are few in number, site-specific, reversible, and readily addressed through mitigation measures.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

The total project cost is approximately US$ 368,000,000. The financial plan is expected to include Inter-American Investment Corporation ("IIC") and Inter-American Development Bank ("IDB") A-loans for a joint amount up to US$110 million and a loan from the China Co-Financing Fund for Latin America and the Caribbean for up to US$50,000,000, with 20-year door to door tenors.The Project was awarded 20-year Power Purchase Agreements ("PPA") by the Mexican Federal Electricity Agency,Centro Nacional de Control de Energia (CENACE) for the Clean Energy Certificates and 15-year PPA for energy and capacity.

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - Alten Renewable Energy Development B.V. Investor -
- - - - Cubico Alten Aguascalientes UNO, S.A.P.I. de C.V Subsidiary -
- - - - Cubico Sustainable Investments Investor -
- - - - Cubico Sustainable Investments Parent Company -
- - - - Grupo Ortiz Contractor -

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

ACCOUNTABILITY MECHANISM OF IIC

The Independent Consultation and Investigation Mechanism (MICI) is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an Inter-American Development Bank (IDB) or Inter-American Investment Corporation (IIC)-funded project. If you submit a complaint to MICI, they may assist you in addressing the problems you raised through a dispute-resolution process with those implementing the project and/or through an investigation to assess whether the IDB or IIC is following its own policies for preventing or mitigating harm to people or the environment. You can submit a complaint by sending an email to MICI@iadb.org. You can learn more about the MICI and how to file a complaint at http://www.iadb.org/en/mici/mici,1752.html (in English) or http://www.iadb.org/es/mici/mici,1752.html (Spanish).

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How it works