Bank of America will underwite InterEnergy Group’s pipeline of projects aimed at scaling wind and solar energy installation and electric vehicle infrastructure in Latin America and the Caribbean.
Both companies entered into an agreement during the World Leaders Summit, co-chaired by Brian Moynihan, CEO of Bank of America, at the Conference of Parties United Nations Climate Change Conference in Glasgow, Scotland.
According to a release from InterEnergy, “Bank of America will partner with InterEnergy on a multi-asset, multi-jurisdictional warehouse financing facility to support InterEnergy’s extensive development pipeline in the Caribbean, Central America, and South America, with special focus on SIDS (small island development states in the Caribbean.”
Chairman and CEO InterEnergy Group Rolando Gonzalez Bunster said he was honoured to join Bank of America on a “shared mission of building a better future in the region, including the generation of clean energy, and leading the imminent transition to electric mobility.
“We look forward to adding innovative technology in the mix including hydrogen to help expedite decarbonisation pathways. Along with these effrots, we reaffirm our commitment to contribute to the United Nations 2030 Agenda for Sustainable Development,” he continued.
Energy solutions provider InterEnergy Group operates electric power generation plants in Latin America and the Caribbean, specifically in the Dominican Republic, Jamaica, Panama, Chile, and Uruguay.
In January this year, InterEnergy Group acquired the Matafongo onshore wind farm, located in the south-west of the Dominican Republic, for a consideration of US$52 million. Here in the Caribbean Basin, the company is rolling out electric vehicle (EV) charging stations in the Dominican Republic, Panama, and Jamaica.
In fact, just last week InterEnergy Group’s subsidiary, Evergo Jamaica, through President and CEO Wayne McKenzie, informed the Jamaica Observer that it will install an additional 300 EV charging stations on island, starting next year, to the tune of US$1 million.
As part of the partnership between Bank of America and InterEnergy, both parties will focus on transitioning Caribbean SIDS to more sustainable energy consumption as well as developing their capacity, which both parties estimate to be around 800 megawatts. They, however, noted that the Caribbean’s vulnerability to extreme climate change, undiversified revenue streams, and smaller scales of infrastructure projects were barriers to SIDS in the region accessing global capital markets.
Against this backdrop, Karen Fang, managing director and global head of sustainable finance for Bank of America, noted: “As part of our commitment to achive net zero before 2050 and our [US]$1.5-trillion sustainable finance commitment by 2030, we are focused on accelerating the clean energy and infrastructure transition globally, with particular attention on developing markets, especially SIDS, which have experienced more challenges accessing climate finance capital.”
“We look forward to working with InterEnergy, which has a track record and leadership in developing renewable energy and clean infrastructure solutions in the Caribbean and Latin America. We will bring other public and private sector partners into this important endeavor to further scale this important intitiative,” she added.