The International Finance Corporation (IFC), a member of the World Bank Group, has granted a corporate loan of up to US$600 million to ENGIE Energía Perú, one of the country's leading power generation companies. The financing aims to support the development of renewable energy projects and accelerate the transition toward a low-carbon economy.
The first tranche of the loan, amounting to US$120 million, is structured as a Green and Sustainability-Linked Loan, the first of its kind between IFC and ENGIE Perú. This financial instrument complies with international standards set by the Loan Markets Association and the International Capital Market Association. It also represents a significant step in the collaboration between both institutions to promote innovative energy solutions that deliver economic, social, and environmental benefits.
The funds will be allocated to three key initiatives: the construction of the Central Expansión Solar Intipampa in Moquegua (51.7 MW), the refinancing of the Duna and Huambos wind farms in Cajamarca (36.8 MW), and part of the Chilca-BESS battery energy storage system (26.5 MW), located at the ChilcaUno Thermal Power Plant.
In addition to the financing, the loan is tied to three key performance indicators (KPIs) designed to generate tangible impact:
- Increasing the share of renewable energy in ENGIE Perú's total installed capacity, addressing the challenges of expanding clean energy in a national grid with infrastructure and market limitations.
- Implementing site- and asset-specific climate adaptation plans across all ENGIE Perú facilities, positioning the company as a leader in climate resilience within the energy sector.
- Increasing the representation of women in management positions, promoting gender equity in a traditionally male-dominated industry.
"This green and sustainability-linked loan reflects our commitment to developing energy solutions that not only drive economic growth but also promote job creation, climate resilience, and access to clean energy," said Cheryl Edleson, IFC's Director for Infrastructure, Energy, and Mining in Europe, Latin America, and the Caribbean. "This is a bold step toward a cleaner, more inclusive energy future for Peru"
El Mehdi Ben Maalla, Country Manager and CEO of ENGIE Energía Perú, added: "The loan granted by IFC enables us to continue expanding our portfolio of renewable energy projects while meeting the highest local and international standards in risk management, environmental and social impact, resource efficiency, health, and safety. It is a clear sign of trust in our vision for sustainable growth."
With this support, IFC is helping ENGIE Energía Perú strengthen its leadership in renewable energy, with a development pipeline of over 1,600 MW and renewable generation already accounting for 30% of its total output.
About IFC
IFC a member of the World Bank Group is the largest global development institution focused on the private sector in emerging markets. We work in more than 100 countries, using our capital, expertise, and influence to create markets and opportunities in developing countries. In fiscal year 2024, IFC committed a record $56 billion to private companies and financial institutions in developing countries, leveraging private sector solutions and mobilizing private capital to create a world free of poverty on a livable planet. For more information, visit www.ifc.org.
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About ENGIE Group
ENGIE is a global player in the energy transition, with a purpose to accelerate the shift toward a carbon-neutral economy. With 98,000 employees in 30 countries, the Group covers the entire energy value chain from production and infrastructure to marketing. ENGIE combines complementary activities: renewable electricity and green gas production, flexibility assets (notably batteries), gas and electricity transmission and distribution networks, local energy infrastructure (heating and cooling networks), and energy supply to individuals, local authorities, and businesses. Each year, ENGIE invests over 10 billion to drive the energy transition and reach its goal of net-zero carbon emissions by 2045.
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