EIB Global, the development arm of the European Investment Bank Group, and Neoenergia have signed a €300 million loan to support the modernization and expansion of the electricity distribution network in Bahia, Brazil. Serving more than six million customers across 415 municipalities, Neoenergia Coelba will use the financing to upgrade infrastructure, invest in automation equipment, and expand access to electricity, particularly for low-income communities. The initiative also aims to integrate renewable energy sources and enhance the efficiency and reliability of the grid.
The agreement, the largest loan EIB has signed for a private company in Central America, was highlighted during the COP30 UN Climate Change Conference in Belém, Brazil. It aligns with Brazil’s climate objectives, the Paris Agreement, and the European Union’s Global Gateway strategy, supporting sustainable energy development and public-private cooperation in Latin America. The project reflects rigorous technical and environmental due diligence, representing a strategic opportunity for companies meeting international standards.
The partnership was celebrated with senior representatives from EIB, Neoenergia, and the governments of Brazil and the European Union in attendance. EIB Vice-President Ambroise Fayolle emphasized that the investment strengthens energy infrastructure, promotes renewable integration, and connects communities to cleaner energy. Neoenergia CEO Eduardo Capelastegui highlighted the project’s role in modernizing the distribution network, enhancing service quality, and ensuring fair access to clean energy in Bahia.
The project contributes to the EIB Group’s Climate Bank Roadmap and Strategic Roadmap for 2024–2027, supporting energy efficiency, decarbonization, and sustainable development. It is part of the EU Global Gateway Investment Agenda for Latin America and the Caribbean and the EU-Brazil Green Deal, facilitating long-term economic growth while meeting climate goals. The financing will enable Bahia to expand grid coverage, reduce technical losses, and improve overall energy security.
Neoenergia, part of Spain’s Iberdrola group, has been operating in Brazil since 1997 and is a leading electricity provider in 18 states and the Federal District, serving almost 40 million people. With 4.2 GW of installed generation capacity—87% renewable—and extensive transmission infrastructure, the company also promotes socio-environmental projects through the Neoenergia Institute. Neoenergia is committed to sustainable development, corporate governance, and initiatives that enhance community welfare, including supporting the Brazilian Olympic Committee and increasing women’s participation in society.
EIB Global continues to strengthen international partnerships and development finance, particularly in Latin America, where Brazil is the largest beneficiary. Since 1997, the EIB has financed over €5.7 billion in Brazil, demonstrating its commitment to sustainable investment, energy transition, and regional development. This project exemplifies the EIB’s role as a catalyst for green investment, EU-Latin America cooperation, and the promotion of renewable and efficient energy infrastructure.
