The US$160.5 million financing of B.Grimm Power PCL (BGRIM)’s Dau Tieng solar farm project in Vietnam has been certified as a “green” borrowing by an independent international environmental agency.
Being awarded the Green Loan Certificate under the Climate Bonds Initiative (CBI) on 1 October 2021 connotes the eco-friendly nature of the 240-megawatt solar energy scheme.
The certificate was given to Dau Tieng Tay Ninh Energy Joint Stock Company, a BGRIM subsidiary, after a syndicated loan for the amount was finalised on 31 August 2021.
The financing comprises a $32.5 million loan directly funded by ADB and the Leading Asia’s Private Infrastructure Fund (LEAP), a $128 million syndicated loan (B loan) funded by commercial banks, including Bangkok Bank, Kasikorn Bank, Kiatnakin Phatra Bank, ICBC (Thai) and Standard Chartered Bank (Thai).
Dau Tieng is BGRIM’s second green loan of large-scale solar farm in Vietnam, after the 257-MW Phu Yen TTP facility in Phu Yen province, that gained the green loan recognition.
The Phu Yen TTP solar farm, which is operated by Phu Yen TTP Joint Stock Company that is owned 80% by BGRIM, is funded by a $183 million loan that received the CBI credential at the end of 2020, becoming the first green lending extended to Vietnam.
These certificates underpin BGRIM’s potential in developing projects that contribute to environmental and climate protection, said Dr Harald Link, Chairman and President of BGRIM.
“BGRIM is committed to expanding its business with sustainability under the principles of good governance and responsible value chain management. We pursue our business by taking into account the impacts in various dimensions including economy, society and environment through the clean energy development,” said Dr. Link.
“BGRIM’s investment in renewable energy ventures in Thailand, Vietnam, Cambodia, Lao PDR and many other countries are testimonial to its contribution in reducing global warming and taking care of the environment in a sustainable way according to the company’s long-standing philosophy of ‘Doing business with compassion for the development of civilization in harmony with Nature” that spans over 143 years in B.Grimm’s history,” Dr Link concluded.