Project detail - EIGHT RIVERS ENERGY COMPANY LIMITED

Who is our customer

FMO’s client is the Eight Rivers Energy Company (“EREC”), the project company for a green-field solar power plant. Estimated total project costs are USD 62.5 million. The project is being developed by Neoen, Rekamniar/MPC Capital.

What is our funding objective?

The objective of FMO’s financing is to fund the development, construction, and operations of a 38.25MWac/51.08MWp solar PV power plant, which will be located in Paradise Park on the West coast of Jamaica within the Westmoreland parish (the “Project”).

Why do we fund this investment?

Together with Proparco, FMO will offer long-term financing that is not available in the commercial regional market.

What is the Environmental and Social categorization rationale?

This is a category B+ project with potential limited adverse social and environmental (E&S) risk and / or impacts that are few in number, generally site-specific, largely reversible and readily addressed through mitigation measures. While this project has been screened against all Performance Standards, FMO’s E&S due diligence indicates that the investment will have impacts which must be managed in a manner consistent with the following Performance Standards: • PS 1 - Assessment and Management of Environmental and Social Risks and Impacts • PS 2 - Labor and Working Conditions • PS 3 - Resource Efficiency and Pollution Prevention • PS 4 - Community Health, Safety and Security and; • PS 6 - Biodiversity Conservation and Sustainable Management of Living Natural Resources- The project site is made of secondary forest, former sugar cane field and disused pasture land. None of these habitats have been identified as critical habitat however a BMP will be implemented to offset an area of 16ha. The following performance standards do not apply to this project: PS5 - Land Acquisition and Involuntary Settlement – For the project site, land was leased from one landowner with a vast expansion of land in the vicinity. The T-line is within the same land. PS7 - Indigenous Peoples - There is no record of presence of indigenous peoples in the direct or the indirect area of the project. This finding is based on the Social study, site visit observations and interviews with social specialists and the Mayor of the community. PS8 - Cultural Heritage – The area is not considered an area of archeological significance nor has cultural/sacred sites. Nonetheless as best practices mandates, a Chance Finds procedure will be implemented. FMO will periodically review the project’s ongoing compliance with the Performance Standards and will rely on Proparco’s monitoring and reporting regime.