The board of directors of Brazil's National Bank for Economic and Social Development (BNDES) has approved financing in total of R$ 378 million (US$ 184 million) to build five windfarms in the Brazil's Northeastern states of Bahia and Rio Grande do Norte.

These funds will be earmarked for Forca Eolica do Brasil (Eolic Power of Brazil), a joint venture by Brazilian power companies Neoenergia and Iberdrola, which are to invest a total of R$ 594.5 million (US$ 288.7 million) in the 150 megawatt (MW) project. The funds will be transferred through Banco do Brasil.

This financing by BNDES will generate 1,800 direct and indirect jobs as the new windfarms are built. The windfarms will be in Brazil's municipalities of Caetite (Bahia state) and Bodo, Santana do Matos and Lagoa Nova (Rio Grande do Norte state). The five new centers are a part of a larger project consisting of a further five windfarms nearby.

Because the Neoenergia/Iberdrola windfarm projects involve a renewable energy source with reduced environmental impact, they will receive scheduling priority over other energy projects. Ultimately, the windfarms will reduce the use of natural gas and other petroleum derivatives, thus lessening Brazil's dependence on these resources as well as curbing the communities' CO2 emissions.

The windfarm projects will create direct economic benefits, including income for landowners; revenue for local, state and federal governments stemming from tax on transactions and property; generation of jobs; and use of local services rather than national resources.

In addition, the construction and operation of the windfarm projects will generate purchases of local goods and services such as construction materials, machinery, equipment and tools, as well as maintenance and supplies and equipment. Support services such as accounting, banking and legal advice will also receive a boost from these projects.

In addition to the current projects, BNDES provides significant support for the windfarm sector. The current BNDES portfolio includes 107 windfarm plants at various stages of financing. These projects account for investments totaling R$ 12.4 billion (US$ 6 billion) and require BNDES financing of R$ 3.4 billion (US$ 1.7 billion). The projects will generate 1,160 MW installed capacity.