BMI View: We believe the fact that there was only one bid placed for the contract to undertake the latest expansion of the Arauco I wind power plant is indicative of the current investment climate within Argentina’s renewables industry. We maintain our view that, despite an encouraging policy and regulatory framework for renewables, the financial uncertainty relating to power projects and an increasingly unappealing and challenging business environment are likely to deter the more cautious of investors. In an attempt to develop the country’s non-hydropower renewables sector, the Argentine government introduced a target in 2007, which stated that 8% of …
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