Honduras’s IHSS pension fund is considering a significant investment to tackle the country’s energy deficit. Managing $1.2 billion in assets, the fund has proposed a $200 million investment in a 200 MW solar project.
Honduras Solar Project: A 200 MW Investment for 2025
The solar project is expected to generate 200 MW of capacity and 300 gigawatt-hours of electricity annually, enough to power 300,000 homes. The project, set for completion by 2025, is estimated to cost $200 million, which the IHSS pension fund intends to finance with its own resources and loans from international organisations.
This investment is part of a larger government effort to increase renewable energy capacity, with a national goal of reaching 1,000 MW of solar capacity by 2030. As Honduras currently has only 400 MW of solar capacity, the IHSS pension fund’s project marks a major step toward this goal.
It will help reduce the country’s reliance on imported fossil fuels and increase the share of renewable energy in the electricity mix, while also creating jobs and boosting economic growth. As highlighted by PVKnowhow, Honduras is significantly boosting its solar energy capabilities with projects slated for 2025.
Job Creation and Economic Growth from Solar Investment
The 200 MW solar project in Honduras is expected to create up to 1,000 jobs during construction and hundreds of long-term jobs once operational, stimulating the local economy and supporting the growth of the renewable energy sector.
The project will also help reduce electricity costs for consumers. Because Honduras currently imports about 60% of its electricity, it is vulnerable to fluctuations in global energy prices. Developing domestic solar capacity will lessen this reliance on imports, providing more stable, affordable electricity to consumers.
Honduras is also tendering for additional renewable energy projects to continue its growth in the sector. According to PVKnowhow, Honduras has unveiled a significant energy tender, aiming to secure an additional 1,500 MW of capacity with a strong emphasis on renewable energy.
Environmental Benefits of Solar Investment in Honduras
The 200 MW solar project will yield significant environmental benefits, reducing the country’s greenhouse gas emissions by an estimated 100,000 tonnes per year—equivalent to removing 20,000 cars from the road. The project will also help decrease air pollution and improve air quality.
In addition to its environmental impact, the project also offers social benefits by providing electricity to rural areas not currently connected to the grid. This will improve the quality of life for people in these communities and help boost economic development.
Honduras’s Commitment to Renewable Energy
Honduras has abundant solar potential, receiving an average of 5.5 hours of sunlight per day, which makes it ideal for solar energy production. To leverage this potential, the government has set a goal of reaching 1,000 MW of solar capacity by 2030.
The 200 MW solar project is a major step towards this goal, helping to diversify the country’s energy mix, reduce its reliance on imported fossil fuels, create jobs, and improve the environment. This commitment is further demonstrated by the recent inauguration of a new 20 MW solar energy plant, as reported by PVKnowhow.
The IHSS pension fund’s investment in this solar project is a prime example of how such organisations can contribute to sustainable development. By investing in renewable energy, pension funds help create a more sustainable future for both their members and the planet.
