New Development Bank's first loan project in China, Shanghai Lingang Distributed Solar Power Project, is running smoothly. It was made possible through a loan from the New Development Bank of more than $33 million.

Carried out by Shanghai Lingang Hongbo New Energy Development Company, its solar photovoltaic power station aims to slash carbon emissions by 52,000 tons a year – generating around 65 megawatts of photovoltaic power.

"The financing cost is quite favorable, with the lowest interest rate reaching 1.818 percent. However, now, the current interest rate reaches 2.241 percent. The low financing interest rate guarantees the smooth operation of the project," said Li Xiaohui, the vice general manager from Shanghai Lingang Hongbo New Energy Development Co., Ltd.  

According to the company, its total power generation had reached about 220 million kilowatt-hours (kWh) by the end of May 2022. 

Shanghai Lingang said this should further reduce carbon dioxide emissions by about 175,000 tons – the equivalent of about 80 thousand tons of standard coal. Eliminating the use of that much coal should remove around 6,000 tons of sulfur dioxide and about 3,500 tons of nitrogen oxides from the atmosphere. By its estimates, that will save the cost of electricity for photovoltaic users about 8.1 million yuan ($1.21 million).

"It's already contributing to the green footprint in Shanghai. We will continue doing more projects. In China, we've got multiple projects to look at, in various provinces in China," said Leslie Maasdorp, the vice president and chief financial officer at New Development Bank. "Many of those projects we fund with RMB, the local currency. The bank will continue its investment in China and its member countries."

Founded by the BRICS nations (Brazil, Russia, India, China and South Africa) in 2015, New Development Bank has helped bring green and sustainable development to Shanghai. More projects and investments are expected – in China and in other BRICS countries.