RIO DE JANEIRO - Chinese company BYD will get a new line of credit to expand its renewable energy business in Brazil, local media reported Thursday.

The credit line worth 1 billion reais ($296 million), which will allow BYD to manufacture electric buses, solar panels and offer leasing contracts to local public transport companies, said O Estado de Sao Paulo daily.

According to BYD, each electric bus will have a service life of around 20 years and an continuous driving distance of 300 km, using lithium-ion batteries.

Each electric bus will cost 1 million reais compared with 400,000 reais ($119,000) for a regular model running on gasoline.

Eleven BYD electric buses and five electric taxis are already operating in Campinas, Sao Paulo state, while the company also has electric vehicles in the Brazilian cities of Curitiba and Brasilia.

Campinas mayor Jonas Donizete recently visited Shenzhen, China, where BYD is based, and agreed that tenders for public transport licenses in 2017 would carry a minimum requirement for the purchasing of electric buses.

BYD has an electric bus plant in Campinas, Sao Paulo state. In February, the company is set to open a solar panel plant in the same region.