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Chinese Investment Helps Suniva Create 500 Georgia Jobs
Sep 10, 2015 | Global Atlanta
By Trevor Williams
China has often been seen as a spoiler in the global solar power industry, distorting the market with government subsidies that have led to trade spats with U.S. authorities looking to preserve the industry here. But in the case of Norcross-based Suniva Inc., engagement with China is helping create American jobs instead of ... -
Peru to hold a major renewable energy auction
Sep 10, 2015 | PV Magazine
By Blanca Diaz Lopez
Peru's Ministry of Mines and Energy has called for an auction for renewable energy projects which plans to secure up to 415 gigawatt-hours (GWh) annually of solar power, according to rules published last week. If an average 20% capacity factor is assumed for utility-scale solar projects in Peru, it would take around 240 ... -
SolarCity signs landmark 'dispatchable' solar PPA
Sep 10, 2015 | Recharge
By Karl-Erik Stromsta
SolarCity and a Hawaiian utility have signed what is said to be the first-ever US power purchase agreement for "dispatchable" utility-scale solar energy, in a landmark deal for both the solar and storage sectors. SolarCity, which is ramping up its solar-plus-storage offerings using Powerwall battery packs made by Tesla... -
Luminant seals 116MW Texas PV deal with SunEdison
Sep 10, 2015 | Recharge
By Richard A. Kessler
Luminant, the largest power generator in Texas, has signed a power purchase deal with SunEdison for 116MW of PV capacity from the Castle Gap facility under development in the state’s western Trans-Pecos region. Luminant, based in Dallas, did not detail terms of the deal, which it calls the “largest in the nation for a merchant...
Shunfeng/Suniva News
Industry News
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Chinese Investment Helps Suniva Create 500 Georgia Jobs
Sep 10, 2015 | Global Atlanta
By Trevor Williams
China has often been seen as a spoiler in the global solar power industry, distorting the market with government subsidies that have led to trade spats with U.S. authorities looking to preserve the industry here.
But in the case of Norcross-based Suniva Inc., engagement with China is helping create American jobs instead of displacing them.
Suniva on Wednesday announced plans to invest $96 million to create 500 new manufacturing jobs in Georgia, effectively tripling its solar cell capacity and eventually more than doubling its overall headcount of nearly 400 employees in factories in Norcross (about 230) and Saginaw, Mich.
That wouldn’t have been possible without a recent infusion of cash from its new controlling shareholder, Shunfeng International Clean Energy Ltd., a Hong Kong-listed but mainland-based firm that said in August it would purchase a 63 percent stake in the Georgia-grown solar manufacturer for $57.8 million.
Matt Card, vice president of global sales and marketing for Suniva, told Global Atlanta the investment is an example of exactly what he believes U.S. trade policy seeks to achieve: leveling the playing field in a way that leads to industry collaboration. More United States Stories GSU Unveils New Law School Building, Paves Way for Arbitration Center Opening Robinson College's Bello Receives Global Marketing Award Coca-Cola Taps Insider As No. 2 Exec Chinese Manufacturers to Bring 200-Plus Jobs to Metro-Atlanta Andrew Young: Technology Taking Command of the World's Future
“You could say that finally industry has taken it upon itself to solve what has been a very contentious problem the correct way. I think this is the model for how companies and nations should interact,” he said. "You have a large Asian investor making a significant investment in a U.S. company that will grow U.S. jobs to build product that is consumed in the U.S. That I think is the free market working."
Because most of the contention is over the sales of Chinese-made panels in the U.S., Shunfeng was interested in Suniva precisely because of its ability to serve the domestic market.
"The synergy was great. It was a market that they wanted to have as part of their portfolio, and we’re a strong player here,” Mr. Card said. "It gives us access to capital and other resources that enable our growth."
Shunfeng joins a team of investors in Suniva that also includes the likes of Goldman Sachs, HIG Ventures, New Enterprise Associates and Prelude Ventures; but the Chinese firm is more than a financial partner; it’s fortified with industry knowledge as a global clean energy conglomerate with assets in Asia, Europe and the U.S., Mr. Card said.
“When you look at the addition to Shunfeng in addition to the other investors we have had, this is one of the most financially strong investment teams, ownership teams, in the clean energy space. It’s multibillion-dollar assets across the board,” he said.
He said it’s too early to say whether Suniva’s technology would be deployed back in China, where Shunfeng recently purchased the distressed assets of Suntech Power, once considered the largest solar panel manufacturer in the world. Many firms have shied away from China over intellectual property concerns. Suniva says it has created proprietary solar cells that convert heat from sunlight into electricity at what it calls record rates.
For the moment, Suniva will operate mainly as an independent company, and though the new partners would be “foolish” not to look for efficiencies down the road, Shunfeng’s “history is to take assets and build stronger standalone assets” under the Asia Pacific Resources Development umbrella, Mr. Card said.
“The plan right now, the attraction right now was, ‘Suniva is a strong U.S. player. How do we make Suniva an even more viable or stronger U.S. player?’”
Some have criticized U.S. tariffs on Chinese-made panels as holding the industry back by allowing American and European incumbents to keep prices artificially high. But Mr. Card believes a recent rash of bankruptcies among Chinese firms participated in a government-backed race to the bottom in panel prices provies that cheapest isn’t always best.
"The old adage, 'You don’t get something for nothing' is absolutely true,” he said. "Many companies that are in China that are on the edge of bankruptcy, and as Chinese government support pulls back away, they get in trouble.”
Let them into the U.S. too early or easily, Mr. Card says, and manufacturers that invest in technology to drive the industry forward might’ve been priced out of the market. And some say the lower-cost panels weren’t needed: By some estimates, grid parity — the cost at which a kilowatt hour of solar power matches that produced by traditional sources — has already been reached in many states.
Suniva has directly benefited from the U.S. government’s move toward solar products made in the U.S., as longstanding “Buy American” procurement requirements have made its products competitive in military deals and other government contracts: Suniva even has one installation on the U.S. base in Guantanamo Bay, Cuba.
The company is also addressing some markets overseas where "distributed generation” — rooftop systems for homes or businesses — is strong, or where expensive land encourages investment in higher-efficiency panels. The Caribbean is one market of interest, and the company has some sales in Canada and Mexico.
Still, exports account for less than 10 percent of sales, a significant shift from early in the seven-year-old company’s history, when it was a darling of the Export-Import Bank of the United States.
Link: http://www.globalatlanta.com/article/27794/chinese-investment-helps-suniva-create-500-georgia-jobs/
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Peru to hold a major renewable energy auction
Sep 10, 2015 | PV Magazine
By Blanca Diaz Lopez
Peru's Ministry of Mines and Energy has called for an auction for renewable energy projects which plans to secure up to 415 gigawatt-hours (GWh) annually of solar power, according to rules published last week.
If an average 20% capacity factor is assumed for utility-scale solar projects in Peru, it would take around 240 MW of solar PV to generate 415 GWh annually.
In the fourth national renewable energy auction the nation will contract a total of 1,300 GWh from biomass, wind and solar PV. Projects must be put into operation before the end of 2018, and supply contracts will be signed for 20-year terms.
Registration opened on September 4 and will remain open through October 30. December 18 is be the deadline for submission of bids, and the auction will be resolved by the end of next January.
Through this auction the government seeks to reach 5% renewable energy, excluding large hydroelectric projects. To date, five solar PV projects have been awarded in Peru through national auctions. The five plants are in operation and represent a total capacity of 96 MW.
The government has also given permission for feasibility studies for 11 solar PV projects with a combined capacity of 590 MW. These projects are located in the south of the nation, where solar resources are excellent and where there is strong demand for electricity from the mining industry. Specifically, these projects are located in the departments of Arequipa, Tacná, Moquegua and Ica.
Link:
Peru's Ministry of Mines and Energy has called for an auction for renewable energy projects which plans to secure up to 415 gigawatt-hours (GWh) annually of solar power, according to rules published last week.
If an average 20% capacity factor is assumed for utility-scale solar projects in Peru, it would take around 240 MW of solar PV to generate 415 GWh annually.
In the fourth national renewable energy auction the nation will contract a total of 1,300 GWh from biomass, wind and solar PV. Projects must be put into operation before the end of 2018, and supply contracts will be signed for 20-year terms.
Registration opened on September 4 and will remain open through October 30. December 18 is be the deadline for submission of bids, and the auction will be resolved by the end of next January.
Through this auction the government seeks to reach 5% renewable energy, excluding large hydroelectric projects. To date, five solar PV projects have been awarded in Peru through national auctions. The five plants are in operation and represent a total capacity of 96 MW.
The government has also given permission for feasibility studies for 11 solar PV projects with a combined capacity of 590 MW. These projects are located in the south of the nation, where solar resources are excellent and where there is strong demand for electricity from the mining industry. Specifically, these projects are located in the departments of Arequipa, Tacná, Moquegua and Ica.
Link: http://www.pv-magazine.com/news/details/beitrag/peru-to-hold-a-major-renewable-energy-auction_100021017/#axzz3lJmNxhjk
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SolarCity signs landmark 'dispatchable' solar PPA
Sep 10, 2015 | Recharge
By Karl-Erik Stromsta
SolarCity and a Hawaiian utility have signed what is said to be the first-ever US power purchase agreement for "dispatchable" utility-scale solar energy, in a landmark deal for both the solar and storage sectors.
SolarCity, which is ramping up its solar-plus-storage offerings using Powerwall battery packs made by Tesla, last year built a 12MW ground-mount PV array for the Kaua’I Island Utility Cooperative (KIUC) – itself an unusual move for the nation’s largest rooftop solar installer. Today that array supplies 5% of the electricity on Kaua’i, Hawaii’s fourth largest island.
Under the terms of the new 20-year PPA, SolarCity will install a 52MWh battery system that can feed up to 13MW of power onto the island’s grid, shaving Kaua'i's consumption of conventional power – typically diesel – during the peak demand hours of 5pm-10pm. The battery will be filled during daylight hours with solar energy from an adjacent solar array.
SolarCity will sell the stored power to KIUC at $0.145/kWh, which is less than what the utility currently pays for conventional power – and is only “slightly more” than what it pays for the real-time power generated at its two existing 12MW solar arrays.
The PPA – a first for the US solar industry – reflects the rapidly falling cost of battery storage, a trend with major implications for the electricity industry in the years ahead.
"KIUC has been investigating energy storage options for more than two years and price has always been the biggest challenge," says David Bissell, the utility’s chief executive.
"This is a breakthrough project on technology and on price that enables us to move solar energy to the peak demand hours in the evening and reduce the amount of fossil fuel we're using."
The solar-plus-storage system still needs approval from the county and state. KIUC has requested an accelerated approval process, as it wants the system built before the end of 2016, so it can qualify for the 30% investment tax credit.
Link: http://www.rechargenews.com/solar/1411024/solarcity-signs-landmark-dispatchable-solar-ppa
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Luminant seals 116MW Texas PV deal with SunEdison
Sep 10, 2015 | Recharge
By Richard A. Kessler
Luminant, the largest power generator in Texas, has signed a power purchase deal with SunEdison for 116MW of PV capacity from the Castle Gap facility under development in the state’s western Trans-Pecos region.
Luminant, based in Dallas, did not detail terms of the deal, which it calls the “largest in the nation for a merchant generator in a competitive market.” It is the coal-dominated company’s first such transaction for solar.
SunEdison did not immediately comment on the deal.
Delivery will begin in late 2016, qualifying the project for the federal 30% investment tax credit.
The facility will provide power for 58,000 Texas homes during normal demand and 23,000 during peak demand, according to Luminent.
“We have a long history of operational excellence and innovation in providing safe, affordable energy for the benefit of Texans, and we are producd to continue this tradition with this solar project,” says Luminant chief executive Mac McFarland.
Luminant and other large Texas independent power producers are looking to diversify their power mix in response to tougher federal emissions standards.
The Environmental Protection Agency's Clean Power Plan, for example, would force Texas to reduce its carbon emissions by about 34% by 2030. State officials initially estimate it could force Texas to close up to half of its coal-fired generation capacity.
While Governor Greg Abbott's administration intends to challenge the EPA plan in court,power industry executives believe litigation will take years, and they are not entirely confident the state would prevail.
Analysts say more large PV capacity supply deals are likely as developers have been advancing projects in the solar resource-rich Trans-Pecos.
Link: http://www.rechargenews.com/solar/1411045/luminant-seals-116mw-texas-pv-deal-with-sunedison
Shunfeng/Suniva News
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