Chinese solar major offers financing for Indian projects
China Sunergy, one of China’s larger solar module manufacturers, is willing to bring investments into solar projects in India, the company’s Chief Executive Officer, Mr Stephen Cai, told Business Line.
Nasdaq-listed China Sunergy, which last year supplied 45 MW worth of modules to two projects in Gujarat, is also interested in entering into strategic partnerships with Indian companies, he said.
Mr Cai was in New Delhi, where he spoke at the 2nd India Solar Energy Summit, of which China Sunergy was one of the sponsors.
Mr Cai, who predicts a huge growth in India for the solar industry in 2012, said that China Sunergy would set up an office in Mumbai in June “to serve our clients with local technical support and after sales-service.”
“We are also seeking to bring investments into projects business to help our clients overcome their financing barriers,” he said. “As one of the leading Chinese solar module suppliers in India, China Sunergy is in a good position to reflect on growth opportunities in the Indian market, which is an important part of the company’s future business development,” he said. The offer of financing will be a game-changer, say experts. Going forward, the ‘renewable energy certificate’ mechanism will drive capacity addition, and here is where low-cost financing has a role.
“Under the REC mechanism, developers will not be mandated to use local content. Hence, if module manufacturers are able to assist in low-cost financing, it will contribute a lot to the success of the project,” says Mr Vineeth Vijayaraghavan, an industry expert and Editor, Panchabuta, an online renewables industry newsletter.
China Sunergy promises to deliver 17 per cent module efficiency (a measure of how much of the sun’s energy falling on the modules is converted into electricity) by mid-2012. China Sunergy today has a module capacity of 1,000 MW and is looking to expanding it to 1,200 MW in the current year. The company has plants in Nanjing and Shanghai and is putting up a third facility in Yi Zheng City.
Asked if the company would put up a manufacturing plant in India, Mr Cai said that the company was “assessing the possibilities of manufacturing outside of China,” but does not have a firm plan yet.
Source: The Hidu