First Solar sells 50MW Canadian portfolio to Plutonic Power, GE Energy Financial Services

Financials

Plutonic Power and GE Energy Financial Services have agreed to buy three of First Solar’s power plants in Ontario, Canada. Permitting for the projects, which have a combined capacity of 50MW, is expected to take place this spring and construction scheduled to start in June.

Despite selling the portfolio, First Solar has agreed to long-term contracts to supply engineering, procurement, construction and operation services for the 10MW Amherstburg, 20MW Belmont and 20MW Walpole facilities. The electricity generated by the three sites will be will be sold to the Ontario Power Authority under a 20-year energy-purchase agreement and connected to the province's distribution grid at five points.

"Expanding into both a new market and a new technology represents significant growth for Plutonic," said Donald McInnes, vice chairman and CEO of Plutonic Power. "Our solid relationship with GE Energy Financial Services enabled this expansion into our third joint near-term operating asset."

"This transaction is GE Energy Financial Services' first solar investment in Canada, broadening our US$6 billion renewable energy portfolio and supporting our strong partnership with Plutonic," said Mark Tonner, GE’s managing director. "We see significant growth potential for solar power worldwide, which continues to improve on technology costs and efficiencies."

Plutonic Power is expected to make an equity contribution of around CAN$6 million towards the project and will also take on the role of senior partner in the agreement; debt financing will be coordinated by First Solar and is expected to be in place at financial close.

PV-Tech Storage Promo

Newsletter

Preview Latest
Subscribe
We won't share your details - promise!

Publications

  • Photovoltaics International 24th Edition

    Signs earlier in the year of the global industry entering a growth phase have now been confirmed beyond any doubt. Almost all the big-name suppliers have now announced some form of manufacturing capacity expansion, a trend that analysts agree will only gather pace as long as the levels of demand predicted over the next few years turn out to be correct.

  • Manufacturing The Solar Future: The 2014 Production Annual

    Although the past few years have proved extremely testing for PV equipment manufacturers, falling module prices have driven solar end-market demand to previously unseen levels. That demand is now starting to be felt by manufacturers, to the extent that leading companies are starting to talk about serious capacity expansions later this year and into 2015. This means that the next 12 months will be a critical period if companies throughout the supply chain are to take full advantage of the PV industry’s next growth phase.

Partners

Acknowledgements

Solar Media