Jan 11 2010
eSolar and Penglai Electric announced a master licensing agreement to build about 2 gigawatts of solar thermal power plants in China over the next 10 years. eSolar is a provider of inexpensive and reliable concentrating solar power (CSP) plants. Penglai Electric is a privately-owned company that manufactures Chinese electrical power equipment.
Signing of this deal that represents the largest CSP project in the country took place in the Chinese state Council building in the presence of government officials. The groundbreaking ceremony of the first 92 megawatts will take place in the year 2010.
By the year 2021, Penglai Electric intends to develop 2 gigawatts of power plants using the solar thermal technology established by eSolar. The solar thermal power plants are planned to be co-located with biomass electricity generation facilities. Penglai Electric will purchase certain quantity of the equipment from local manufactures. On an annual basis, these plants will eliminate 15 million tons of carbon dioxide emissions.
Liu Guangyu, CEO and chairman of Penglai Electric, remarked that eSolar’s technology that utilizes the power of the sun, helps in reducing the environmental impact on manufacturing and increasing the cost and land efficiency to a maximum level. Guangyu stated that the company is thankful to the Chinese government for playing an important role in promoting renewable energy, which has no carbon emissions.
The construction process will be led by China Huadian Engineering. China Shaanxi Yulin Huayang New Energy will own and operate the first 92 megawatt plant following the completion of the construction process. Zhao Weikang, President and Chairman of Shaanxi Yulin Huayang New Energy, remarked that the company is pleased to build its first hybrid plant as part of the 170-square kilometer Yulin Alternative Energy Park. The Yulin Alternative Energy Park is China’s first large scale alternative energy park. Weikang also mentioned that the company’s policy is in line with the government’s policy to fight climate change and reduce the emissions of carbon dioxide.
In the PV manufacturing industry, China, at present, is the market leader. The country’s first important attempt to move into concentrating solar thermal power is represented by the deal. A recent announcement was made by the Chinese government highlighting its plans to increase China’s renewable power generation capacity to 15 percent by the year 2020.