GCL-Poly Limited (“GCL-Poly”), a wholly-owned subsidiary of GCL-Poly Energy Holdings Limited (3800.HK), entered into a cooperative framework agreement in Beijing with CGN Solar Energy Development Co. Ltd. (“CGN”), a wholly-owned subsidiary of China Guangdong Nuclear Power Group (“CGN Group”), pursuant to which both parties will jointly speed up the development and utilisation of solar energy and encourage the application of clean energy via strong cooperation.
Pursuant to the cooperative framework agreement, both parties intend to jointly develop a solar farm project with total installed capacity of 1GW in Datong City, Shanxi Province. GCL-Poly will be responsible for the rolling development and construction of the project. GCL-Poly and CGN will create a synergistic and win-win partnership through the cooperation on the solar farm project in Datong City, Shanxi Province, which will lay a solid foundation for further high level cooperation in future solar power generation.
CGN Group is the only national large-scale clean energy enterprise in China mainly engaged in nuclear power generation business. To respond to the strategic development of renewable energy in China, CGN Group, a nuclear power based company, rides on its success in the development of wind power, and hydro power to actively develop the solar power generation business, while CGN, the wholly-owned subsidiary of CGN Group, specialises in the development, construction, technological research and development of solar photovoltaic, solar thermal, and micro-grid integrated power plant. With its solid foundation and advanced technology, CGN is one of the remarkable enterprises in the solar power development industry in China.
As a world leading developer, operator as well as product and technology provider of green energy and new energy, GCL-Poly continues adhering to the principle of “bringing green power to life” and has been committed to providing high quality and low carbon energy and services. As an expert in providing solar system integration solution, GCL-Poly owns the largest polysilicon production capacity and is the best in cost control in the world. Benefiting from its competent and well-experienced team in electricity investment, construction, operations, and its success in global investment, construction, and operation in solar system, GCL-Poly is unparalleled in technology, information and efficiency. GCL-Poly formally launched the global solar system integration business and solar farm business, promoting the development and application of solar farm resources worldwide with its low cost, high quality and high efficiency model.
DatongCity in Shanxi Province is located near the loading centers in Beijing, Tianjin, Tangshan of North China Power. Upon the completion of the solar farm, it will benefit from advantages such as low-cost electricity transmission, richly available unused saline and alkaline land resources and favourable environment for developing clean energy. In particular, the demand for solar new energy industry development would continue to increase in tandem, given that Datong City in Shanxi Province won the bid to host the “International Solar Decathlon” in 2013, and is actively developing itself as the national model city of new energy. The purpose of this strategic cooperation between GCL-Poly and CGN is to kick-start solar farm investments systematically in Shanxi Province where the area has abundant solar resources. The cooperation meets the State and Shanxi provincial government’s requirement to transform the existing energy structure, which would definitely promote the development of new energy business in Shanxi Province. While realising the corporate growth, the cooperation can contribute actively to the transition and forward leaping development of Shanxi Province.
Countries are determined to develop the new energy industry amid the rapid rise of emerging markets, though the global photovoltaic industry is currently affected by the European debt crisis and the “antisubsidy and antidumping” investigation by the US. The solar market in China is also ready for a blooming growth. With the concerted effort of leading industry players, the solar power generation technology continues to improve, which leads to the substantial reduction of the investment cost. The upcoming “Twelfth Five-Year Plan in development of renewable energy” is likely to increase the targeted installed capacity of solar energy from 10GW to 15GW during the “Twelfth Five-Year” period. Under the combined effect of favorable policy and self-development, the solar industry is ready for the new golden development era.
The signing of this agreement signifies a win-win partnership of GCL-Poly and CGN to jointly engage in the development and application of new energy, which would definitely promote large-scale intensive development and highly efficient use of clean energy. The 1GW project in Datong City will earmark the new development of solar industry in China, driving the sustainable socio-economic development.
