JA Solar Plans Fund in Excess of $290 Million for Solar ProjectsBloomberg News
JA Solar Holdings Co., a Chinese panel maker, is in talks to set up an industry fund of more than $290 million for solar power projects.
The final decision will depend on “whether the cost is reasonable” to use the fund to finance power projects, President Xie Jian said in a phone interview. He didn’t disclose the companies involved in the discussions.
China’s advance to become the world’s biggest solar market by annual installations has seen Yingli Green Energy Holding Co. and ET Solar Group form funds to invest in new projects. The nation may add as much as a 19 gigawatts of solar power this year, compared with 13 gigawatts in 2014, Bloomberg New Energy Finance estimates.
JA Solar is on pace to invest 1.8 billion yuan ($290 million) to develop 200 megawatts of solar power plants this year, Xie said from his office in Shanghai. The fund would be able to finance projects of even bigger scale, Xie said.
With global demand for panels expected to increase to as much as 60 gigawatts, the company will boost capacity this year by 25 percent to 3.5 gigawatts, Xie said. The company is also building a 400-megawatt cell-manufacturing plant overseas, he said.
Panel prices will be at their lowest from the end of April to early May, Xie said. Prices will recover as construction starts on more projects, he forecasts.
The company said last month it expects to ship 3.6 gigawatts to 4 gigawatts of panels and cells this year, an increase of as much as 29 percent from last year.
— With assistance by Feifei Shen