EQ April-May 2015 Edition by EQ Int'l Solar Media Group

Volume # 7 | Issue # 4 | April-May 2015 |

Rs.5/-

I N T E R N AT I O N A L

www.EQMagLive.com

Call Us For More Details :- +91-96441-22268 , +91-96441-33319

Owner :

FirstSource Energy INDIA PRIVATE LIMITED

Place of Publication :

17, Shradhanand Marg (Chhawani) Distt-Indore 452 001, Madhya Pradesh, INDIA Tel. + 91 96441 22268 Tel. + 91 96441 33319

www.EQMagLive.com

Editor & CEO:

ANAND GUPTA anand.gupta@EQmag.net

PUBLISHER:

ANAND GUPTA

PRINTER:

ANAND GUPTA

TRENDS & ANALYSIS

SAUMYA BANSAL GUPTA saumya.gupta@EQmag.net ARPITA GUPTA arpita.gupta@EQmag.net

PUBLISHING COMPANY DIRECTORS: ANIL GUPTA

ANITA GUPTA

Consulting Editor: SURENDRA BAJPAI

Editorial Contributions:

Li Xiande , Dr. Rajeev Goel , Sankalp Ved , K. S. Jayaraman , Shivakumar Kinni , Ajay jain , Siddartha Ramakanth Keshavadasu

Sales & Marketing:

GOURAV GARG gourav.garg@EQmag.net

Subscriptions:

PIYUSH MISHRA piyush.mishra@EQmag.net

Layout and Design:

ABHISHEK JAIN & ANKIT PANDEY

Illustration & Graphic: ANKIT PANDEY

Printing Press:

PRINT PACK PVT. LTD. 10, PRESS COMPLEX A.B. ROAD, Indore (Madhya Pradesh)

CONTENT

VOLUME 7 Issue # 4

24 SOLAR ENERGY SunEdison Announces Acquisition Of Seven Renewable Energy Portfolios And Corporate Platforms In Brazil, China, India, Peru, Chile, South Africa, And Uruguay

SOLAR ENERGY Shri Piyush Goyal Inaugurates New Solar Passive Building Of The National Institute Of Solar Energy

26 SOLAR ENERGY Switch To Solar - Anchor Electricals Makes A Robust Foray In The Solar Space With Panasonic “Hit” And Anchor “Poly/ Mono” Solar PV Modules.

Disclaimer,Limitations of Liability While every efforts has been made to ensure the high quality and accuracy of EQ international and all our authors research articles with the greatest of care and attention ,we make no warranty concerning its content,and the magazine is provided on an>> as is <<basis.EQ international contains advertising and third –party contents.EQ International is not liable for any third- party content or error,omission or inaccuracy in any advertising material ,nor is it responsible for the availability of external web sites or their contents The data and information presented in this magazine is provided for informational purpose only.neither EQ INTERNATINAL ,Its affiliates,Information providers nor content providers shall have any liability for investment decisions based up on or the results obtained from the information provided. Nothing contained in this magazine should be construed as a recommendation to buy or sale any securities. The facts and opinions stated in this magazine do not constitute an offer on the part of EQ International for the sale or purchase of any securities, nor any such offer intended or implied Restriction on use The material in this magazine is protected by international copyright and trademark laws. You may not modify,copy,reproduce,republish,post,transmit,or distribute any part of the magazine in any way.you may only use material for your personall,Non-Commercial use, provided you keep intact all copyright and other proprietary notices.If you want to use material for any non-personel,non commercial purpose,you need written permission from EQ International.

SOLAR ENERGY Fortum 10 MW Solar Power Plant At village Kapeli, Tehsil Tarana Dist - Ujjain, Madhya Pradesh

Exclusive Interview

India Solar Installations Forecast to Exceed 2 GW in 2015

With Basant Jain

RESEARCH & ANALYSIS

60 Price And Quality Of PV Self Consumption Kits – Two Unknowns At The Same Equation

WTO Verdict On India’s Solar Dispute With US Soon

Exclusive Interview

With Rajeshwar Bhatt

SOLAR OFF GRID & ROOFTOP

M.P. Government Gives Nod To 750 MW Solar Power Station

RESEARCH & ANALYSIS

10 India Eyes $1.1 Billion Solar Loan From German Bank KFW

Sustainable Insight Gearing Up For Green Bonds

SOLAR ENERGY Anniversary of 15 MW Solar Power Park Using Seraphim Modules

CO NTENT

Cover CSUN is a NASDAQ listed world leading manufacturer of solar PV cells and modules, and closely connected to the renowned CEEG group, which has strategic partnership with KME and Dupont. As one of the Tier 1 solar PV module suppliers listed by Bloomberg, CSUN has extensive experience in the photovoltaic industry and is well known for outstanding innovation and product quality, which is underlined by the fabrication of the world record on silicon solar cell with a cell efficiency of 25% by CSUN R&D team. In the past CSUN has supplied renowned European PV module manufacturers with top quality cells, from 2007 CSUN started

EQ BUSINESS & FINANCIAL NEWS 7-21

INTERVIEWS 22 Exclusive Interview with Subrata Mukherjee 54 Exclusive Interview With Anita Liu, Jinko Solar

SOLAR ENERGY 32 Vikram Solar Commissions 40 MW PV Plant In Madhya Pradesh 46 Redirecting Financial Flows Worth US $2.5 Trillion Annually Towards Green Investment Crucial To Sustainable Growth In Asia Pacific – New UN Report

PV module supply and realized over 2.4GW shipment by 2014, currently CSUN has expanded its project business and strengthen its activities in financing and realizing photovoltaic system, cost effective solution under grid parity conditions.

SOLAR PV INVERTERS 58 Delta Highlighted New Innovative Energy Storage Solutions And Solar Inverters At Intersolar 2015

SOLAR OFF GRID & ROOFTOP 62 Hybrid Control Of PV Battery Based Microgrid System 64 A Brighter Future In Uttar Pradesh Thanks To Solar Home Lighting Systems

PRODUCTS REPORT 65-80

NORTH AMERICA 56 Utility-Grade Solar Energizes Communities In North Carolina

April-May 2015

www.EQMagLive.com

}

BUSINESS FINANCIAL

Alstom To Lead Smart Grid Pilot In India

lstom T&D India has been selected to lead the smart grid pilot project by Himachal Pradesh St ate Elec tricity Bo ard Limited (HPSEBL). This pilot project will be located at the Kala Amb industrial area of Himachal Pradesh in Northern India and will serve over 1,500 consumers. This will be the second out of fourteen projects under the Indian Ministry of Power’s flagship “Smart Grid Pilot” programme. The Kala Amb smart grid pilot project will act as a proof of concept to further strengthen the Information Technology system in place, to make the distribution grid costeffective, responsive and better engineered

for reliability and self-healing operations. Alstom will design, develop and implement an integrated set of smart grid applications targeting power quality issues, managing peak demand, power outages and limiting violations at distribution network nodes. Alstom’s solution will be based on its e-terradistribution 3.0 a fully Integrated Distribution Management System (IDMS). The e-terradistribution 3.0 is the industry’s first completely

integrated and most advanced suite of SCADA, Distribution Management System (DMS), and Outage Management System (OMS) applications. Alstom will lead this project along with Genus Power Infrastructure Ltd and a few other OEM equipment suppliers. The smart grid solution aims to enhance the monitoring and automation of two distribution substations feeding

Kala Amb. It will collect data from a new installed smart metering infrastructure and grid sensors, including power transformer condition monitoring. The platform will seamlessly exchange the business analytics with the existing utility consumer portal and enable the state regulator to make suitable adjustments in tariff and other regulations. The project aims to save millions of dollars annually in reduced demand charges, defer new generation construction and reduce peak-priced energy purchases.

Amendments To The Electricity Act

he Union Cabinet has approved the proposals for am en dm en t in Electricity Act, 2003 on 10th December, 2014 as contained in the Electricity (Amendment) Bill 2014. The Electricity (Amendment) Bill, 2014 was introduced in the Lok Sabha

on 19th December, 2014. This was referred to Parliamentary Standing Committee on Energy and the committee has submitted its report to the Parliament on 7th May, 2015. This was stated by Sh. Piyush Goyal, Minister of State (IC) for Power, Coal & New and Renewable energy in

a written reply to a question in the Rajya Sabha. The Minister further stated that the amendments proposed in Electricity (Amendment) Bill, 2014 seeks to end the monopoly of power distribution companies by segregating the carriage (distribution sector/

network) from the content (electricity supply business) in the power sector by introducing multiple supply licensees so as to bring in further competition and efficiency in the distribution sector by giving choice to the consumers, the Minister added.

Essel, JA Solar JV To Set Up Rs 950 Cr Facility In India

ssel Group said it h a s e n t e r e d in t o an agreement with China’s energy firm JA Solar to launch a joint venture for manufacturing solar cell and modules in India.”Essel Group has entered into a joint venture agreement with JA Solar, China’s leading solar energy firm, to launch a solar cell and module manufacturing company in India,” Essel Group said in a statement here.The Memorandum of Understanding (MoU) for setting up the JV company with an approximately

50:50 partnership and equity arrangement was signed between Essel Infraproject Ltd (EIL), the flagship infrastructure arm of the Essel Group and JA Solar (JAS), it said. Essel Group was in Shanghai as part of Prime Minister Narendra Modi’s delegation to China to forge strategic partnerships for building integrated, inclusive, innovative and sustainable smart cities in India.The JV company will set up a manufacturing facility in India with an estimated capital expenditure of US 150 million

www.EQMagLive.com

(Rs 950 crore) out of which USD 30-45 million (Rs 190 to Rs 285 crore) will be by means of equity funding. It will focus on using the latest cutting edge Photo Voltaic (PV) technology to manufacture solar cells, panels and modules in India. The facility is expected to turn out 500 MW of power per annum. This JV is expected to boost Essel’s on-going projects for Renewable energy. Through this venture Essel will bring a range of global renewable energy solutions to India for use in a wide array of

residential, commercial and mass utility based applications. Essel Infraprojects CEO Ashok Agarwal said: “This venture will encourage bilateral trade investments which can best complement in terms of mass production from their end and precision being our forte.”The Essel Group has taken big strides in realising the Modi government dream of setting up 100 smart cities in India.It plans to invest over USD 2 billion over next three years in transforming major cities.

April-May 2015

}

BUSINESS FINANCIAL

NTPC Plans To Raise $1 Bn Through Currency Bonds

ountry’s largest power producer NTPC will raise USD 1 billion through foreign currency bonds this year to expand its power generation capacity, particularly in renewable energy segment.”NTPC board has approved the proposal to raise up to USD 1 billion through foreign currency bonds subject to market conditions and as per requirement in the board meeting held on 28th April,” said NTPC spokesperson. The official said that NTPC will approach the market for raising funds through foreign currency bonds this year. State-run NTPC has an installed power generation capacity of 44,598 MW and the company plans to set up 3,000 MW capacity solar power projects across the country this fiscal.The power producer envisages that the renewable energy will

By 2032

28% 44,598 MW State-run NTPC has an installed power generation capacity.

3,000 MW

The company plans to set up 3,000 MW capacity solar power projects across the country this fiscal.

contribute 28 per cent to its capacity of 1,28,000 MW by 2032. The government plans to have 1,60,000 MW renewable power generation capacity by 2022 for which, an investment of USD 250 billion would be required.Earlier allaying apprehensions over meeting

The power producer envisages that the renewable energy will contribute 28 per cent to its capacity of 1,28,000 MW by 2032.

renewable power capacity addition target, Power Minister Piyush Goyal had said: “If the government moves with some vision, it is not impossible to make India dieselgeneration free. Source:PTI

Haryana To Introduce Solar Rooftop Net Metering Scheme

o w e r d i s t ri b u t i o n companies in Haryana will soon introduce a scheme where consumers will get a chance to generate solar energy, which will be adjusted against their regular electricity bills.The discoms will soon introduce Solar Rooftop Net Metering System, which will help cut down on power bills and save money as well as electricity, an official release said.”Bills will be issued after adjustment of power generated and power used,” it said.”The State Government shall provide financial assistance at a rate of 40 per cent of the cost of system

to the beneficiaries,” it further added. It further said the unique facility of banking surplus power with the discoms and then using it when needed can result in reduction in one’s electricity bill.”Under this scheme, the maximum rooftops solar system capacity to be installed at any consumer premises shall not exceed his/her connected load in case of Low tension connection and contract demand in case of High tension connection,” it said.Moreover, it has also been decided to introduce an incentive scheme for advance payment for availing rebate in the electricity bills. Source:PTI

The Release SaidIncentive of 4% will pay by Discoms on every bill to the consumers who will pay advance electricity bills equivalent to 120 per cent of the amount of previous one year electricity bills. The consumer will also be given interest on the advance payment.

Indore Railway Station Gets 20 KW Solar Power Plant

ndore (INDB): With an aim to conserve power, a 20KW solar power plant was inaugurated today at the Indore railway station here. The solar powered grid plant of 20-KW capacity was today inaugurated by Indian Container

April-May 2015

Corporation Limited Managing Director Anil Kumar Gupta. With the help of corporation, a total of 100 KW solar power plants were established in Chiitorgarh, Neemuch, Ratlam and Indore which resulted in the saving of Rs 12 lakh per year

on energy charges, Western Railway’s Ratlam Division’s spokesperson Jitendra Kumar Jayant said. He informed that with this solar power plant, 100 units of electricity will be generated on a daily basis.

www.EQMagLive.com

April-May 2015

11Â

}

BUSINESS FINANCIAL

India Eyes $1.1 Billion Solar Loan From German Bank KFW

erman development bank KFW could lend India $1.1 billion for rooftop solar projects, on top of another loan it has extended to help the Asian country fund its ambitious green energy plans, India’s top Renewable energy bureaucrat told Reuters. Prime Minister Narendra Modi wants to quintuple India’s renewable energy capacity to 175 gigawatts by 2022, making clean energy part of his fight against climate change without necessarily committing to a timeline for emission cuts. KFW has already offered India a loan of about 1.38 billion euros ($1.55 billion) to help build a “green corridor” of power lines through nine states, and Modi’s visit last month to Germany helped advance talks on the rooftop plans, said Upendra Tripathy, secretary in the Ministry of New and Renewable Energy.

Bank Loans

Capacity addition was 12 percent higher than a year earlier, helping India cut its carbon emission by a similar margin to 8.78 million tonnes, Tripathy said.

$750 million government had also sought $750 million from the World Bank

$500

India reckons its renewable energy industry could generate business opportunities worth $160 billion in the next five years, making it a lucrative market that has already attracted big global players such as Sun Edison <SUN E.N> and First Solar (FSLR.O).

million from the Asian Development Bank From the World Bank From the Asian Development Bank

“T he p rim e minis ter discussed this and KFW in principle agreed to examine our request,” Tripathy said on Tuesday. “We are looking for low-cost loans.” K F W, which s aid in December it would extend a 1 billion euro loan for the power transmission project, could not be reached for comment on Tuesday.

Tripathy said the government had also sought $750 million from the World Bank and $500 million from the Asian Development Bank to help keep up the momentum in expanding its clean energy programmes. India’s renewable energyINVESTMENTS rose to $4 billion last fiscal year to March 31 from $3.4 billion a year earlier.

Money has also started to flow in from China, and more deals are likely when Modi goes there on Thursday in his first visit to the bigger neighbour since taking office a year ago. ($1 = 0.8887 euros) ($1 = 64.2899 rupees) (Editing by Mark Potter)

JinkoSolar Signs 1 GW Framework Supply Agreement With China Minsheng New Energy

inkoSolar

Holding

the minimum amount allocated

CMNE into a leading investor

nership between two leaders

Co.Ltd.a global leader in

for 2015 being no less than 600

and operator of Renewable en-

in their respective industries.

the PV industry, recently

MW. The specific terms of the

ergy in China.

CMIC has targeted and deployed

announced that it has signed a

agreement will be subject to the

strategy cooperation agreement

formal purchase contract signed

for the supply of 1 GW of solar

by both parties.

PV modules with China Min-

its capital in key industries that “As an investment company

are in line with China’s national

approved by China’s State Coun-

strategy since its establishment

cil, CMIC has the advantage of

and one of their focus points of

sheng New Energy.According

CMNE is the wholly owned

analyzing government policy and

investment is the solar industry.

to the terms of the agreement,

new energy-focused subsidiary

deploying capital efficiently,”

We look forward to developing

CMNE will purchase a minimum

of China MinshengINVEST-

commented Mr. Xiande Li,

a long-term relationship with

of 1 GW of solar PV modules

MENT Corp., Ltd. (“CMIC”).

Chairman of JInkoSolar. “As a

CMIC as we jointly committed to

with priority given to JinkoSo-

CMIC plans to invest RMB200

global leader in the PV industry,

promote the development of the

lar in case of same terms and

billion in approximately 20 GW

we believe this strategy coop-

solar industry in China.”

conditions over the two years

of projects through CMNE over

eration agreement marks the

spanning 2015 and 2016 with

the next five years, turning

beginning of a long-term part-

April-May 2015

www.EQMagLive.com

April-May 2015

13Â

}

BUSINESS FINANCIAL

India : National Smart Grid Mission

overnment has approved the National Smart Grid Mission (NSGM) -an institutional mechanism for planning, monitoring and implementation of policies and programs related to Smart Grid activities.

NSGM budget. For selected components such as training & capacity building, consumer engagement etc, 100% grant is available.

NSGM has three tier structure-

This was stated by Sh. Piyush Goyal, Minister of state for Power, Coal & New and Renewable energy (IC) in a written reply to a question in the Lok Sabha today. The total outlay for NSGM activities for 12th Plan is Rs 980 crore with a budgetary support of Rs 338 crore.

• At the apex level, NSGM has a Governing Council headed by the Minister of Power. Members of the Governing Council are Secretary level officers of concerned Ministries and departments. Role of Governing Council is to approve all policies and programme for smart grid implementation.

• At the second level, the NSGM has an Empowered Committee headed by Secretary (Power). Members of the Empowered Committee are Joint Secretary level officers of concerned Ministries and departments. Role of Empowered Committee is to provide policy input to Governing Council and approve, monitor, review specific smart grid projects, guidelines /

Corresponding to the NSGM, State Level Mission chaired by the Power Secretary of the State has also been proposed. Support for training & capacity building to State Level Project Monitoring Units (SLPMUs) for smart grid activities is provided by NSGM.

procedures etc.

• In a supportive role, NSGM has a Technical Committee headed by Chairperson (CEA). Members of the Technical Committee are Director level officers of concerned Ministries & departments, representatives from industries and academia. Role of Technical Committee is to support the Empowered Commit tee on technic al aspect, standards development, technology selection guidelines etc.

• For day-to-day operations, NSGM has a NSGM Project Management Unit (NPMU) headed by the Director NPMU. Director NPMU is a Member of the Governing Council and Empowered Committee, and Member Secretary of Technical Committee. NPMU is the implementing agency for operationalizing the Smart Grid activities in the country under the guidance of Governing Council and Empowered Committee.

• Grant up-to 30% of the

The Minister further stated that The major activities envisaged under NSGM are development of smart grid, development of micro grids, consumer engagements and training & capacity building etc. NSGM entails implementation of a smart electrical grid based on state-of-the art technology in the fields of automation, communication and IT systems that can monitor and control power flows from points of generation to points of consumption, the Minister added.

project cost is available from

M.P. Government Gives Nod To 750 MW Solar Power Station

adhya Pradesh gov-

district of the state.The cabinet

government spokesperson and

ergy, the solar energy project

ernment recently

meeting chaired by Chief Minis-

MP Minister Narottam Mishra

will cost around Rs 4,500 crore.

cleared a project

ter Shivraj Singh here approved

told reporters.

Mishra said the Power Grid Cor-

for setting up the world’s larg-

the proposal for commissioning

est 750 MW solar

power

the world’s largest solar power

He said that a loan from the

in to lay the transmission line

station at Gudh tehsil in Rewa

station at Gudh in Rewa, state

World Bank will be sought for

of the project. He said that 40

commissioning the ultra mega

per cent of power from the

green power generation station.

project will be wheeled to the

The state’s new and Renewable

state by MP POWER MANAGE-

energy department will make

MENT Company. Mishra also

available the land for the proj-

said that the retirement age of

ect, he added. The minister said

group A and B staffers of MP

that Centre and the state have

Finance Commission has been

formed a joint venture company

increased from 58 to 60 on the

to facilitate commissioning the

recommendation of the commis-

project. According to an official

sion’s board of director.

poration of India will be roped

of MP New and Renewable En14

April-May 2015

Source:ET

www.EQMagLive.com

April-May 2015

15Â

}

BUSINESS FINANCIAL

Majithia Asks Bankers To Finance Solar Projects

unjab New and renew-

purpose to enhance clean and

in renewable energy which has

industrial growth of the country

able energy Minister

green power generation capacity

an estimated investment po-

and specifically of the state, he

Bikram Singh Majithia

in the state.

tential of Rs 33,000 crore and

said.Majithia said Punjab has a

called upon financial institu-

out of which Rs 23,000 crore

huge potential in biomass sector

tions and banks to provide easy

He pointed out that the state

was for finance requirement for

and farm based solar projects

credit to solar power develop-

was actively promoting and fa-

setting up of NRSE projects.Ma-

for which financial institutions

ers in the state.Presiding over

cilitating the setting up of ground

jithia emphasised on providing

should come forward in sup-

a meeting with leading financial

based, rooftop based, canal top

an exclusive financial product

porting first generation .An-

institutions and banks Includ-

based, reservoir based solar PV

for supporting the rooftop proj-

irudh Tewari, Secretary, New

ing Power finance Corporation,

power generation systems.The

ects under net metering, saying

& Renewable energy , Punjab

L&T Infra finance , IDBI, ADB,

minister revealed that the state’s

the future for the country lies in

explained about the huge poten-

NABARD, Bank of India, Tata

present NRSE power generation

every household establishment

tial of 1,000 MW on the canal

Power Solar, Majithia informed

capacity was 811 MW and it

institutions generate its own

top and reservoir in the state.

that Punjab has taken major ini-

was planned to take this capac-

clean and green energy.

tiatives in launching innovative

ity to 5,400 MW by 2022.He

programmes in the new and re-

called upon bankers to actively

This will also help in provid-

newable energy sector with the

participate in state’s initiative

ing power during peak hours for

Source:PTI

MNRE:Training In Renewable Power Sector

inistry of New and Renewable Energy (MNRE) under its Human Resources Development programme supports educational and training institutions to impart training various aspects of renewable energy including the system design, installation commissioning, servicing, repair and maintenance of renewable energy systems, devices and power projects. This was stated by Sh. Piyush Goyal, Minister of State (IC) for Power, Coal &

New andRenewable Energy in a written reply to a question in the Lok Sabha. The Minister further stated that a pilot of organizing 10 training programme has been sanctioned to the National Institute of Solar Energy to act as the nodal agency to coordinate with all the State Nodal Agencies on Renewable En er g y to id en tif y t h e institutions in respective States, to impart training on system

design, installation, operation, repair and maintenance of solar energy systems and devices on the st andard course material and syllabus developed in collaboration with the Directorate General of Employment and Training under its Skill Development Initiative. This will lead to expand this activity through various training partners to create a skilled work force in renewable energy sector as per the National Occupational Standards and

Qualification Packs developed by the Power Sector Skill Council and Electronics Sector Skill Council with proper certification mechanism, the Minister added.

Memorandum Of Understanding Between India And Korea On Cooperation In The Field Of Electric Power Development And New Energy Industries

h e Unio n C a bin e t chaired by the Prime Minister, Shri Narendra Modi,recently gave its approval for signing of the Memorandum of Understanding (MoU) between India and the Republic of Korea on cooperation in the field of electric power development and new energy industries.This MoU will provide an enabling 16

April-May 2015

framework for establishing contact between governmental entities and public authorities of both countries in the field of electric power development and new energy industries. It would also facilitate exchange of knowledge and experience aiming to create opportunities for investment in both countries.

The MoU is also expected to take forward development in the power sector for providing equitable access to reliable electricity supply to consumers through bilateral cooperation. The focus of attention will be bilateral cooperation in the areas of electric power development,Renewable energy , smart grids and power

Information and Technology, transmission and distribution of electric power, energy efficiency and energy storage systems, etc. Measures in these areas will improve energy security and reliability of supply, improve energy access and facilitate sustainable economic growth.

www.EQMagLive.com

}

BUSINESS FINANCIAL

Jinko Solar Inaugurates Its First Overseas Solar Cell and Solar Module Fab in Penang, Malaysia

inko Solar Holding Co., Ltd. (“JinkoSolar” or the “Company”) (NYSE: JKS), a global leader in the PV industry, announced the inauguration of Jinko Solar Sdn Bhd. in Penang, Malaysia. The ceremony was attended by JinkoSolar CEO Kangping Chen, and some Malaysia prestigious government officials. The construction of the facility has been finished and put into operation weeks ago. Since fully operation, the annual capacity will reach 500MW solar cells with up to 22.5 percent conversion efficiencies and 450 MW solar modules. The Malaysian plant will be the Company;s first overseas cell production facility and its module capacity will add to its overseas module capacity,

currently located in South Africa and Portugal. This state-ofthe-art facility is about 25,000 square meters, and will house 7 solar cell production lines when fully online. It utilizes the latest highly-automated production equipment and JinkoSolar’s best practice of manufacturing, and will offer 1,200 job opportunities and generate annual revenue about 2 billion RMB. “Since we made decision to build up this Malaysia Fab last December, we took less than 6 month to complete it and now it is already in production, benefiting from our leading manufacturing technology, and efficiently-run global operations and management. Again we demonstrate JinkoSolar ’s execution and magic speed,” said Kangping Chen, CEO of

www.EQMagLive.com

JinkoSolar, ““The scale and breadth of this cell and module fab campus in Malaysia will be a core element of our technology and global manufacturing roadmap to meet continuing escalating demand of our solar PV products.” “This is our biggest overseas investment and actually it is also

the biggest investment of Chinese solar product manufacturer, which happens to coincident with ‘one belt, one road” initiative proposed by Jinping Xi, China’s president. Malaysia offers us talent pool of highly educated workers and engineers, relatively advanced industry infrastructure, a receptive business investment climate, cost competitive environment. In return, we bring our latest technology and manufacturing excellence know-how and expertise, our experienced management team helping to cultivate local talents, and our capital as well. Hereof, we are not only build a factory, we build an open platform to integrate technology, information, talents and vision for the future,” added by Kangping Chen.

April-May 2015

}

BUSINESS FINANCIAL

Panasonic To Expand Its Solar Module HITTM Production Capacity To 1 GW

anasonic Corporation announced recently that it will boost production capacity of solar cells and modules for its solar panels HITTM at its two domestic plants. The company will invest 9.5 billion yen to expand production lines at the Shimane Factory (Shimane SANYO Electric Co., Ltd.), which produces solar cells, and at the Shiga Factory, a module production site. The expansion will add a combined production capacity of 150 megawatts a year, lifting Panasonic’s total solar module production capacity of HITTM to more than 1 gigawatt by March 2016,

INVESTMENT

9.5

Billion the company will invest.

150

Mega Watts a Year.

capacity of 150 m e g awat t s a year, lifting Panasonic’s total solar module production capacity of HITTM to more than 1 gigawatt by March 2016 including that of manufacturing facilities in Kedah, Malaysia,

and Nishikinohama, Osaka, in addition to the two domestic factories. Ja p a n ’s s ola r p ower market has been growing since the introduction of feed-in tariffs. In the residential and non-residential rooftop solar markets, strong demand is expected to continue, helped by government-led efforts to promote the adoption of zeronet energy houses and buildings, along with local governments’ measures to support solar power. Inother Asian countries, as well as Europe and the United States, the residential rooftop markets are also expected to remain

solid. Adding production capacity of its solar modules HITTM will help Panasonic meet growing demand in the global solar market. In its home market, the company aims to expand the penetration of its Smart Home Energy Management Systems (SMARTHEMSTM). The system integrates Panasonic’ssolar generation system with its EcoCute heatpump hot water supply systems, power storage batteries, energysaving appliances and other products to offer a rich and comfortable lifestyle by bringing together strengths of Panasonic group companies.

RDA Energy And Juwi India First To Commission 10MW Solar Power Plant In DCR Category Under JNNSM PhaseII, Batch-I

DA Energy Pvt. Ltd., a Special Purpose Vehicle of Kolkata-based Atha Group, and Juwi India renewable energies Pvt. Ltd., a leading turnkey EPC company in India, announced the commissioning of the first Solar Photovoltaic Power Plant in the DCR (Domestic manufacturing) category under the currently ongoing JNNSM Phase II,

Batch-I through the Viability Gap Funding mechanism of Solar Energy Corporation of India (SECI) on 23rd April 2015 at Bhilwara, Rajasthan, India. The 10 MW plant was delivered by Juwi India under a turnkey contract from RDA Energy Pvt. Ltd. In a statement, Mr. Anil Mehta, Chief Executive officer,

Atha Group congratulated all the stakeholders related to the project, and said “I thank juwi for the excellent support from them and look forward to working with them in the future”. Speaking on the occasion, Mr. Rajeshwara Bhat, Managing Director, Juwi India said, “At Juwi, delighting customers come above everything else. We now have the unique distinction

of being the company that has commissioned the first projects in both DCR and open categories under the current phase of National Solar Mission. We will strive to continually meet and exceed our clients’ expectations.”

Setting Up Of Renewable Energy Projects

n order to provide low cost finance to renewable energy projec t s, Government announced its commitment in the budget for 2013-14 to provide funds from the National Clean Energy Fund (NCEF) to Indian Renewable Energy Development Agency (IREDA) to on-lend to viable 18

April-May 2015

renewable energy projects. Rs. 100 crore and Rs. 200 crore were released to IREDA for this purpose from NCEF in the year 2013-14 and 2014-15 respectively. This was stated by Sh. Piyush Goyal, Minister of State (IC) for Power, Coal & New and Renewable Energy in a written reply to a question in

the Lok Sabha. The Minister further stated that as per the Scheme not more than 30% of the outstanding loan amount shall be refinanced to Banks/ Financial Institutions, wherein the end-users will get said amount at a maximum rate of interest of 5% p.a. Renewable

power projects of about 200 MW are expected to be supported under the scheme, the Minister added.

www.EQMagLive.com

}

BUSINESS FINANCIAL

Govt To Approve 100 GW Solar Power In Few Days

he government is likely to approve in few days a final policy on adding 100 GW of solar power, as it targets energy generation of 175 GW from renewable sources by 2022. “Government has already approved 19 solar power parks, which would generate 12-13 GW. Policy approvals have been done. One final policy (on solar power) of (adding) 1,00,000 MW will be confirmed (approved) by the Cabinet in few days,” Power, New & Renewable energy Minister Piyush Goyal told reporters here. The minister was here to inaugurate the New Solar Passive Building of the National Institute of Solar Energy (NISE). Goyal also talked about taking on lease barren lands for

By 2022 175 GW Government Targets energy generation of 175 GW from renewable sources by 2022. setting up of solar power plants. “...despite the fact the opposition parties opposed our Land Reforms Bill, we are finding new avenues,” he said, adding that the government is working on an idea to get barren land on lease for setting solar energy projects. The Minister also announced establishment of International Solar Policy and Applications Agency, which would be a co-

For making micro projects viable, the minister said, “We are coming out with a policy by which it will be compulsory to take solar power (from micro projects) in the grid whenever the grid reaches the remote area. We are very confident that it will kickstart investments in this area.”

Approved

In Campus

Solar parks Government has already approved 19 solar power parks, which would generate 12-13 GW.

The minister also said a World Renewable Museum would be established at the NISE campus.

alition of Solar resource rich countries for the development of Solar Energy and Solar technology applications. This would help in addressing special energy needs of these countries and in the long run reduce reliance on fossil fuels by increasing share of solar power in the energy mix. The minister also said a World Renewable Museum would be established at the NISE campus. The institute is the apex National Centre of research and development in Solar Energy under New & Renewable Energy. It coordinates solar energy

research and technology related work in the country under the Jawaharlal Nehru National Solar Mission (JNNSM). The minister also launched a biomass knowledge portal which aims to disseminate information about effective use of biomass for power generation. The Portal would provide information about Biomass resource potential, latest technologies and technical inputs to set up grid connected as well as off-grid projects. Source : PTI

MoU Between India And Seychelles On Renewable Energy Cooperation

he Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, has given its approval for the signing of a Memorandum of Understanding (MoU) on

Renewable Energy Cooperation between India and Seychelles in March, 2015, during the visit of the Prime Minister to Seychelles.

The objective of the MoU is to strengthen, promote and develop Renewable energy cooperation between the two countries on the basis of equality and mutual benefit.The MoU

will also help in strengthening bilateral cooperation between the two countries in the field of renewable energy.

Orient Green Power Company: Outcome Of Board Meeting

rient Green Power C o m p a n y Lt d h a s informed BSE that the Board of Directors of the Company at its meeting held on May 07, 2015, has approved further issue of securities upto Rs. 5000 Million (Rupees Five Thousand Million Only ) through

Domestic/ international offerings by way of Foreign Currency Convertible Bonds (FCCB) and any other instruments, to Indian or Foreign Institutional investors / Foreign Mutual Funds/ Overseas Corporate B o d i e s / Fo r e i g n e r s / o t h e r Foreign parties/ Indian Financial

www.EQMagLive.com

In s tit u tio n s / Alt ern a tive investment Funds/ Qualified Institutional Buyers/ Companies/ individuals/other persons or investors , whether or not they are members of the Company, etc., pursuant to Section 62(1) (c) of the Companies Act, 2013, subject to approval of

the shareholders at the ensuing General Meeting, and subject to such other approvals as may be required. Source : BSE

April-May 2015

}

BUSINESS FINANCIAL

WTO Verdict On India’s Solar Dispute With US Soon

he WTO ruling on the US’ stand-off with India over the latter’s solar power programme is expected soon as the dispute settlement panel of multilateral trade body will have its final meeting next week.”This will be the final meeting of the panel. After that, its ruling will come,” an official

said adding “we have kept our fingers crossed on the ruling”.In February last year, the US had filed a complaint in the WTO alleging discrimination by India’s national solar mission against American products. After both the sides failed to reach an agreement to resolve the matter bilaterally,

the US approached the WTO for formation of the dispute panel under the WTO’s dispute settlement mechanism.As per the procedure of the World Trade Organisation (WTO), consultation is the first stage of a complaint filed with the GLOBAL TRADE body. The US had alleged that India’s programme

appears to discriminate against US solar equipment by requiring solar energy producers to use locally manufactured cells and by offering subsidies to those developers who use domestic equipment. It is also alleged that forced localisation requirement s res tric t US exp o r t s to Indiamarkets.On January 11, 2010, India launched its national solar policy -- the Jawaharlal Nehru National Solar Mission. India has an ambitious target of generating 20,000 megawatts of solar power by 2022.US companies, which have large manufacturing facilities, want to export solar power equipment to India which they consider as market with huge potential. The US solar industry wants India to remove the clause of local content requirement.

Suzlon Group Awarded 90MW Order By ReNew Power

uzlon Group, one of the leading wind turbine manufacturer, recently announced that it has won new order for 90 MW turnkey project from its existing customer, ReNew Power. ReNew Power is one of India’s largest Independent Power Producers (IPPs), with clean energy assets of more than 1000 MW of commissioned and underconstruction projects. Suzlon will install its revolutionary S97 120m Hybrid Tower WTGs (wind turbine generator) with rated capacity of 2.1MW in Ratlam district, Madhya Pradesh (MP). Suzlon will install 29 WTGs at the site Kode and 14 WTGs at Limbwas site in Ratlam district. The project is scheduled for commissioning by March 2016. The new order of 90 MW 20

April-May 2015

from ReNew Power being a repeat order reaffirms industry’s faith in Suzlon’s product portfolio and service capabilities. Suzlon has commissioned 98.70 MW for ReNew Power so far and 100.80 MW is currently under execution in Rajasthan.Suzlon will leverage its end-to-end wind solutions expertise to oversee the project operations. The S97 120m is World’s tallest Hybrid Tower designed to harness the wind energy across low wind sites. It is a combination of lattice and tubular structure which ensures higher yield and potential increase in power output by 12-14%. The project, jointly developed by ReNew Power and Suzlon is being executed by Suzlon as the EPC partner.Speaking on the occasion, Mr. Sumant Sinha, Chairman & CEO, ReNew

Power said, “As a leading energy company, our goal is to rapidly expand our business and we wanted to partner with a company that has the right capabilities and experience to understand our business nuances and requirements. The reason Suzlon is our preferred partner of choice is the synergy in our mission to deliver clean energy solutions to meet India’s rapidly expanding energy requirements as well as pave the way for a greener and more sustainable future.”Mr Tulsi Tanti, Chairman, Suzlon Group said, “The new order from ReNew Power demonstrates the customer confidence in our products and service capabilities. We are delighted to partner with ReNew Power to develop clean energy projects in India with our

next generation turbines. We will leverage our state of the art manufacturing facilities across India, best in class services and technological edge to ensure delivery excellence for this project.The Indian renewable market will witness a quantum leap in the next few years. Suzlon is best positioned to capitalize this opportunity with our 18 years of sustained market leadership and technology edge. India is a key focus market for Suzlon and we will partner with our clients to contribute towards enhancing India’s renewable energy portfolio.” Suzlon group is aligned to the vision of Make in India and Nation’s Energy security. Suzlon endeavours to bring down cost of energy and provide clean and affordable energy for all.

www.EQMagLive.com

}

BUSINESS FINANCIAL

Risen Energy To Invest A Total Of 96.72 Million USD To Set Up Internet Finance And Financial Leasing Subsidiaries company’s shares respectively.

16.12

80.6

Million USD to be supplied by Risen.

Registered capital is 80.6 million USD Once Established

45%

S e t tin g u p t h e two companies will accelerate Risen Group’s promotion of the ‘new energy + financial innovation + internet’ business, and will help implement the structure and strategic upgrade plan of the energy internet financial ecosystem. It will also expand the business scope, improving core competitiveness, profitability and risk resistance, which will form the new profit growth point. Due to the longtime stable income of new energy power stations and the channels of finance leasing companies, users can invest via the internet finance service subsidiary. For the duration of the investment , interest is paid to users automatically and when finished, the debt repurchase transactioncan be completed, achieving the organic integration

55%

eading professional solar PV manufacturer Risen Energy Co., Ltd will set up an internet finance service subsidiary to create a new ecosystem of energy production and consumption, investment and financing.The company will make use of its modern digital and mobile communications and internet technology by combining new energy power stations and the internet through cloud computing and big data. The registered capital for the project is about 16.12 million USD to be supplied by Risen. Moreover, Risen Energy and wholly owned subsidiary, Risen Energy (HongKong) Co., Ltd also plan to set up Risen Energy (Shanghai) Financial Leasing Co., Ltd. Registered capital is 80.6 million USD and once established, Risen Energy and Risen Energy (HongKong) will hold 55% and 45% of the new

R i s e n Risen Energy Energy (HongKong) R.E. and R.E. (HongKong) will hold 55% and 45% of the new company’s shares respectively.

of new energy power stations and internet finance.

the precursor and making the new energy power companiesthe main target markets, Risen Energy (Shanghai) Financial Leasing Co., Ltd will rely on the industrial base, channels and customers of Risen Energy to innovate PV financial products and profit modules in financial leasing and gradually expand to construction of solar supporting facilities with the innovative awareness of a professional finance lease management team and the perfect market. hairman Lin said that in future, Risen Energy (Shanghai) Financial Leasing Co., Ltd will develop in other industries along with national industrial policies,enabling it to become a comprehensive financial leasing company in the field of new energy, and laying a solid foundation for achieving the goal of greater global development.

By using financial leasing as

SECI And MPUVNL Enter Into JV Agreement For Setting Up Of Ultra Mega Solar Power Project

olar Energy Corporation of India (SECI) and Ma d hy a Pr a d e s h Urja Vikas Nigam Limited (MPUVN) have entered into an agreement on 08.05.2015 for incorporation of a Joint Ven t u re Co m p any f o r implementation of solar park(s), UMSPP(s) and other solar / re projects in the State of Madhya Pradesh. Initially a 750 MW Solar PV Project in Rewa is proposed to be undertaken under this Agreement.

MPUVN) and Dr. Ashvini Kumar (MD, SECI) in presence of Shri

The Agreement was signed by Shri Manu Srivastava (MD,

www.EQMagLive.com

Piyush Goyal, (Hon’ble Union Minister of State (I/C) for New

and Renewable energy , Power & Coal), Shri Rajendra Shukla (Hon’ble Minister GoMP, Energy, New & Renewable Energy, Mineral Resources and Public Relations), Shri Tarun Kapoor (Joint S e c r e t a r y, MNR E ), Shri R. N. Nayak (CMD, POWERGRID), , Sh. Rakesh Kumar (Director (PS), SECI), Sh. Rajeev B h a r d w aj (D i r e c t o r (HR), SECI), Sh. Mridul Khare (Dy. Commissioner, MPNRED) and officials from MNRE and World Bank.

April-May 2015

}

BUSINESS FINANCIAL

Technology Has Changed Carbon Politics:UN Climate Chief

echnological advances that have reduced prices and improved efficiency of renewable energy have helped transform the politics around climate change since 2009 when an attempt to forge a global deal on reducing greenhouse gas emissions failed, the UN climate chief said recently. Christiana Figueres, executive secretary of the U.N.Framework Convention on Climate Change, said countries were ahead of schedule in negotiating a landmark agreement on curbing greenhouse gases that can be adopted at a Paris summit in December.”We’re in a very, very different position to Copenhagen not just from a procedural point of view, but from many other points of view,” Figueres told reporters during a visit to Australia. Figueres, who became

the UN climate chief in 2010 following the Copenhagen summit’s failure to reach agreement on cutting emissions, said technological advances were the first of several factors that had created “a very changed political environment.”The price of solar panels has plummeted 80 per cent since Copenhagen. Panels are also 40 per cent more efficient, thanks to technologies that include Tesla batteries that can store solar electricity in homes.The cost of solar power was already the same or cheaper than power from the grid in at least 60 countries, she saidINVESTMENTS in solar, wind and geothermal energy technologies have increased massively since Copenhagen, demonstrating “confidence that theINVESTMENT into clean technologies is viable and is profitable,” she said.

Last year, a record USD 271 billion wasINVESTED in renewable energy, with the growth of renewable electricity capacity outpacing the growth in fossil fuel-fired capacity, she said.The number of laws and regulations around renewable energy and climate change had increased 20-fold since Copenhagen, indicating that the world’s regulatory framework was headed toward a cleaner energy mix, she said.

UN negotiators in February produced an early draft of what eventually should become a landmark climate deal in Paris. The draft was produced four months ahead of schedule. The latest version has just 47 pages.

“That is remarkably different to where we were in the lead up to Copenhagen where we did not have an official negotiating text, where we had 300 pages of compilation of texts, but certainly no negotiating text.” -Christiana Figueres Executive secretary of the U.N.Framework Convention on Climate Change

Now Read on

Tablet & Smartphone 22

April-May 2015

www.EQMagLive.com

www.EQMaglive.com

}

BUSINESS FINANCIAL

Sterling And Wilson To Set Up 50 MW Solar Power Plant For NTPC In Andhra Pradesh

terling and Wilson, part of Shapoorji Pallonji Group and one of India’s leading solar EPC companies with over 350MW of solar projects spread across 13 states, has been awarded with the contract of setting up a 50 MW Solar Power Plant by NTPC a Maharatna company near Kadiri, Anantapur, Andhra Pradesh. Sterling and Wilson’s scope of work includes design, engineering, supply, installation & commissioning of Grid connected 50 MWp Solar PV project on a turnkey basis. Additionally, Sterling and Wilson will also be responsible for carrying out the operation and maintenance of the solar power plant for a period of 5 years. Sterling and Wilson will use domestic cells and modules

for this project in accordance to PM Narendra Modi’s theme of “Make in India”, thereby extending a helping hand to the Indian Cells & Module Industry. Speaking on the new solar project to be set up for NTPC, Mr. Bikesh Ogra, President, Sterling and Wilson, Electrical & Solar Business said

“It’s an honor to partner with NTPC and be entrusted with the responsibility of setting up their 50 MWp Solar PV project in Anantapur. The plant designing will adhere to Indian & International standards and shall meet the stringent NTPC technical specifications. We will also take care of the operations

and maintenance of this plant for the next 5 years from the date of successful completion of its trial run. With over 350 MWs of solar power plant installations across the country, Sterling & Wilson, possesses a dedicated pool of more than 200 experienced in-house professionals who excel in Design, Operations and Maintenance, Engineering and Project execution to ensure we surpass quality and safety standards in all of our installed Solar PV plants.” Sterling and Wilson is expected to complete the project within 12 months from the date of commencement of work.

When your application needs durability, ease of handling and custom options, Allied Moulded Enclosure Products has the enclosure to meet your demands. Our impact resistant, maintenance-free fiberglass enclosures are designed to protect against the toughest elements in the most harsh environments. Call us today to learn more about our enclosure solutions.

ALLIED MOULDED ENCLOSURE PRODUCTS EQ April-May 2015 23 (INDIA) Pvt. Ltd.

I N T ERV I EW

Exclusive Interview with Subrata Mukherjee -SUBRATA MUKHERJEE – M. D. And CEO, SOVA Power Ltd.

EQ : What is the current production capacity of your company SM : Currently our installed capacity is 100 MW and we are scaling up to 200 MW by beginning of 3rd quarter this fiscal. We are going for expansion with German Technology. EQ : How much has been the sale to India and what does the future look like SM : Indian solar market scenario is better with increasing market volume and there is a general feel good factor in play in the economy and we are already feeling that market is getting better every day. I suppose there should be a huge upswing in demand and India market will be having strong demand in the coming years too. EQ : Please enlighten us on the thin film vs. c-si debate (explain with market share, performance etc…..in detail). Market share of thin film makers such as CDTE, CIGS, CIS, a-Si have been steadily increasing and their performance in hotter climates such as India is reportedly better than c-Si…please comment and clarify on this.

SM : Historically speaking c-Si technology has always been a better choice for PV developers both commercially as well as from the environmental perspective. I believe that c-Si technology will be going strong in the coming years as it has a competitive advantage over a-Si technologies in terms of better efficiencies and since in India land usage is one of the vital issues, this is going to play a major role. Moreover the price trends that we see in the market it favors the c-Si technology much more. Plus the environmental factors like dust and heat are going to be major deterrents for the growth of a-Si technology in this country. EQ : What changes have your experienced in selling PV in last 5 years SM : The markets has matured steadily and today the people are much more aware about the subject than 5 years ago. And it’s a very good sign and I hope Solar will be one of the main stream sources of energy for the masses soon. Quality consciousness of the customers has increased and it is good for the future growth of the market. SOVA has always been keen to promote the quality and thus we always stick to standards of QA which area benchmark for

EQ : How can Indian companies do better in this business globally SM : Today, we Indian are one of the most competitive players in this Industry and our only credible competitors are Chinese players. Today Indian companies are not having the scale in order to counter the Chinese but still we are close to them globally if you consider Price vs Quality curve point. What this industry needs today is better infrastructure in terms of road and railway connectivity and which can ensure better delivery and less transit time and delay on road. Better seaports and airports to cut trans-shipment time and cost. Foreign remittances, both incoming and outgoing, should be processed faster. Since we have to face global competition in this business there should be some parity in bank interest rates and bank charges with international standards. The other very important issue that I believe is the weakest point for the Indian Solar industry is the lack of backward integration and domestic supplier base, and it could be addressed if credit can be provided to entrepreneurs to scale up capacities and build reliable supplier base domestically. I believe we can achieve a better position in the markets globally against any competitor, including Chinese, even without the incentive support that China govt. provides its companies.

April-May 2015

www.EQMagLive.com

this industry. Apart from that awareness and market potential in Rural area through Solar Pump and Roof top Solar Power is cropping up. Big companies are coming up which are making the market more qualitative and competitive. Various Megawatt and Ultra Megawatt level customer enquiries are emerging. EQ : What s the roadmap for production rampup for your co and further growth in terms of technology, output of your products SM : We are hopeful of a major growth to take place in the market and we have envisioned a growth up to 3 GW till 2020, with the 1st phase already underway where we are increasing our capacity to 500 MW from 100 MW

www.EQMagLive.com

presently which will be 200 MW before the Q3, 2015. We had initially started with American technology and now we have tied up with German technology solution provider Team Technik, who are the pioneers of these technologies. Though we have commissioned SPV Power Plant upto Megawatt level but this year we are entering into big Kilowatt and Megawatt level projects in fresh way. EQ : Do you foresee a further drop in the prices of PV and to what extent SM : I feel that the market is now at a position where Solar can compete with renewable energy sources and the way the major economies (mainly USA, China and India) are focusing on renewable energy there should not be

any steep price fall and there is chances of the market firming up in the 2nd half of the year when the real projects executions begin. Therefore prices, in my opinion, are going to be stable and markets should expand globally. EQ : What is the annual expenditure on R&D and how much is it as a % of total sales SM : SOVA is dedicated and committed to maintain high quality benchmark which sets us as the industry’s bellwether and we are spending approx. 1.5% of our turnover for development of new products and manufacturing capabilities. We are tied up with BESU, India’s one of the oldest university for R&D and development.

April-May 2015

SO L A R ENERGY

SunEdison Announces Acquisition Of Seven Renewable Energy Portfolios And Corporate Platforms In Brazil, China, India, Peru, Chile, South Africa, And Uruguay

unEdison, Inc.the world’s largest renewable energy development company, recently announced the signature of definitive agreements to acquire five portfolios of renewable energy projects and two corporate platforms, LAP Holding, BV in Latin America and two subsidiaries of Honiton Energy Holding, Ltd., in China, as well as the closing of equity investments and an acquisition debt facility for its emerging markets initiatives.Through these combined transactions, SunEdison will secure 757 MW of operating projects and 1,918 MW of ROFO projects, of which 534 MW are operating ROFO projects enhancing visibility into acquisition opportunities in emerging markets. In addition to the projects represented in the table above, the LAP transaction also benefits the SunEdison development division by securing 204 MW of backlog projects with dollar denominated power purchase agreements (PPAs) and 659 MW of development pipeline projects in Peru and Chile to further strengthen its organic development business. “As we described in our Capital Markets Day in February, SunEdison intends to act quickly to address the opportunity in emerging markets, where the majority of future global electric power infrastructure investments will be deployed,” said Ahmad Chatila, CEO of SunEdison. “In aggregate, these seven transactions bolster our emerging markets platform. These acquisitions are the result of an extensive global search for the best development partners in each of our target markets - partners with operating fleets of high quality power plants with long-term contracts with creditworthy 26

April-May 2015

counterparties. Our announcement today is the first stage in our plan to move rapidly to capitalize on the opportunity to provide clean, renewable, cost-efficient power to the fast-growing emerging markets.”In connection with the referenced acquisitions, SunEdison announced today that Blackstone Group, Everstream Opportunities Fund II and Altai Capital Management have made an investment of $175 million in a SunEdison subsidiary. SunEdison also announced that it has secured a $362 million non-recourse acquisition facility (the “Acquisition Bridge Facility”) for the emerging market initiatives with JPMorgan Chase Bank, Barclays, Citi and Morgan Stanley. Proceeds of the Acquisition Bridge are available for the funding of third party acquisitions of operating renewable energy projects. The remainder of the funds required in connection with the acquisitions will be raised through capital markets transactions. The power plants to be acquired through these transactions have highquality counterparties including sovereign governments and large utilities, and have a weighted average remaining contract life of 17 years. These transactions are expected to close in either the second or third quarter of 2015, subject to regulatory approvals, third-party consents and customary closing conditions.

Renova (Brazil wind and hydro) Building on a long-standing strategic relationship, SunEdison has signed a definitive agreement to acquire 336 MW of operating wind and hydropower assets

from Renova Energia, the largest renewable energy company in Brazil. The definitive agreement also provides SunEdison with a ROFO for 1,870 MW of renewable energy projects, of which 534 MW are operating projects and the remainder are contracted backlog projects, as well as a ROFO for future pipeline projects developed by Renova. In addition, SunEdison has signed a Letter of Intent to buy a 16% stake in Renova that also includes the ability to transition the ROFO projects to call right projects for SunEdison with pre-determined prices. The operating assets have long-term PPAs with investment grade off-takers. The Renova asset acquisition also marks the entry of SunEdison into the Brazilian hydropower market.

Honiton Energy Acquisition (China wind) SunEdison has signed a definitive agreement to acquire two Chinese wind development and operations and maintenance companies from Honiton Energy Holding, Ltd., that own 150 MW of operating utility-scale wind power plants in China. The acquisition marks SunEdison’s entry into the Chinese wind market and includes 50 employees who will join SunEdison, providing local expertise in the wind power market. SunEdison will acquire three wind farms of 50 MW each, located in Inner Mongolia, China, which are contracted under the Chinese government long-term fixed feed-in tariff program. All power is sold to the Inner Mongolia Power (Group) Co. Ltd. The wind farms began delivering power between 2008 and 2011.

www.EQMagLive.com

FERSA Assets Acquisition (India wind) SunEdison has signed a definitive agreement to acquire 102 MW of operating wind power plants in India from Spain-based Fersa Energías Renovables, SA (BME: FRS). SunEdison will acquire an operating portfolio consisting of the Hanumanhatti, Gadag and Bhakraniwind farms located in the states of Karnataka and Rajhastan, India. The assets each have long-term PPAs in place with investment grade off-takers.

LAP Assets Acquisition (Peru hydro) SunEdison has signed a definitive agreement to acquire Latin American Power (LAP), a leading hydropower and wind energy producer in Chile and Peru. Through this platform acquisition, SunEdison will expand its presence in the global wind power market and in Latin America. LAP will also become the global hydropower development platform for SunEdison. Through the transaction, SunEdison will acquire the following projects:

•

73 MW : Peru : Operating hydropower plants

•

46 MW : Chile : Operating wind plant

•

204 MW : Chile :Under construction wind and hydropower projects (COD 2015-2016)

www.EQMagLive.com

•

48 MW : Peru :Development-stage hydropower project (PPA awarded)

•

613 MW: Chile :Developmentstage wind, solar, and hydropower projects

The six operating hydropower plants in Peru have long-term PPAs in place with investment grade off-takers. The PPAs for all of these plants are denominated in U.S. dollars.

Chint Assets Acquisiton (India solar) SunEdison has signed a definitive agreement to buy out the 51% equity interest from its partner, an affiliate of Chint Solar (Zhejang) Co. Ltd, in the 23.1 MW solar project NSM 24 located in India. NSM 24 is an operating solar project in Rajastan, India, and upon completion of the acquisition, SunEdison will own 100% of the project. The counterparty to the PPA is NVVN, a wholly owned subsidiary of NTPC Limited, the largest state owned energy producer in India.

South Africa wind & solar SunEdison has signed a definitive agreement to buy a 70% interest in a diversified portfolio of projects with a leading South African renewable energy company with a gross capacity of 34 MW AC. The operating portfolio consists of two 7.5 MW AC solar power plants in the

Northern Cape Province of South Africa and a 18.9 MW AC wind farm in the Western Cape Province of South Africa. The power plants are contracted under 20year fixed-price PPAs with Eskom, South Africa’s largest state-owned power utility. As part of the agreement, SunEdison will assume management responsibilities for the power plants beginning one year after the transaction closing date.

Solarpack (Uruguay solar) SunEdison has signed a definitive agreement to acquire a 100% equity interest in Alto Cielo, S.A., a special purpose vehicle owning a 26 MW solar power project under construction in Uruguay. SunEdison is purchasing Alto Cielo from Solarpack Corporación Tecnológica, S.L., a multinational solar power development company based in Spain. The Alto Cielo project is located in the Tomás Gomensoro locality, Artigas Department, Uruguay, and is expected to be interconnected in the fourth quarter of 2015. The project is contracted under a U.S. dollar-denominated, 28-year PPA with the National Administration of Power Plants and Electrical Transmissions (UTE), Uruguay’s state-owned utility. Under the terms of the PPA, UTE will purchase all energy produced by the Alto Cielo project for the duration of the contract. Uruguay is one of a select group of investment-grade markets in the region.

April-May 2015

SO L A R ENERGY

Shri Piyush Goyal Inaugurates New Solar Passive Building Of The National Institute Of Solar Energy

hri Piyush Goyal, Union Minister of State (IC) for Power, Coal and New and renewable energy , inaugurated “ Surya Bhawan” the New Solar Passive Building of the National Institute of Solar Energy situated in Gurgaon, Haryana. The National Institute of Solar Energy (NISE) is the apex National Centre of research and development in Solar Energy under administrative control of the Ministry of New & Renewable Energy, Government of India. It coordinates solar energy research & technology related work in the country under the Jawaharlal Nehru National Solar Mission (JNNSM). On the occasion, Shri Goyal also launched a Biomass knowledge portal which aims to disseminate information about effective use of Biomass for Power generation. The Portal would provide information about Biomass resource potential, latest technologies and technical inputs to setup grid connected as well as off-grid projects. Following the Inauguration of the New Building, the Minister visited various Solar projects in the Campus. The campus of National Institute of Solar Energy would soon meet all its electrical requirements from the

April-May 2015

In coming days, role of the NISE will take quantum growth particularly when energy security of the country is intrinsically linked with success of renewable energy mission. -Piyush Goyal Solar Power Projects setup in the campus with Solar Thermal and Solar Photovoltaic Technologies. The NISE is aiming towards becoming a NET ZERO Electricity Centre L au din g th e role an d contribution of all officers and students of NISE in establishing this Institute , Shri Goyal said “in coming days, role of the NISE will take quantum growth particularly when energy security of the country is intrinsically linked with success of renewable energy mission.” He further said that our efforts to reach 175000MW of RE shouldn’t be completed by 2022 but by 2019-20 by putting all of

our efforts. The Minister also announce establishment of International Solar Policy and Applications Agency which would be a coalition of Solar resource rich countries for the development of Solar Energy and Solar technology applications. This would help in addressing special energy needs of these countries and in the long run reduce reliance on fossil fuels by increasing the share of Solar Energy in the energy mix. The Minister also announced preparation of establishing World Renewable Museum in the NISE campus. Shri R.P Wattal, Secretary

www.EQMagLive.com

(Expenditure), Shri Upendra Tripathy, Secretary MNRE, CMD NBCC and Additional Chief Secretary, Haryana were present on the Occasion.

Nehru National Solar Mission (JNNSM). The National Institute of Solar Energy has been registered as a society on 28th October, 2013.

In view the technical responsibilities assigned and requirements of JNNSM, NISE has organize itself in following Five Technical Verticals.

About National Institute of Solar Energy( NISE) , Gurgaon

The National Institute of Solar Energy (formerly Solar Energy Centre) has been involved in demonstration, standardization, interactive research, training and testing solar technologies and systems. The Photovoltaic Division at NISE is maintaining a NABL accredited PV module testing laboratory, lighting system test laboratory, battery testing facility and a water pumping system test rig and outdoor test facilities.

•

Solar Photovoltaic Division

•

Solar Thermal Division

•

Resource Assessment and Information Technology Division

•

Hydrogen Division

•

Training and HRD Division

National Institute of Solar Energy (NISE) is the apex National Centre of research and development in Solar Energy under administrative control of the Ministry of New &Renewable Energy, Government of India. It coordinates research & technology related work under the Jawaharlal

About Green flagging establishment of International Solar Policy and Applications Agency :

Activities proposed during 2015-16 The year 2015-16 is the second year of NISE to function as autonomous institution. In line with the technical responsibilities assigned to NISE and requirements of JNNSM, it would become inevitable to upscale various facilities at NISE and create new facilities.

s are proposed Following activitie ring 2015-16 to be taken up du

Up -gradation of SPV module test facility Up -gradation of so la r cell te st

1 2

facility

3 4 5

of Expand st e t y r e batt facility

En la rg e SP V water pum ping test facility and other labs.

Renovation of wo rk sh op facility Establishment of R&D monitoring Se tti ng up of 50 0 kW SPV p ow er pl an t &Solar collector of 60 m2 area.

The charter of activities of INSPAA may include • • •

Human Resource Development: Business to Business Collaboration: Innovative Financing Mechanisms:

•

IN-SPAA is p ro p o s ed to have institutional set up with an Assembly, Council and a Secretariat. However, it will be subjec t to member countries ratification.

www.EQMagLive.com

cell

of Up - gr ad at io n bs La l ma Solar Ther

• Joint Research and Development to promote energy access & energy equity: • Manufacturing eco-system: • Development of Common Standards and Test Procedures: • Technology Transfer

Es ta blish m en t of IT cell

3. 4.

•

It is proposed to establish its Secretariat at the National Institute of Solar Energy.

Hon’ble Prime Minister, during his address in the RE-INVEST 2015 had given the idea to bring solar resource rich nations together to jointly address their challenges of energy security. Accordingly, it is proposed to start a coalition of solar resource rich countries for the development of solar energy and solar technology applications. This would help in addressing special energy needs of these countries and in the long run reduce reliance on fossil fuels by increasing the share of solar energy in the energy mix. The coalition is proposed to be named as International Solar Policy and Applications Agency (IN-SPAA). Solar resource rich countries between the Tropic of Cancer and the Tropic of Capricorn which lie at 23.5 degrees latitude on either side of the equator are proposed to be members of this agency.

•

The scope of INSPAA will be dynamic, depending on emerging challenges.

April-May 2015

SO L A R ENERGY

Switch To Solar - Anchor Electricals Makes A Robust Foray In The Solar Space With Panasonic “Hit” And Anchor “Poly/ Mono” Solar PV Modules. -Takaki Oguri Managing Director Anchor Electricals Pvt. Ltd.

April-May 2015

• Targets Off-Grid, Captive-grid connected & MW scale projects and gears up with a strong EPC team for fiscal year 2015-16. Taking a step ahead towards becoming an energy-solutions provider, Anchor Electricals Pvt. Ltd. (a 100% wholly owned subsidiary of Panasonic Corporation, Japan) has forayed in the Solar sector from March 2014. It is aggressively targeting captive grid projects, small off-grid projects and MW scale projects in the upcoming year. Mr. Takaki Oguri (Jt. Managing Director) Anchor Electricals stated in a special interview about this budding venture of Anchor. He states, “Panasonic Eco Solutions (A Panasonic Corporation Group Company) manufactures its high efficiency HIT Solar PV Modules in its Japan and Malaysia manufacturing facilities. Panasonic always been leading the R&D efforts in bringing efficiency improvements in the HIT Modules and reliability to the projects. Anchor Electricals Pvt. Ltd (a 100% wholly owned subsidiary of Panasonic Eco Solutions Company) introduced the HIT PV Modules in India in April 2014 and response from the market has been very heartening.” The high-efficiency Heterojunction Intrinsic Thin Layer (HIT) Modules focus on four major parameters. • Space Efficiency: Approx 40 - 45% additional energy generation compared to other commercially available technologies on the unit area usage basis. Higher Commercial Efficiency rate of 19.4% compared to 15 -15.2% provided by conventional modules • Negative Temperature coefficient: 6 to 7% additional Energy Generation This parameter provides additional energy generation when temperatures rise beyond standard conditions of Solar PV Modules. * Annual Average temperature in India is 40 - 50% more than standard testing conditions. • Low Luminance Sensitivity: Hybrid technology enables HIT Modules to generate power for maximum hours in a day. The quintessential benefit that the modules offer is their ability to generate power even during low light conditions. • High Durability and Reliability: The HIT Modules offer a higher reliability

rate of 99.9964%, as certified by global International Rating Agencies. Anchor is targeting captive grid connected projects aggressively through these high efficiency HIT Modules. Currently the Solar Industry in India is driven due to cost pressures and contractors and technology players are fighting for margins. Solar Tariff based on reverse bidding has brought the tariff of solar projects down, however the investors are on cheaper capital costs. This has put pressure on the efficiency and reliability on the product quality in the sector. We believe the present Government would focus on developing clear policies. It has already revised the Solar capacity addition plan to 100 GW from 20 GW as proposed by the previous Government. We would ensure that as the Solar industry consolidates, we will position our Solar Business as a strong pillar of growth for India and its neighboring countries. Anchor Electricals Pvt. Ltd. has also unveiled high quality, reliable Poly & Mono Crystalline Solar PV Modules for India. Our current focus is on providing endto-end solutions to our customers. Solar Business of Anchor will play a vital role in developing smart-city projects in the near future from the energy-generation perspective. We believe that good quality products, reliable technological tie-ups and robust engineering design are key to sustainable success in the Indian Solar Market. Anchor has formed a formidable EPC development unit in Bangalore, which brings immense experience of PV Cell and Module Knowledge, Inverter and Balance of System design knowledge, high level of Project Management Capability and Site execution and management strength having executed many successful Roof top and MW scale utility solar PV projects in India and Abroad. The combination of quality modules and strong EPC team will bring credibility, high level of commitment and long term support to our clients. Mr. Oguri believes that that Solar power will play a major role in substituting part of the Grid Power India for the industrial and commercial premises and Panasonic is well poised to position itself as a strong contender in this space as both a module manufacturer/supplier and also as an EPC Service provider.

www.EQMagLive.com

UJJAIN

SO L A R ENERGY

Fortum 10 MW Solar Power Plant At Village Kapeli, Tehsil Tarana Dist - Ujjain, Madhya Pradesh

M.P.

INTRODUCTION

his project has been awarded to subsidiary of Fortum India i.e M/s Fortum FinnSurya Energy Pvt Ltd under JNNSM where bid has been invited by Solar Energy Corporation of India under phase – II batch I. Company has signed long term PPA for 25 years with SECI at the rate of Rs. 5.45/per kWh.

DED AWAR WER PO SOLAR OJECT PR PLANT

The 10MW solar power plant spreads over about 70 acres in village Kapeli, Dist. Ujjain, Madhya Pradesh. Fortum has adopted a thin-film CdTe technology with more than 1,25,000 modules mounted on fixed tilt structures and 15 central invertors are used, which allows for better control of carbon footprint, water use and energy payback time. Using Solar PV modules, solar power generates DC electricity which is converted into AC power and then by using a power transformer it fed electricity to the grid at higher voltage.

TECHNOLOGY

SAFETY Fortum has been recognized across the globe for its “Zero tolerance of Incidents or Accidents” at the plant and has also adopted Safety Ground Rules for this plant as well.

The company has implemented various safety measures like – •

Entry level registrations

•

Speed limit of vehicles within the plant

•

CCTV surveillance

•

Security Guards to keep strangers away from

the plant

•

Compliance with the labour laws

•

Zero tolerance on child labour

•

Provide Safety equipments to every worker

who has been part of the project

•

Provided employment to the local community

during the development of the project

www.EQMagLive.com

Fortum has partnered with First Solar to supply more than 1,25,000 Thin film Cd-te technology modules for this power plant. This Cd-te technology has multiple proven advantages over other technology and also provide higher generation in the hot climate. Schneider has provided 15 central invertors to convert generated DC electricity to AC. and European EPC Contractor Juwi has been a turkey solution provider in the process of development.

PERFORMANCE Though it’s a short term analysis, however it is quite encouraging to witness the plant generating approximately 68897.360 MWH in the first four months. The plant is also expected to reduce CO2 emission by approx. 18000 metric tonnes every year.

CONCLUSION Fortum believes in responsible energy production focusing on low emissions, high resource efficiency and security of energy supply in India. With this 10 MW plant, Fortum has taken a leap forward to build a platform for future growth with solar technology offering an opportunity for sustainable and CO2-free energy production.

April-May 2015

SO L A R ENERGY

Anniversary of 15 MW Solar Power Park Using Seraphim Modules

ecently, the biggest solar project in India using Seraphim modules has been successfully running one year; this 15MW project locates in Karur District, Tamil Nadu, and the project is installed in phases, the first phase of the project (5 MW) was commissioned in a very short time period of 70 days and the entire 15 MW project

was completed in 82 days from start to finish. The Solar panels used are high efficiency 250/255 Wp EzBox™ panels, with Thresher Certificate (triple IEC61215 + 61730 certification) and Chubb insurance for the power generation. 900 kW SMA high efficiency

Power evacuation is through a 33 kV dedicated feeder connected to the substation through a 33 /110 kV Transformer. This project is one of the few truly modular energy parks in the composition of 5 x 33 kV to feed as below: 1 x 10 MW/ 1 x 2 MW/ 3 x 1 MW Energy generating systems Each part is metered separately and comes with a final metering for the entire 15MWp. This is the very first time in India that power plants installed in this unique concept. Under this model, the overall cost for the individual developers is highly decreased, because the cost of main infrastructure of roads, cleaning, transmission line, as well as the Operation and Maintenance of the plant are shared by the owners

April-May 2015

outdoor inverters are used. The entire installation is outdoor type with sandwich type bus bars interfacing the LT side to the transformers and power evacuation has been done at the 33 kV level. All the inverter stations are outdoor model to reduce the civil cost Prominent features of the project:

The followin g options a re made ava ila ble to the Ind ust ry :

• Combination R E • REC + Captiv C + PPA with TANGEDCO e consumption • REC + Energ yW • REC + private heeling Agreement option P PA / third part

y sales of Pow er

www.EQMagLive.com

Different from traditional Single Junction Box modules, we put three ones on. It can benefit customers from below aspects, while strongly recommend for MW solar power plant: A) 3-Way design junction box makes it feasible to save cable length and bus bar used. Cable length in Negative 355mm/Positive 255mm compared with general 900mm in symmetrical length. B) Series resistance is lowered, which brings power efficiency im-

provement for the module. C) Connection between modules is optimized to reduce installation cost by shortening the time. D) Diode heating issue avoided to strengthen the safety. E) Separate junction boxes can dissipate heat quickly, which guarantees both module and power plant’s long-term stable performance. This is the first time that Seraphim’s EzBox™ modules used in India; it will be widely accepted by customers in the foreseeable future, because of its great benefits to developers and EPC companies from both time and cost.

As the words from the project developer said, “Thanks to the performance of SERAPHIM Modules & the excellent engineering by ourselves and the German Team together, the plant runs very well and no degradation or traces of degradation is witnessed till now”, this is the best reward to Seraphim’s long-term insistence on providing customers with high quality products. Furthermore, we devote ourselves to facing the local challenges from different markets, for examples, we notice that more and more customers India come across the problem of insufficient module output, in Seraphim, we have the world’s first certificate from TUV named “On-site Power Measurement Validation”. In every aspect of our measurement, Seraphim follows the standard defined by TUV to guarantee our tests’ accuracy, traceability and stability through the control of environment conditions, simulator maintenance,

www.EQMagLive.com

3. 4.

reference modules and testing procedures etc. Another problem that bothers India customers is the increasing micro-crack phenomenon, in order to eliminate the concern of customers; from our side, we totally have three times EL tests, the last time is before the delivery, to make sure each panel delivered to our customers are fully tested and qualified. Besides, our unique ERP system provides easy traceability on every panel’s every detail in production procedure, like production time, process parameters, operators and all test reports on this panel.

Since Seraphim is the world’s first company to pass TUV developed “Thresher Test” which is based on 3 times stringent testing standard than regular IEC61215+IEC61730, the modules that pass this test can offer a much higher level of confidence in terms of long-term reliability as compared to those in standard certification. Below is the general test standard of the “Thresher Test”

This project is the fruit of three parties close cooperation among teams from Germany, China and India. Seraphim is responsible for the module supply, while teams from Germany and India working together on project engineering. Installation and OM is held by local India team.

“Seraphim have been committed to providing customers with the most costeffective photovoltaic products. I’m glad to see that customers show great satisfaction with our modules. Seraphim Strict quality management system guarantee high quality product, our modules have widely proven with excellent performance in many areas, especially in some harsh environments such as Ammonia, Fire and Salt Mist corrosion” Executive GM of Seraphim, Mr. Justin said, “Seraphim was founded in 2009, by the end of this year, our annual capacity will reach 1GW. It’s a new beginning for Seraphim; it brings new opportunities as well as challenges, makes it compulsory to upgrade our product, management, the manufacturing, etc. ” Last week, Seraphim just launched its totally new website, more convenient to check detail information about Seraphim.

SOL A R ENERGY

This projec t adopt s S e r a p him ’s u n i q u e E zB ox™ m o d u l e as below-

Seraphim Solar System as a global PV product supplier can provide high quality products which cover from cell, module, system integration and OEM/ODM service.

April-May 2015

SO L A R ENERGY

Vikram Solar Commissions 40 MW PV Plant In Madhya Pradesh

PC and tier 1 (Bloomberg) module manufacturer Vikram Solar has successfully commissioned a 40 MW solar plant for IL&FS Energy Development Company Limited (IEDCL). Vikram has also won a ten-year O&M (operations and maintenance) contract for the installation. The project was awarded to IL&FS Energy Development Company Ltd by Solar Energy Corporation of India (SECI) as part of the Jawaharlal Nehru National Solar Mission (JNNSM) Phase-II, Batch-I scheme run by the Indian Ministry of New and Renewable Energy (MNRE). The plant is located in Madhya Pradesh and was installed within six months in two phases of 20 MW each. Gyanesh Chaudhary, CEO and Managing Director of Vikram Solar, explains: “Vikram Solar is very proud to have been entrusted with this project. Recognising the potential of this prestigious scheme, Vikram Solar focussed its expertise to meet the challenge 34

April-May 2015

of completing both phases within the given deadline of six months. This plant is therefore one of the flagship projects under the JNNSM Phase-2 scheme.” Mr Sunil Wadhwa, Managing Director of IL&FS Energy, stated: “We are pleased to join hands with Vikram Solar for this prestigious project, which will set a benchmark in the country in terms of its design and execution standards.” The plant is built using VikramSolar’s high-efficiency Eldora 250 polycrystalline PV modules spread over 260 acres of land. It is connected to a 132 kV transmission line. Vikram Solar was responsible for the design, engineering, procurement, supply, construction, erection and commissioning. Connected to the national grid, the solar power plant is expected to generate an average of 79,200,000 kWh in its first full year of operation.

M.P.

Sunil Rathi, President (Sales) of Vikram Solar, stated: “We use modules that are manufactured in Falta, West Bengal using PV cells made exclusively in India. We rely on products made in India in order to promote local production of solar components, and this was also the case for the cells and modules mandated by SECI in JNNSM Phase-2.” Mr Keshav Prasad, Head of Solar for IL&FS Energy, adds: “We believe that Vikram Solar, with its expertise in domestic solar module manufacturing and experience in setting up utility-scale solar projects, was the best choice for this project, and we hope to work together again in future.”

www.EQMagLive.com

-Basant Jain CEO, Mahindra Susten

developed to achieve this target…Man

branded itself from Mahindra EPC to

Power, Critical Infrastructure (Land,

Mahindra Susten, please tell us more

Power Evacuation, Green corridors,

about it.

Finance etc…)

BJ : With over 350 MW of projects,

BJ : In order to fast track growth and

half a million sq. ft. of Industrial

meet the targets set by the government,

construction, and a growing product line,

allocation of land banks and access to

we at Mahindra Susten are proud of having

cheap finance are really important for

positively impacted millions of lives. The

any developer. Additionally, development

new name represents our ambition to

and up grading the existing grid and

innovate and deliver sustainable offerings

evacuation infrastructure, single window

for a cleaner and smarter future. The

clearance for quicker approvals and policy

name ‘Susten’ is derived from two words,

clarity will lead to achievement of this

‘Sustainability’ and ‘Enabler’ and reflects

goal. The MNRE with support of the

the aspiration of the company that seeks

government and agencies like IREDA,

to positively impact more lives and emerge

CII, FICCI and PSUs has been proactive,

as a thought leader in the sustainable

taking several constructive steps like

engineering space.

development of solar parks & UMPPs,

I N T ERV I EW

Exclusive Interview With Basant Jain

EQ : Your company has recently re-

working with financing agencies to create EQ : Are you Excited about the New

green bonds, setting up meetings with

JNNSM Target of 100GW by 2022...Is

international agencies, attempting dollar

it realistic?

linked tariff bidding and setting up the SETNET for human resources training and

BJ : At the outset, let me congratulate

development. These will provide a much

the government for its vision and for

required boost to implement fast track

spotting the opportunity to make India

installations across the country.

energy secure and independent of fossil fuel based fluctuations.

EQ : What’s your view on the New Mr. Modi led BJP government…Expectations

There is speculation in the industry

Met?

regarding the achievement of 100 GW, but we are sure that the Government’s

BJ : The NDA government has just

approvals and action plans, expected soon,

completed a year in office. I wouldn’t

will clear a lot of the speculation. On our

say everything is perfect but if I were

part, we are very excited by the positivity

to look at the glass it is definitely half –

in the Indian solar market, and though

full, against half-empty. It has made the

the target is ambitious (being 30X of our

right moves and the mood is definitely

current installed base of about 3.7 GW)

positive in the industry. The focus on

we believe that with a few strong steps

energy security of the country while at the

we can achieve this goal.

same time reduction of carbon emissions is a great move. They have taken a few

What has clearly happened is that the

bold steps in making renewables the focus

renewed solar targets as well as the Make

for the country and we support that view

in India campaign have made India one of

completely.

the hotspots for solar installations, and we see a lot of expectations in the industry.

To be fair, one year is too short a time

We are hopeful that the government and

to give a final verdict but we are definitely

MNRE will continue taking these concrete

impressed with the government’s focus

steps.

and their ability to think out of the box. If progress is made in the right spirit and

EQ : What resources need to be

www.EQMagLive.com

we do reach 100 GW solar capacity, about

April-May 2015

9% of India’s electricity requirement will be

timely delivery, quality assets and value

0.164) / kWh. In the US, loan guarantees

met by solar alone (currently 0.5 percent).

engineering – causing the industry to move

are available for early projects, enabling

India would then surpass Germany, at 6%

towards the top players for their projects.

lower interest rates for investment into

through solar. This highlights India’s focus

RE. There are also the clean energy banks

on reducing its carbon emissions, showcasing

At Mahindra Susten, we have maintained

which are allowed to raise capital through

this kind of commitment to climate change

a focus on Quality, Use of Technology,

various means like issuing bonds and selling

will give India a strong position at the

Maintaining transparency, inducting Value

equity, exclusively to support green energy

upcoming 21st Conference of the Parties

Engineering, and most importantly a goal

projects. Green bonds and public financing

(COP 21) in Paris.

to delight the Customer. Our repeat orders,

will definitely help India to reduce the cost

our portfolio of highest generating plants

of debt and increase loan tenures.

EQ : New Government Announcements of Ultra Mega Solar Projects, Massive Solar

and high employee & customer satisfaction indices are a testament of our efforts.

Parks…are we in the right Direction EQ : What is the near future technology roadmap…Do you see module prices BJ : The UMPPS and 25 Solar Parks are part of the strategy the government is contemplating to achieve the 100 GW target. I would say, land acquisition, access to finance and evacuation are the key issues that give the developers nightmares and this strategy solves exactly these problems. Although a few states are seeing road blocks, but a clear mandate from the top and focus on getting it done is ensuring progress. The current Indian market is stable at about 1 – 1.3 GW annual installations. To achieve a 100 GW target we need about 15 GW per annum installations going forward which is a quantum leap and we are sure we would need the UMPPs and solar parks to get to those numbers. We feel the large solar

falling by another 30% or so or increase in module efficiency will thus increase module size and thus BOS costs will go down? BJ : Demand for energy is rapidly increasing worldwide and along with this, the demand for clean energy. Module costs have more than halved in the last decade and the trend shows that it will definitely fall further. Industry estimates say that the module prices are set to reduce by 4% - 6% per year going forward and the efficiencies will continue to increase. A drastic reduction in price of Solar PV

Te c h n o l o g y today is evolving at a very rapid pace and Solar PV is no exception to this, I am certain that over the next 2-3, we will see further advances in panels as well as BOS..

4% to

6% module prices are set to reduce by 4% - 6% per year going forward and the efficiencies will continue to increase.

modules will definitely be good news, and the day may not be far where the LCOE drops to a number lower than even traditional sources of power.

installations in the beginning will ensure solar PV technology will become ever more

EQ : What financing structures/models

EQ : India has over 3GW Installed

viable and eventually it will become a market

needs to be discovered to beat the traditional

Solar Assets…Do we see a retrofit market

by default, where we will see the smaller

financing structures for renewable energy

evolving?

roof-tops and projects filling up the last

projects/manufacturing

30 – 40 % of installations.

BJ : Personally, I do not see the retro fit BJ : As I have stated earlier, Priority

market taking off in a big way, it will take at

EQ : Utility scale market is highly

Sector Lending and Infrastructure Debt

least another 3-5 years to make it financially

competitive and getting concentrated in

Funds for Solar Energy Access will help to

viable to go for a retro fit. The key factors

few hands…What’s your views

bring in large scale funding and lower cost

being what the differential efficiency is,

of capital. The good news is, late last month

(hence giving increased revenues) and at

BJ : We believe the Indian utility scale

the RBI has revamped the priority sector

what additional investment. A good proxy,

solar market is extremely competitive with

norms bringing the renewable energy sector

could be the Wind assets, they have seen

over 100 players of various sizes competing

into the ambit.

great progress since 2010 where the 100kW

in the space. The limited barriers and market potential make it an attractive space to enter into.

– 250kW turbines installed then can now Internationally, we see a lot of successful

be replaced with 1 – 1.5 MW turbines; A

steps which can be adapted to propel India’s

re-design of the wind farm could potentially

solar industry and initiatives ahead. For

increase the capacity by almost 10X, but

Over, the last 2 years however, the

e.g. in China, the renewable energy laws,

even now the wind repowering market has

industry has evolved with, project sizes

renewable power quotas, and priority

not entirely taken off, It is still a case of wait

increasing and tariffs dropping, developers

dispatch sees clear enforcement. This

and watch. We feel it is only economics or

are now demanding execution excellence,

is also backed by High FiTs ~ RMB 1 ($

a strong government mandate, which is not

April-May 2015

www.EQMagLive.com

probable, will ensure the retro-fit market evolves. EQ : Roof Top Solar Market has been

EQ : What do you think about decline of 45% on Oil prices and increasing the cost of tradition power & its impact on clean energy?

small in last 6 years … what do you think

across the solar value chain, (like Solar development, Turnkey EPC, Design, Engineering, Procurement, Construction and O&M), business values, focus on quality, track record of high performing plants, and trusted relationship with the financers will

RPO targets etc. The greater scale of solar

BJ : The drastic drop of Oil barrel prices had a lot of people worried about the Cleantech investments. But the truth is Oil and solar energy rarely compete head to head, although there have been long standing impact of Oil and fossil fuel prices, like coal and gas, on the investments into Cleantech, we feel the correlation is emotional and psychological. The fact is, now well established, that oil accounts for less than 5% of electricity generation across the world, and is no longer considered a viable option to generate electricity. In the long term, it is evident that the cost of production of solar energy will continue to fall, efficiencies will rise – and it is safe to assume that the reverse is true of other fossil fuels. To talk specifically of India, we majorly depend upon coal for power generation, most of it being imported. The imports not only add to the current account deficit (CAD) but are also a threat to the energy security of the country, not to mention the carbon emissions. Hence, the focus on renewables / clean energy for the country is unquestionable.

PV adoption in the utility scale will also

market has been slow in the past few years,

services - both utility scale solar projects and

reduce the CAPEX for rooftops.

we will see a definite growth in the coming

distributed solar which includes rooftop solar,

years, and it will play a big part in the future

solar DG hybrid solutions, solar products,

of Indian energy mix.

solar car charging stations, & telecom tower

of the rooftop market installations in next 2-3 years. BJ : Rooftop solar is a decentralized or a distributed solar application, which is encouraged owing to its low land footprint and ability to reduce transmission and distribution (T&D) losses. Weak local distribution infrastructure, lack of economies of scale and poor social outlook have prevented the growth of Roof Top solar systems from penetrating the Indian market. For the 100 GW plan, the Government believes that 40GW will come from rooftop solar alone. Various factors will affect the adoption of roof top solar projects, for the Commercial and Industrial customers the key factors would be the Grid tariffs, Grid infrastructure, CAPEX, availability of land / roof space, CSS & Open access charges, and the FiTs / subsidies on offer. The government is clearly working on it, via net-metering policies, mandating solar pv for high rises and institutions, enforcing

The government has made two major changes to the solar rooftop subsidy and

ensure our success. In the last 3 years, we have delivered over 120 MW capacity and our team size expanded to 410 employees. In addition, we have incubated new businesses, patented new technologies and increased our offerings in the Clean-tech space in our endeavour to Rise. EQ : Tell us more about the services you are offering in India. What is the company’s current order book position? BJ : Mahindra Susten (Formerly known as Mahindra EPC) is one of India’s largest Solar EPC Company and a portfolio company of Mahindra Partners, the $ 900 mn private equity division of the Mahindra Group. The company offers diversified services within the renewable energy and clean tech space. A leading player in the Indian solar energy sector, with 120 MW commissioned to date and over 230 MW under execution, services span across turnkey solar EPC

solarization, solar PV O&M and analytics.

these were announced by the Ministry of

EQ : How is Mahindra Susten planning

The company also offers engineering

New and Renewable Energy (MNRE); 1.

to achieve solar targets of 1 GW MW till

services, energy management services and

Reduction of subsidies from 30% to 15%;

March 2020?

industrial construction solutions.

2. Lower priority of subsidy disbursement to industrial and commercial consumers,

BJ : At Mahindra Susten, we have

The solar development arm of the

which show government’s intent to replace

committed ourselves to develop 1 GW of

company currently has 40MW of solar PV

the subsidy mechanism with an interest rate

clean energy projects over the next 5 years.

assets operational in the state of Rajasthan,

subvention scheme.

This is an estimated investment of about

another 50 MW under development in

Rs 4500 Crores. We are currently in the

various states and is looking at rapidly

For the residential segment solar has

process of finalizing the road-map with

scaling up the asset portfolio.

to go a long way, the current subsidized

realistic targets and milestones, where we

residential rates make solar unviable, but

will evaluate all potential opportunities as

The company has over 230 MW of orders

removal of this subsidy, lowering solar

per our internal assessment guide, to achieve

being executed currently and we have been

installation prices and un-reliable grid power

the stated target of 1 GW clean energy by

trusted by the leading developers in the

could drive residential solar in a big way.

2020.

Indian solar industry for their projects, which is a testimony to our strong execution

In our opinion, although the rooftop

www.EQMagLive.com

We believe our vast experience

capabilities and quality.

April-May 2015

RESEA RCH & A NA L Y SI S

India Solar Installations Forecast To Exceed 2 GW in 2015 Source-MERCOM KEY FINDINGS •

•

• •

We are raising our solar installation forecast for 2015 to over 2,000 MW, largely due to recent developments in Tamil Nadu The Indian solar industry is still waiting for implementation and execution of various solar programs that have been announced over the last 12 months SECI recently announced another government program to establish 2,000 MW of solar PV projects with sizes of 500 MW and 250 MW on an EPC basis RBI adds renewable energy under priority lending but with a cap of 15 crore (~$2.5M) for renewable energy generators and 10 lakhs (~$16,393) per borrower for residential customers The MNRE has proposed a subsidy cut on rooftop solar power plants to 15 percent from the current level of 30 percent The MNRE newly announced goal says 40 GW out of 100 GW by 2020 to come from rooftop PV The Clean Energy Cess (tax), which was 50 (~$0.8) per ton when introduced in 2010, was raised to 100 (~$1.64) per ton in 2014 and 200 (~$3.28) per ton in the 201516 budget

The solar industry in India is eagerly waiting for implementation and execution of various solar programs that have been announced over the last 12 months. The next round of the Jawaharlal Nehru National Solar Mission (JNNSM) Phase II Batch 2 program for 3,000 MW of solar projects could be announced any day according to the Ministry of New and Renewable Energy (MNRE). Mercom is raising its solar 38

April-May 2015

installation forecast for 2015 to over 2,000 MW, largely due to the latest developments in Tamil Nadu. There were several impor t ant developments in the last three months including a positive announcement by RBI

to include renewable energy under priority lending, but with a cap. This will not affect large-scale projects a great deal, but it is an important first step none the less. Rooftop subsidies are now proposed to be cut from 30 percent to 15 percent. Another welcome development was the passing of The

www.EQMagLive.com

Electricity Amendment Bill in Parliament which has the potential to exert a longterm positive effect on the renewable and power sector in general. While there have been a lot of positive developments and announcements, after one year in office, it is time the new government starts delivering on its announced programs and start bringing some confidence to the markets. New programs are being announced with a lot of publicity; the challenge is to provide the same level of communication and reporting on implementation and installations. Clear communication, transparency and the availability of timely information is critical for the industry at large and for companies and investors who have funding at stake. It has become a lot more challenging to obtain updates, with some state agencies reluctant to report installation progress, more so than they were a year ago. We increased our forecast primarily due to Tamil Nadu’s power purchase agreements (PPA) which were signed with several developers. We have confirmed 400 MW of PPAs signed with a project commissioning due date of September 2015. There is speculation that a total of 1,000 MW of PPAs at 7.01 (~$0.12)/kWh have been signed by Tamil Nadu Generation and Distribution Corporation (TANGEDCO), which could be installed this year, but the latest reports point towards an extension of commissioning dates to March 2016. However, TANGEDCO did not confirm or deny this information. In the past, Tamil Nadu’s cumulative solar installations are only about 100 MW, on the other hand, the state represents a large potential solar market due to severe power shortages. Projects under JNNSM have now overtaken solar installations under Gujarat’s solar policy for the first time. The Solar Energy Corporation of India (SECI) recently announced that it plans to own 2,000 MW of solar projects by auctioning EPC contracts. SECI was initially formed in 2012 as an implementing agency for JNNSM projects and an alternative to NTPC Vidyut Vyapar Nigam Ltd. (NVVN) for Viability Gap Funding (VGF) projects. It is slowly evolving into a government-owned

www.EQMagLive.com

power generation unit. It is unclear where the budget allocation for purchasing these projects will come from or if the market needs a new government agency to own solar projects.

Policy Updates: JNNSM - Phase II Batch 1 Under this Batch, a total of 700 MW were scheduled to be completed by May 2015. The installation numbers are just trickling in and most of them are expected to be commissioned by the end of May. Based on our information, there might be some delays from projects in the Domestic Content Requirement (DCR) category. The DCR has long been a trade issue with the United States which requested a WTO dispute settlement last year for JNNSM Phase II projects. The goal of DCR projects was to support domestic manufacturing, but several developers, manufacturers an d inves tor s rep or ted problems and delays. Relating to JNNSM Phase II Batch 1 projects, module manufacturers have mentioned that procuring domestically manufactured cells was a challenge because of poor quality and high prices. It was also verified that the DCR plan wasn’t working well and investor interest was low for these projects. This is the first time in years that a manufacturer has admitted to Mercom that they are now ‘skeptical’ of the DCR.

SECI - 2,000 MW Solar PV Projects on EPC Basis Since our previous update, SECI announced another government program to establish 2,000 MW of solar PV projects

with sizes of 500 MW and 250 MW on an EPC basis (including land). Project commissioning is expected to follow a timeline which includes operation and maintenance services for one year prior to handing over the project to SECI. The total time period for completing these projects is estimated to be 30 months (including the one year of O&M) from the date of the ‘Letter of Award’ for the 500 MW projects, and 24 months for the 250 MW projects. SECI will be investing in the projects, and the schedule of payments and other details will be determined after a pre-bid meeting. Other program updates under MNRE and SECI are included below. Details of these programs can be found in our previous update. JNNSM - Phase II Batch 2 State Specific Bundling Scheme - The Request for Selection for the 3,000 MW under this category is expected this month. JNNSM - Phase II Batch 3 State Specific VGF Scheme – MNRE had a meeting on May 11, 2015 to discuss the revised draft guidelines for 2,000 MW. Ultra Mega Projects in Solar Parks –

Seventeen solar parks with a total capacity 12,739 MW has been approved in 12 states. JNNSM - Phase II Batch 5 - National Thermal Power Corporation (NTPC) has signed PPAs for developing 250 MW of solar projects in Andhra Pradesh. These projects are expected to be commissioned in 12 months. Solar Projects of 300 MW by Defense Sector - no updates Grid Connected Solar PV Power Plants on Canal Banks and Canal

April-May 2015

Tops - These projects will be developed by different states with SECI to provide financial assistance. Currently, tenders for these projects have been called in Andhra Pradesh and Punjab. Gujarat, Karnataka and Kerala are other states that may call for tenders in the future.

Other Developments Renewable energy to be treated as priority lending sector, but with project size limits: In our last update, we laid out the two most impactful steps the government can take to help the solar industry take off and bring in investments: 1) fix the financial health of DISCOMs and improve the credit rating of offtakers; and 2) bring renewables under the priority lending sector category. We commend the government for taking the step in the right direction with the Reserve Bank of India recently adding renewable energy under the priority lending sector, making it eligible for ease and affordable financing. However, this came with a caveat bank loans will have an upper limit of 15 crore (~$2.5M) for renewable energy generators. For individual households, the loan limit is 10 lakhs (~$16,393) per borrower. Since the Indian solar market currently is comprised mostly of large-scale projects, the impact of this policy will be minimal. That said, the government has taken the right initial step and we urge them to increase the limits to 40

April-May 2015

benefit large-scale projects, which will truly help launch the sector to the next level. Reduction of rooftop subsidy from 30 percent to 15 percent: The MNRE has proposed a subsidy cut on rooftop solar power plants to 15 percent from the current level of 30 percent. Its reasoning is the lower prices of components would offset a 30 percent subsidy cut. There has only been approximately 100 MW of rooftop solar installed in the country in the last five years – at 30 percent, the subsidy still did not translate into healthy installations. Another major reason for rooftop solar’s slow progress has been the non-payment of subsidies to installers, which has forced many installers out of business. Considering most of the funds collected through the Clean Energy Cess Fund remains unused, nonpayment of subsidies is baffling. Individual states have been asked to come out with their own favorable policy and regulatory framework to support rooftop solar. MNRE Goal: 40 GW out of 100 GW by 2020 to come from rooftop PV: The MNRE has set a massive installation target of 40 GW of grid-connected rooftop solar PV projects during the next five years. This is a lofty goal considering current installations are only about 100 MW, and the rooftop subsidy is proposed to be cut from 30 percent to 15 percent. On the other hand,

adding renewable energy generation under RBI priority lending will help residential, commercial and industrial projects get financed and help off-grid projects takeoff. Proposal to increase solar RPO from three percent by 2022 to eight percent by 2019 The Ministry of Power has proposed several changes to the National Tariff Policy. Some important amendments include – the promotion of renewable generation sources as a policy objective; abolition of interstate transmission charges levied on transmission of energy generated through renewable sources until notified otherwise by the government, and solar RPO targets proposed to be increased from the existing three percent by 2022 to eight percent by 2019. Without strict enforcement of RPO, it does not matter what the percentage requirement is - it is more important to put mechanisms in place that will support strict enforcement.

Supreme Court Judgment on Applicability of RPO On May 13, 2015 the Supreme Court dismissed an appeal by 17 large companies challenging RPO regulations enforced by the state regulator, Rajasthan Electricity Regulatory Commission. The Supreme Court

www.EQMagLive.com

further endorsed that imposing RPO was desirable as the citizens have a right to live in a pollution-free environment. This ruling could have a wider impact considering there are several other similar cases pending in various state high courts on the applicability of RPO regulation. Amendments to the Electricity Act: The Electricity (Amendment) Bill was recently approved in the cabinet. The new Electricity Bill is expected to end the monopoly of power distribution companies by separating distribution from supply in the power sector by introducing multiple supply licensees, encouraging competition and efficiency, and giving choice to the consumers. Significant points addressed by this bill that will bring much awaited reforms in the renewable energy sector include: A coal power generating company will now be required to establish renewable energy generation capacity of at least ten percent of it’s installed thermal capacity

www.EQMagLive.com

The bill defines “obligated entity” as the distribution licensee or the consumer owning the captive power plant or the open access consumer, and mandates the obligated entities to procure electricity from any market instrument representing renewable energy sources. This clearly mandates RPO not only for the distribution companies but also for open access and captive generation. It also recognizes trading of Renewable Energy Certificates. In a distribution area, more than one supplier will now be allowed to operate with retail tariffs set by the regulatory commission that will be at the maximum tariff. The bill promotes reduction in regulatory assets and makes the National Tariff Policy mandatory. National Clean Energy Fund (NCEF): The National Clean Energy Fund was created in 2010 to fund research and innovative projects in clean energy technologies by public or private sector entities, up to

40 percent of the total project cost. The funding could be in the form of a loan or as viability gap funding, as seen fit by the InterMinisterial Group (IMG), which decides the merits of such projects. Clean Energy Cess (a form of carbon tax) is being levied on coal produced in India, as well as on imported coal. The Cess, which was 50 (~$0.8) per ton when it was introduced in 2010, was raised to 100 (~$1.64) per ton in 2014 and to 200 (~$3.28) in the 2015-16 budget. The Cess collected is then required to be transferred to NCEF. Based on an update from December 18, 2014, there is a large disparity in the amount of Clean Energy Cess collected versus what is being used, raising the question: why aren’t these funds being used considering financing has been hard to come by? While Cess has been raised 400 percent since 2010-11, fund utilization has inexplicably averaged only about 22 percent. As of the end of September 2014, the IMG had recommended projects worth 18,577 crore (~$3B).

April-May 2015

Budget Highlights for Renewable Energy 2015-16: The recent 2015-2016 budget included some tax cuts and duty reductions for the renewable energy sector.

Reduction in Customs Duty: Customs duty on evacuated tubes with three layers of solar-selective coating for use in the manufacture of solar water heater and systems has been reduced to zero Duty on active energy controller for use in the manufacture of renewable power system inverters has been reduced to five percent

Excise Duty Reductions: Excise duty on pig iron SG grade and ferro-silicon-magnesium used in the manufacture of cast components of wind operated electricity generators has been reduced to zero Duty on solar water heater and system has been reduced from 12 percent to zero without CENVAT credit or 12.5 percent with CENVAT credit Round copper wire and tin alloys for use in the manufacture of solar pv ribbon for manufacture of solar PV cells has been reduced to zero The scheduled rate of Clean Energy Cess levied on coal, lignite and peat is being increased from 100 (~$1.64) per ton to 300 (~$4.9) per ton. The effective rate of Clean Energy Cess is being increased from 100 (~$1.64) per ton to 200 (~$3.28) per ton Concessional customs and excise duty rates on specified parts of electrically operated vehicles and hybrid vehicles, presently available until March 31, 2015, is being extended until March 31, 2016

Industry Updates Takeaways from our recent conversations with major developers, manufacturers and investors

Developers Most of the top developers are eager to see action and execution on various big announcements coming from the government. Developers are ready to bid, but do not know when the Request for Selection (RfS) will be announced; they are hopeful it will be soon. 42

April-May 2015

Most developers commended the intention of the current government, and credit it with improving the sentiments of the sector. The majority of developers we spoke with feel that the recent RBI announcement regarding consideration of the renewable sector under priority lending will only help smaller projects and its impact will be minimal since most of the market consists of utility-scale projects currently. Developers also said that it will take a while to implement the Energy Minister’s proposal for bidding for solar projects in U.S. dollars. The general consensus was that the most attractive state for solar, currently, is Telangana. Some of the other states mentioned were Karnataka and, lately, Tamil Nadu. It terms of lending, interest has been low from private banks compared to nationalized and development banks according to developers. It was also noted that investors are cautious due to the depreciating rupee.

Manufacturers Most manufacturers had a positive outlook for the future, but said that the current market conditions remained the same. Some manufacturers said that they were in talks to ramp up production following big announcements from the government but have had to scale back their plans due to lack of visibility. Everyone wants to see execution on the government’s part. They are especially eager to see projects awarded regularly in small batches rather than receiving big announcements followed by a lull. Though the manufacturing lobby was aggressively pushing for DCR, for the first time we are hearing skepticism from several manufacturers, stating that the DCR plan is not working, nor is it attracting investors. According to module manufacturers, it has been a challenge to source quality cells at the right price - even then, many don’t seem to have the manufacturing capacity. Mercom has argued against DCR since the inception of JNNSM; manufacturers are now seeing that it is not the panacea. The lowest ASP quoted was $0.55 (~34)/w with a four to eight percent margin. Manufacturing capacity utilization ranged widely from 10 to 100 percent.

Investors Most of the large investors are understandably cautious and conservative

and want to see actual implementation. Except for Telangana, the market is currently stalled waiting for Request for Selection (RfS) to be announced. There are a lot projects out there, but not all are getting financed due to counterparty risks according to some investors. This situation confirms our views that unless serious long-term measures are taken to shore up the health of the utilities, the risk will continue to remain high and, consequently, so will borrowing costs. When it comes to solar parks, there is some skepticism about the infrastructure and evacuation facilities considering the large size of the parks. We were told that this would be an important criteria before banks will lend to these projects. A 6-6.5 (~$0.09-0.11)/kWh tariff is workable if project cost is around 7-7.5 crores (~$1.11.2M) according to some investors. Lending rate quotes were in the 12-12.5 percent range, which is slightly lower than what we were seeing last year. Most investors agreed that treating renewable energy as a priority lending sector with a limit of 15 crores (~$2.5M) will not affect largescale projects which make up the majority of the market, but the move was still viewed as a positive first step.

State Policy Updates: Uttar Pradesh: Uttar Pradesh signed PPAs for 110 MW in December 2013. About 40 MW of projects have been commissioned to date, and the remaining 70 MW are expected to be commissioned by the end of 2015. A Request for Proposal (RfP) to set up 300 MW of solar PV projects was announced in August 2014. PPAs have been signed for 105 MW of projects and a RFP has been issued for the remaining projects. The deadline for bid submissions and opening of non-financial bids is May 18, 2015.

Andhra Pradesh: The government of Andhra Pradesh allowed any company to establish a solar project in the state at a tariff of 6.49 (~$0.11) per kWh in late 2013. PPAs were signed for 147 MW of PV projects

www.EQMagLive.com

under competitive bidding according to the Transmission Corporation of Andhra Pradesh Limited (APTRANSCO). Of this total, about 42 MW have been commissioned and the rest are expected to be commissioned by the end of 2015. The state announced a new solar policy in February 2015, targeting 2,000 MW in solar power procurement by the DISCOMs in phases over the next five years, and will add another 2,500 MW in solar parks currently under development.

Punjab: Punjab opened bidding for 250 MW of solar PV projects in 2013. PPAs with tariffs ranging b e twe en 8 . 2 0 - 8 .4 0 (~$ 0.1 3 -$ 0.14)/ kWh were signed in December 2013 after a delay due t o land acquisition problems during elections. Of these, about 170 MW are commissioned to date and the remaining are expected to be commissioned by the end of 2015.

Madhya Pradesh: To date, there are 185 MW of solar projects installed under Madhya Pradesh’s state policy. Another 50 MW of solar projects

www.EQMagLive.com

are expected to be commissioned by the end of May 2015 and the remaining projects are expected to be commissioned by the end of 2015.

Haryana:

project in Kaudgaon and a 25 MW project in Sakri which are temporarily canceled until the introduction of the new renewable energy policy.

Chhattisgarh:

A 5 MW solar plan developed under the state policy was commissioned in April 2015. A tender inviting bids for 50 MW of solar PV projects was issued by the utility Uttar Haryana Bijli Vitran Nigam and the bidders list is expected to be announced shortly. Another tender for 150 MW is expected to be called by the end of May 2015.

Chhattisgarh State Power Distribution Com p any Limited (CSPDCL) announced bid results for 100 MW of solar projects. The lowest bid price was 5.54 (~$0.09)/kWh, and the highest was 7.81 (~$0.13)/kWh. CSPDCL has signed a PPA for only one 66 MW project that will be commissioned by end of 2015.

Maharashtra:

Karnataka:

There are currently 2 20 MW of solar p r oj e c t s i n s t a ll e d under Maharashtra’s state policy. The State is expected to announce a renewable energy policy through which they expect to develop 7,500 MW of solar power by 2020. Details of the policy will be announced after it is approved by the Cabinet. The Maharashtra State Power Generation Company (Mahagenco) had invited tenders to develop a 50 MW grid-connected solar

The State has 92 MW of solar projects installed to date, including 40 MW already commissioned of the 60 MW PV projects announced in Phase I. Of the remaining 20 MW, only 10 MW are expected to be commissioned in 2015. A 10 MW CSP project, under Batch 1, is expected to be commissioned at the end of 2016. There were 130 MW of solar projects announced in Phase II of which PPAs

April-May 2015

were signed and 33 MWs of solar projects are already commissioned. The remaining projects are expected to be commissioned by the end of 2015.

process under its 2013 Solar Power Policy. PPAs were signed in March 2015 and the commissioning date will depend on individual developers.

The State also announced financial bids for solar projects totaling 50 MW in Batch 3, of which 10 MW are already commissioned and about 17 MW are expected to be commissioned in 2015. The remainder is expected to be commissioned in 2016. K arn at ak a Ren ewa ble En er g y Development Limited (KREDL) also invited RfPs for solar projects totaling 500 MW. PPAs were signed in February 2015 and the projects are expected to be commissioned by the end of 2016.

Tamil Nadu:

Telangana:

Tamil Nadu Generation and Distribution Corporation (Tangedco), the state utility, is currently signing PPAs to develop solar projects at a tariff of 7.01 (~$0.12)/kWh. Some of these projects are expected to be commissioned by September 2015, but some sources report that the commissioning date has been extended to March 2016. Based on

Bihar: Bihar State Elec tricity Bo ard (BSEB) signed a PPA in February 2015 for setting up 100 MW of solar projects. The projects are expected to be commissioned by the end of 2015 or early 2016.

Odisha: There were 7 MW of projects under operation in Odisha and another 25 MW to be added by the end of May 2015.

T h e n ew s t at e of Telangana announced 515 MW of PPAs signed for solar projects selected through reverse bidding. About 130 MW of projects are expected to be commissioned by the end of 2015, and the rest in the first half of 2016. The Southern Power Distribution Company of Telangana (TSSPDCL) invited a 2,000 MW solar bid on a ‘Build-OwnOperate’ basis in April 2015. The selection will be through a reverse bidding process with tariffs at a maximum limit of 6.45 (~$0.11). The deadline of May 18, 2015 for bids is likely to be extended.

Uttarakhand: The government of Uttarakhand issued a RfS for procurement of solar power from grid-connected solar PV projects of up to 30 MW through a tariff-based competitive bidding

April-May 2015

our information, there are PPAs signed for 400 MW, but unconfirmed sources indicate that the number could be as high as 1,000 MW. With TANGEDCO unwilling to disclose information publicly, we are continuing to seek information since this could have a large impact on the 2015 forecast.

www.EQMagLive.com

April-May 2015

45Â

I N T ERV I EW

Exclusive Interview With Rajeshwar Bhatt Managing Director, juwi India Renewable Energies Pvt. Ltd.

EQ : Are you Excited about the New JNNSM Target of 100GW by 2022...Is it realistic? RB : The recent announcement by power ministry to install 100 GW by 2022 from the target of 20 GW which is a very ambitious goal of 5 times the jump from the goal set previously will not be realistic which means a substantial investment to the tune of 200 - 250 billions, infrastructure development, resource development, training in huge massaive scale to stand up to the skills required, automated systems in erection and installation methods, strengthening of transmission and distribution methods, policy change in bureaucratic hurdles. EQ : What resources needs to be developed to achieve this target… Man Power, Critical Infrastructure (Land, Power Evacuation, Green corridors, Finance etc…) RB :

• Land and evacuation facility,

source availability – planning & co-ordination, skills in project management, erection, installation and commissioning, and grid integration of large scale RE projects, and techno commercial marketing skills.

• Financing Sources and Incentives. Manufacturing incentive to create world class quality manufacturing of wafers, cells, modules. Availability of low cost funding for renewable projects, Good and implementable policies with 5-10 years clear roadmaps

• Challenge of bridging between integration and technological innovation.

• Manufacturing to be more

• Single window clearance in a

• Building synergies between

• Infrastructure related to proj-

• Skill requirements and re-

Smart grid implementation with grid availability for capacity

fast and efficient manner

ect facilitation – substation availabilities, logistics and transport, hospitality industry development,

April-May 2015

efficient in terms of cheaper BOS and at good quality

ministries, ensuring transparency and timely information

dissemination, strengthening of Transmission and Distribution at high voltage levels and also implement National Grid.

• Creation of GW capacity manufacturing and related supply chain.

• Empowered group of ministries together for project facilitation at faster pace EQ : What’s your view on the New Mr.Modi led BJP government… Expectations Met? RB : The idealogy and framework vision and policies of Modi led government is good but looks too ambitious at present to fulfill and people are already loosing hopes on the expecations that they have. The country was suffereing due to previous inefficiencies and would take some time to correct the situation. For eg few plans as mentioned below would take a very long implemention time and very high investment and the situation for common man remain unchanged with very steep increases in price, inflation being too high leaving common mans dream as a dream.

www.EQMagLive.com

• Financial

EQ : New Government Announcements of Ultra Mega Solar Projects, Massive Solar Parks…are we in the right Direction

• Ganga Plan, or Cleansing the

RB : Ultra mega Solar project initiative is a good move and would solve several problems related to no power situation, grid parity, economic viability etc provided we have solutions to several risks associated with such huge scale projects and mitigate the same to make projects work smoother.

inclusion solutionsPrime Minister Jan Dhan Yojna

cleanser, Inviting Foreign capital

• Digital India, Nation on the MoveHigh Speed Trains

• Sanitation plans etc EQ : What are your expectations from the Budget 2015 RB : Incentives to Domestic Savings Impetus to Agriculture Exploiting the positive global trends Greater stress on Infrastructure, education and health care Tax base increase, reduction in redtapism and bureaucracy EQ : What is the near future technology roadmap…Do you see module prices falling by another 30% or so or increase in module efficiency will thus increase module size and thus BOS costs will go down ? RB : Yes there is a great possibility of BOS costs going down with solar economics being improved over a period of time significantly. The reduction in module costs and increased efficiencies with financing costs also has a possibility of reduction. EQ : Does the Solar Industry foresee the Grid Parity in next 2-3 Years RB : Yes solar will be at parity in 2-3 years as the grid based electricity prices are rising across the world and solar costs are falling and experts predict that it may fall further by 40 – 50% in 3-4 years time which leaves solar power cheaper compared to conventional energy

RB : Projects which triggered massive growth under Gujarat and JNNSM policies in the earlier two years almost dried up and the only business available was under PPAs (Power Purchase Agreement) and

www.EQMagLive.com

f. Right infrastucutre and facilities which are automated to deliver precision installtions and quality project. c. Foreign exchange risks d. India does not have state of the art facilities for coping with transmissions of ultra mega project capabilities and distribution networks. e. Payment risks

b. The construction risks – Heavy LD, time dealys, bankability issues, cash flow issues, supplies issues, installation and commissioning challenges.

APPCs (Average Power Purchase Cost). As for REC (Renewable Energy Certificates), because of lower demand, projects became unviable and expected returns were not forthcoming. The slowdown has hit the manufacturing industry hard with many cutting down their production or even closing down operation. We believe that with JNNSM phase 2 roll out and project allocations by states like Punjab, Tamil Nadu, Karnataka, UP and MP, year 2014 would be much better year for the solar industry. However there has to be sustained growth of the market, year after year, especially if we are to realize our national objective of achieving grid parity by 2017. For this we need to come up with a five year plan to add capacities of 2 to 3 GW / year. This will give confidence to investors, manufacturing industries, IPPs, developers, EPC contractors to put in resources to develop technologies, people, increase productivity, improve product and system quality and efficiencies across the value chain

Addressing and mitigating such high priority issues can lead government initative on driving the Ultra mega solar proejcts to gain populatity.

EQ : RoofTop Solar Market has been small in last 6 years … what do you think of the rooftop market installations in next 2-3 years. RB : Solar roof top market will emerge as a cost competitive solution to end consumers and enhance future growth from the focus from large grid systems which was driven by incentive systems.However the following challenges have to be addressed : • Stable grid Connectivity • Net Metering

I NTE RV IE W

EQ : What is the near and long term view on manufacturing in India…Does the Global Trade Wars Help? India’s DCR Mandates in JNNSM…Will this be enough

a. Associated political risks in the form of land allocations, clearances, and related regulatory works, naxal, local issues in particular regions, environmental issues which will pose heavy burden on the investor and service providing companies not to complete the project on its deadlines which leads to withdrawal of interest on such intiatives.

• Energy Accountability • Consistent policy across all states • Shadow free roof space • Leasing of roof space from owners

April-May 2015

RESEA RCH & A NA L Y SI S

Redirecting Financial Flows Worth US $2.5 Trillion Annually Towards Green Investment Crucial To Sustainable Growth In Asia Pacific – New UN Report

edirecting financial flows towards efficient, clean and inclusive economic activities in Asia Pacific and away from polluting, resources intensive activities is crucial to the region’s future sustainable growth and prosperity, finds a new report by the UN Environment Programme (UNEP).As home to over half of the world’s people, but much less than half of its natural resources, achieving inclusive, sustainable economic prosperity in the Asia-Pacific region depends on the health of the environment. Yet stocks of natural capital – including non-renewable resources, forests, agricultural land and fisheries – are in decline across the region, and have dwindled by between third and a half in most countries of the region over the past five years. In order to close the gaps in basic services and infrastructure and to protect the environment, enhance energy efficiency and respond to climate change, the Asia-Pacific region needs an annual investment of US $2.5 trillion, less than a third of US $8.4 trillion saved by the region’s citizens in 2012 alone, says the report entitled, “Aligning the Financial Systems in the Asia Pacific Region to Sustainable Development”.The region’s developing financial and capital markets provide a unique opportunity for innovative financial and capital market policies, regulations and standards that can align private capital flows to the financing needs of sustainable development.“Today less than 1 per cent of assets under management in the region are invested according to sustainability criteria. The Asia-Pacific region has an enormous potential to use local, national and international finance for sustainable development. As can be seen, there is ample money to invest in ways that produce the highest quality of life without damaging the world’s critical life support systems,” said Achim Steiner, UN Under-Secretary-General and Executive Director of UNEP. “Financial systems based on sustainability criteria can enhance the efficiency, effectiveness and resilience with which financial and capital markets channel these resources, delivering both returns 48

April-May 2015

to savers and the investment needed for economic growth and transformation.”The report and other research by UNEP’s Inquiry into the Design of a Sustainable Financial System find that in the Asia-Pacific region, there is substantial innovation towards a sustainable development based financial system.New green disclosure requirements are being adopted across banking and capital markets. Green credit guidelines are being introduced by banking regulators. Sustainability indexes and benchmarks are becoming established in securities markets, and credit rating agencies are beginning to incorporate climate risk into their solvency analyses. Innovations in micro-finance, including mobile-money, are also closing the gaps in access to finance. Countries such as China, Indonesia and Japan are also demonstrating leadership in taking systematic approaches to developing and embedding green finance principles across the financial system.The Asia Pacific region has a long history of policy-directed lending and investing , which could be aligned with sustainable development goals. Regional governments have in particular established ‘priority sector lending’ as a key policy tool to improve access to credit for underserved sectors, particularly SMEs and agriculture. India, for example, requires 40 percent of all bank loans to be made in priority sectors, which include agriculture, small and medium enterprises, and exportoriented industries. Malaysia and Vietnam mandate interest rate discounts for loans in priority sectors. Mr Steiner said putting sustainable development at the heart of financial and capital markets does not represent an ‘additional’ performance measure for Asia-Pacific’s financial markets. “Quite the contrary, it improves the availability of material information, enhances the all-important task of risk-pricing and advances the efficiency of credit and capital allocation,” he said.With 1.6 billion people still in poverty, and 800 million without access to electricity, the region faces an urgent need to mobilize investment to generate jobs for its young and growing

population, and to close infrastructure gaps and build cities that offer a good quality of life.The recommendations in the report will be discussed by Ministers and high level representatives from over 35 countries gathered for the First Forum of Ministers and Environment Authorities of Asia Pacific 19 and 20 May 1015 in Bangkok.UNEP’s Inquiry into the Design of a Sustainable Financial System was set up to explore what could potentially be one of the most important changes in the international economic landscape – the reshaping of the global financial system, such that it plays a productive and emphatic role in financing sustainable development. The work of the Inquiry in over 15 countries, so far, reveals the need to speed the transition to an inclusive sustainable economy, which requires the channeling of trillions of dollars annually into green investment and many more trillions away from pollutant and natural resource intensive investment. Key findings from the Report: While recognizing the diversity of the region, the report has identified potential innovations and actions worth consideration by countries in Asia Pacific including: • Sustainable banking and ‘green credit’ risk management and reporting; • Policy-directed lending and investing blending commercial and policy objectives; • Green bonds issuance and green infrastructure and enterprise development; • “Sustainable” stock exchanges with social and environmental performance indexes, benchmarks and tracker funds; • Lender and investor environmental liability to encourage environmental due diligence and risk management; • Monetary policy to incentivize longer-term investment in productive infrastructure and enterprises; • Environmental stress testing at the financial enterprise and macro prudential levels; • Enhanced sustainability oversight for cross boarder investment.

www.EQMagLive.com

RESEA RCH & A N A L Y SI S

Sustainable Insight Gearing Up For Green Bonds

Source-KPMG

INTRODUCTION

reen bonds are an increasingly attractive mechanism for both private and public sector organizations to raise capital for projects, assets or other activities that benefit the economy, environment and society. The global green bond market is growing rapidly. Eight years ago, green bonds did not exist, but fast forward to 2014 and the value of green bonds stood at over US$53 billion dollars outstanding.

its proceeds will be managed? What type of assurance should we consider? What should we monitor and report on during the life of the bond, and beyond?

Perhaps inevitably in a fast-growing market, challenges and confusion can arise as organizations assess whether issuing a green bond is the right course of action for them and seek to understand the process involved.

KPMG member firms are increasingly working with clients who issue green bonds. Our professionals advise on the financial structure of bonds, on the relevant frameworks and principles, and on aligning green bonds with the organizationâ&#x20AC;&#x2122;s broader sustainability and strategic objectives. Member firms also provide assurance over organizationsâ&#x20AC;&#x2122; claims about compliance with stated criteria, management process, controls and reporting on the performance of the green bond.

Clients typically ask KPMG member firms a number of questions, including: what is the definition of a green bond? Is this the right financing solution for us? How do we set robust green criteria for the bond and for how

In this paper we answer some of the questions clients typically ask. We seek to highlight possible opportunities and challenges in the green bond market, and provide guidance on the process of issuing a green bond.

What is a Green bond? A green bond, like any other bond, is a fixed-income financial instrument for raising capital through the debt capital market. In its simplest form, the bond issuer raises a fixed amount of capital from investors over a set period of time, repaying the capital when the bond matures and paying an agreed amount of interest (coupons) along the way.

www.EQMagLive.com

April-May 2015

49Â

“The Indian Government is targeting a further 175GW of additional renewable energy capacity across the country by 2022. There is a significant requirement for innovative financing mechanisms to help meet this challenging target. At YES BANK, we kickstarted the green infrastructure bond market in India by issuing the first ever green infrastructure bond of US$160 million (INR10 billion) which will fund renewable energy projects such as solar, wind and biomass projects. This landmark bond issuance has proven to be highly attractive to investors and was twice oversubscribed, reflecting the appetite for green infrastructure financing in India.” -Rana Kapoor, Managing Director & Chief Executive,YES BANK The key difference between a ‘green’ bond and a regular bond is that the issuer publicly states it is raising capital to fund ‘green’ projects, assets or business activities with an environmental benefit, such as renewable energy, low carbon transport or forestry projects. Bonds can also be used to fund projects with a social or community benefit such as improving healthcare or social services, and these are typically known as ‘social’ or ‘social impact’ bonds.

“The NAB Climate Bond attracted significant investor interest by offering the same terms and credit profile as other NAB bonds with the additional feature that proceeds are ring-fenced for financing renewable energy projects. Accessing non-traditional NAB debt investors such as those focused on Socially Responsible Investing (SRI) was a benefit of issuing a Climate Bond, as well as enhancing NAB’s profile as the largest debt financier of renewable energy in Australia. In addition, the NAB Climate Bond is the first bank-issued bond to be certified in compliance with international Climate Bonds Standards.” -Steve Lambert, Executive General Manager, Capital Financing, Products & Markets, National Australia Bank

In this paper we focus on the labeled green bonds market (i.e. where the issuers and/or indices label the bond as green), rather than the wider market of bonds that may have broad environmental benefits but are not specifically labeled as ‘green’ (such as bonds that raise funds for improving rail transport). The labeled green bond market tripled in size between 2013 and 2014 , with

US$37 billion issued in 2014. Historically, supranational organizations such as the European Investment Bank and the World Bank, along with governments, have been the most prolific issuers of green bonds, accounting for all labeled issues between 2007 and 2012. However, there has since been a sharp rise in the number of corporate green bonds issued. In 2014, bonds issued by corporations

Some notable recent corporate and government Green bonds include : Private sector green bonds YES BANK: the first green bond in India was issued in February 2015 by the country’s fourth largest private sector bank. The bond will fund renewable energy and energy efficiency projects. KPMG in India will provide assurance on the management of proceeds each year during the 10 year life of the bond. National Australia Bank: the bank raised AU$300 million (US$250 million) for wind and solar energy farms in December 2014. It was the first major green bond to be certified under the Climate Bonds Standard. Stockland: in October 2014, the property firm was the first company to issue a green bond in Australia, raising EUR300 million (US$380 million) to fund green building projects. KPMG in Australia provided assurance over the use and management of proceeds and will continue to assure Stockland’s annual performance reports. GDF Suez: the utility company was the world’s largest corporate issuer of green bonds in 2014, raising EUR2.5 billion (US$3.4 billion) in total for renewable energy and energy efficiency projects. Unilever: the first corporation in the fast moving consumer goods (FMCG) sector to issue a green bond, and the first to issue in the Sterling market. The company raised GBP250 million (US$415 million) in 2014 for greenhouse gas (GHG), water and waste reductions, to support its ‘Sustainable Living Plan’. KPMG in the UK provided assurance over Unilever’s assertion about their management of green bond proceeds. Public sector green bonds Île de France: the French regional government that covers Paris raised EUR600 million (US$830 million) for a range of projects such as installing renewable energy in schools and providing energy efficient social housing. Île-de-France was the world’s largest municipal issuer of green bonds in 2014. Massachusetts: the US state issued the first municipal green bond in 2013 to fund a range of environmental projects including public building energy efficiency improvements, habitat restoration and water quality improvements.

April-May 2015

www.EQMagLive.com

Evolving Guidance in the green bond market Green Bond Principles

Climate Bonds Standard

Green Bond Indices

Who developed it ?

A group of over 50 large financial institutions.

The Climate Bonds Initiative, an international investor focused not-for-profit organization

Each index is run by a bank or credit rating agency, sometimes in collaboration with another party (e.g. a research organization)

What is it?

A set of principles that outlines good practice for the process of iss uing a green bond, including:

A standard that issuers can have their green bond certified to.

A growing number of green bond indices launched by investment banks or credit rating agencies including: • Barclays/MSCI • Standard & Poor’s/Dow Jones • Bank of America Merrill Lynch

Use of proceeds: the principles recommend issuers define and disclose their criteria for what is considered ‘green’ i.e. what projects, assets or activities will be considered ‘eligible’ and what funds will be spent on. P r ojec t ev a lu a tion a n d selection: what process will be used to apply ‘green’ criteria to select specific projects or activities. Management of proceeds: what processes and controls are in place to ensure funds are used only for the specified ‘green’ projects. Reporting: how projects will be evaluated and progress reported against both environmental and financing criteria.

The standards define what is considered ‘green’ and the technology specifications for certain types of climaterelated projects. Currently standards are available only for wind and solar energy generation projects. Standards for green buildings, transport, biomass, water and agriculture/ forestry projects are being developed.

The indices are designed to help investors benchmark green bond performance. Inclusion on a green bond index could improve issuers’ reputation, credibility and visibility to investors. Each index has different requirements for eligible green bonds. For example Barclays/ MSCI excludes large-scale hydro projects and corporate energy efficiency projects, despite these being labeled green by some issuers and considered green by some investors.14

Is it voluntary?

Yes

Is third-party assurance required?

Recommended

Yes

Varies due to different listing requirements of each inde

Barclays MSCI (2014). Barclays MSCI Green Bond Index: Index factsheet

in the energy and utilities, consumer goods, and real estate sectors accounted for one third of the market. Substantial further growth is predicted and it is forecast that in 2015 the value of green bonds issued will reach US$100 billion.

Considerations for green bond issuers The questions clients typically ask when deciding to issue a green bond can be categorized into five key themes. Here we provide guidance that draws on the experience of KPMG professionals.

www.EQMagLive.com

1. Should we label our bond ‘green’? 2.How do we define what makes the bond ‘green’? 3.What should we report on after issuing a green bond? 4.What type of external assessment should we seek? 5.How can we avoid accusations of ‘greenwash’?

as ‘green’ is a win-win, requiring little additional effort but improving the issuer’s credentials as a sustainable and responsible organization. For others, a green bond may not be the most appropriate or effective means to raise funds.

1. Should we label our bond ‘green’?

Potential benefits

For some issuers, labeling a bond

Here we explore the potential benefits and drawbacks of green bonds.

Green bonds can give issuers access to a

April-May 2015

broader range of investors than regular bonds or other asset classes. They can attract new investors focused on environmental, social and governance (ESG) performance. In the case of a green ‘use of proceeds’ bond, proceeds are raised for specific green projects, but repayment is tied to the issuer, not the success of the projects. This means the risk of the project not performing stays with the issuer, rather than investor. This can attract new investors that would otherwise avoid investing in green projects due to the higher perceived risk of nonrepayment. Over time, increased demand is likely to drive increasingly favorable terms and a better price for the issuer, compared to a regular bond from the same issuer. While there is limited evidence of this trend to date, it is likely many issuers of green bonds have attracted new investors. For example, the US State of Massachusetts issued both a regular corporate bond and a green bond in 2013. Both issues were priced identically, yet the green bond was 30 percent oversubscribed while the regular bond was undersubscribed. Green bonds can also enhance an issuer’s reputation. Issuing a green bond is an effective way for an organization to demonstrate its green credentials by showing its commitment to the environment and improving its own environmental performance. The process of issuing and managing the proceeds of a green bond can improve awareness within the organization of the issuer’s sustainability goals and

develop closer relationships between finance and sustainability professionals.

Drawbacks These benefits need to be weighed against potential limiting factors. The issuance and ongoing costs associated with a green bond could be greater than those of a regular bond. These costs include additional tracking, monitoring and reporting processes, as well as up-front investment to define the bond’s green criteria and sustainability objectives. Furthermore, investors may seek penalties for a green default, whereby a bond is paid in full but the issuer breaks agreed green clauses. Whilst an enhanced reputation is a significant benefit, issuers need to minimize their reputational risk. There are currently no standardized criteria for what makes a bond ‘green’ and no strict requirements for tracking or reporting on proceeds. This can leave issuers open to criticism and accusations of ‘greenwashing’.

2. How do we define what makes the bond ‘green’? There are several evolving standards and sources of guidance on green bonds, all of which have a different purpose and approach. These include the Green Bond Principles, the Climate Bonds Standard, green bond indices and sector-specific standards.

It is important to note that these are all currently voluntary, and in some cases, lacking in detail, leading to little consensus on defined criteria for green bonds. KPMG recommends that green bond issuers apply the most rigorous and transparent approach they can to the selection of green criteria within the guidance and standards that are currently available to them. KPMG recommends that issuers define their green bond in line with the available guidance and investor expectations. The following approach could be considered by issuers:

Green Bond Principles: The principles do not specify exactly what makes a bond ‘green’. However, applying these highlevel principles can help to ensure the process for managing a green bond is credible.

Climate Bonds Standard: Where a relevant Climate Bonds Standard has been published, issuers could consider applying the green criteria specified in the standard. KPMG member firms are approved verifiers of the Climate Bonds Standard.

Existing sector-specific standards: If technical criteria are not available for the projects in question, issuers could

Optimizing the capital structure and alternative financing solutions “Whilst green bonds present corporates with an interesting alternative source of capital and pool of investors there is a range of alternative funding routes and providers of capital available. We recommend organizations fully explore, understand and challenge their financing options before embarking on the fund raising process. “Green bond issuers should consider the following parameters: • Length of term: the debt capital market provides access to long-term capital versus the bank market, with a typical term five or more years • Minimum issue size: the standard minimum issuance size of a bond is typically US$200 million • Penalties for prepayment: investors may seek onerous penalties for early repayment • Credit rating: first time bond issuers typically require a minimum of one credit rating from a globally recognized rating agency in order to generate liquidity for their debt, and through doing so, will be exposed to greater public scrutiny from a wider range of stakeholders. “KPMG member firms have been supporting a number of large corporate and not-for-profit clients with identifying and challenging their financing objectives to help ensure the preferred funding solution supports delivery of the wider corporate strategy and achieves the most cost effective and flexible financing structure.” -Tim Metzgen, Director, Capital Advisory, KPMG in the UK 52

April-May 2015

www.EQMagLive.com

“Standardized criteria for what makes a bond ‘green’ are critical for the future credibility of the market. If too many issuers have the green credentials of their bonds challenged, this could affect the growth of the market by discouraging both future investors and issuers. In my view, the market would benefit from greater alignment among evolving guidance and standard-setting organizations including the Green Bond Principles and Climate Bonds Standard. “In the meantime my advice to issuers is to only issue green bonds that meet tested criteria, that avoid belowmarket environmental efficiency improvements, that relate closely to the major environmental challenges we face such as climate change and water scarcity, and that do not fund controversial projects.” -Wim Bartels, KPMG’s Global Head ofSustainability Reporting and Assurance consider applying existing industry-specific standards or frameworks. For example, KPMG client Stockland issued a green bond to fund green building projects in line with the Green Star rating system for sustainable property developed by the Green Building Council of Australia.

Investor expectations/indices: Bond issuers should carefully consider the needs of their target investors and investment indices as part of the bond development process. Some investors may have specific or minimum requirements. For example, the credit rating of the issuer, the price of the bond, the environmental objectives, the projects to be funded, and the type of reporting and assurance can be considered by green bond investors. Some investors may not invest in bonds issued by organizations whose overall business activity they consider to be insufficiently green. Guidance from a consultancy or specialist can be helpful in developing criteria for green bonds. KPMG recommends that issuers test their draft bond criteria with stakeholders, such as targeted investors and NGOs, to reduce the risk that they may be perceived as not strong enough.

3. What should we report on after issuing a green bond?

www.EQMagLive.com

What should a green bond performance report contain? “Your approach to reporting on the performance of a green bond should be no different from your approach to reporting on your organization’s sustainability performance. Issuers can therefore apply existing sustainability reporting standards and frameworks such as the Global Reporting Initiative. In my view, a high quality green bond performance report should therefore: • Disclose the issuer’s approach to managing green bond proceeds, tracking proceeds and to monitoring environmental impacts of funded projects • Identify any indicators for monitoring and reporting on environmental impacts of funded projects • State any short, medium and long term goals or targets that progress will be measured against • Disclose the environmental performance of the green bond and report progress against targets • Make it clear whether reported information was assured by an independent third-party.” -Adrian King, Global Head,KPMG Sustainability Services

As the market continues to grow and mature, KPMG expects more issuers to publish annual reports on the status of their green bonds and to provide information on the environmental outcomes of the investments. KPMG recommends bond issuers report on the environmental and/ or social benefits delivered by projects at regular intervals during the life of the bond or projects invested in, at least annually (in line with the Green Bond Principles). For the green bond market to have long-term credibility, investors and other stakeholders need evidence that the projects funded have in fact delivered the intended environmental benefits. KPMG expects green bond issuers to come under increased pressure in future to disclose such information. Issuers should design monitoring and evaluation processes in advance, and implement key performance indicators and data collection systems to monitor environmental outcomes of projects over time. This will help to reduce the risk of being unable to demonstrate a green bond has met its environmental objectives or of accusations that claims on the environmental benefits of funded projects have been overstated. Issuers may benefit from quantifying the environmental and social value created by their bonds in financial terms using one of

the emerging quantification methodologies (such as KPMG True Value). Quantifying the social and environmental value created enables the positive impact of the bond to be communicated to investors and other stakeholders in terms that are easily understood and compared.

4. What type of external assessment should we seek? Given that there is a potential reputational risk if a bond’s green credentials are challenged, issuers often look to external consultants to guide them in designing their green bond criteria and processes. Equally, investors are increasingly seeking evidence that the criteria for the use and management of proceeds are robust, and that proceeds are indeed used to fund the intended green projects. In KPMG’s view, there is currently confusion in the market between second party opinions and independent third-party assurance. These are two different approaches with different objectives and benefits.

Second opinion Second party consultation, often called a ‘second opinion’, provides a view on the green aspects of the bond from an

April-May 2015

“In my experience, investors are increasingly interested in the environmental impact of climate finance. EIB is currently the only international finance institution that reports both absolute and relative GHG figures for its projects, at individual project and aggregate level, across all sectors of its operations. In the policy areas of renewable energy and energy efficiency, Climate Awareness Bonds, EIB’s ‘green bonds’, complement this data with reliable information on the pace of disbursements. The proceeds are allocated exclusively to actual payments selected on the basis of demanding criteria that are known to investors ex-ante. EIB reports regularly on the recipient projects and their expected impact in a dedicated newsletter, making itself accountable. CABallocations are reported in detail in the sustainability report and in aggregate in the financial statements. The credibility of this transparent approach, which serves the sustainable development of the green bond market, is enhanced by the audit of both documents by an independent provider.” Aldo M. Romani, Deputy Head of Funding, Euro European Investment Bank external expert, typically an environmental consultant. The consultation focuses on reviewing the environmental criteria the issuer will use to select projects for funding (this is defined as ‘Use of proceeds’ criteria by the Green Bond Principles). This approach is helpful because issuers are given some level of comfort that their ‘green’ criteria are appropriate and investors can have some

The future of green bond assurance “For institutional investors, the green bond market is currently a bit like the ‘wild west’, with significant pioneering efforts, aggressive marketing and few established rules. Investors though need to be assured that proceeds of the green bonds in which they invest are being allocated to qualifying projects appropriately, and are subsequently producing the intended positive impacts. Having evolved quickly, current attempts at assurance in the marketplace often involve a consultant or researcher’s ‘second opinion’ on an issuer’s general intentions. However, in my view assurance should be conducted in line with professional standards, providing an independent assessment of adherence to stated green criteria and related systems and controls. “Over time, responsible investors will recognize that they require such independent assurance to satisfy their own governance and risk management policies. This expected growth of assurance will parallel the similar growth of thirdparty assurance of corporate responsibility reporting.20” Bill Murphy, Sustainability Services, KPMG in Canada

the result of the consultation is not always reported because the bond issuer decides whether or not to make the opinion public.

Independent Third-Party Assurance Third-party independent assurance is recognized by the Green Bond Principles

“Whilst an opinion from a second party can help issuers to define their use of proceeds criteria (what is ‘green’), investors could still question the management of proceeds and ongoing reporting and performance. Before issuing a green bond, organizations also need robust processes and controls for selecting projects according to their green criteria and for managing proceeds. This will increase the likelihood that money will be invested as planned after issuance. Third-party independent assurance can provide investors and other stakeholders with confidence that the issuer has put such criteria and processes in place.”

The limitation of a ‘second opinion’ is that it is only a forwardlooking view and so does not address whether or not the bond has been managed as intended. There can be a lack of consistency or transparency around the process used by opinion providers and 54

April-May 2015

In the case of green bonds, assurance can be provided on the bond criteria, project selection and evaluation, internal processes for tracking proceeds, non-financial data on environmental outcomes, and processes for preparing progress reports.

“Institutional investors are becoming increasingly conscious of, and accountable for the sustainability of their capital investment. As a result, this has created very tangible demand amongst debt investors for instruments such as green bonds. Being the first Australian corporate to issue a green bond has confirmed that investors recognize our leading sustainability credentials and are confident in our commitment and ability to consistently deliver sustainable outcomes on our projects.” Tiernan O’Rourke, Chief Financial Officer, Stockland

Paul Holland, Sustainability Services, KPMG in the UK confidence that the issuer intends to invest the proceeds appropriately.

assurers are genuinely independent from the bond issuer.

as the most rigorous form of assessment. Widely applied to financial and nonfinancial reporting, it is conducted by audit professionals in line with national and/ or international professional standards such as the International Standard on Assurance Engagements 3000 (ISAE 3000), and relevant quality and independence professional standards to ensure that the

Third-party assurance provides investors with the highest level of confidence that the bond issuer’s processes to track the management of proceeds or to report on outcomes are robust. It can also be used retrospectively throughout the life of the bond to provide assurance over the bond performance as proceeds are deployed.

www.EQMagLive.com

5. How can we avoid accusations of ‘greenwash’? The lack of standard definitions of what makes a bond ‘green’ has led to uncertainty over whether all green bonds really are ‘green’. Issuers face reputational risk and potential accusations of ‘greenwash’ if: • Bond proceeds are used to fund activities that some stakeholders believe are not ‘green’ enough • Core business activities are seen as unsustainable. For example, some stakeholders have criticized energy companies for issuing green bonds to fund renewable energy projects, while also being involved in nuclear power generation. • Proceeds are not tracked or managed tightly enough to ensure they are used only for the intended projects. Some issuers have faced criticism over management of proceeds, for instance for holding unallocated proceeds temporarily in non-green funds while projects are in development • Issuers are unable to prove that proceeds have been used to meet green objectives and that the funded projects have benefited the environment. In KPMG’s view, issuers can protect the credibility of their green bond by: • Defining green bond criteria clearly in line with evolving guidance and standards: apply a rigorous and transparent approach to defining what is considered ‘green’ • Being transparent with investors: we recommend issuers are transparent with potential investors about the bond criteria, in order to avoid any misunderstanding over how funds will be used.

www.EQMagLive.com

• Putting in place robust management processes and controls: we recommend issuers develop processes and controls in line with the Green Bond Principles. The principles require issuers to disclose how proceeds are used and show that the amount spent matches the level of investments made in green projects throughout the life of the bond. It is important to ensure that the amount of capital raised is in line with the cost of projects to be funded and that there are either enough green projects in progress, or planned, to account for the proceeds raised. Issuers should also plan in advance where proceeds will be held if they are not invested immediately. Investors may require evidence that proceeds are not held in non-green funds or used for ‘non-green’ (‘brown’) projects in the meantime. The Climate Bonds Standard requires issuers to disclose any instance of proceeds not being used in line with the agreed criteria. KPMG recommends issuers should be prepared to provide evidence to a third party of the tracking mechanisms and process in place, to give investors greater confidence that the proceeds are used in line with the terms of the bond. • M e a s u r i n g a n d r epo r t i n g on environmental outcomes: consider how progress against environmental and/or social objectives will be monitored and report at regular intervals through the life of the bond or the funded projects. • Selecting an appropriate type of assurance: consider seeking independent third-party assurance to provide investors with confidence in the processes, controls and information reported.

As the green bond market continues to develop, it provides public and private sector organizations with an important source of funding for activities that can bring significant benefits to the environment and society. However, the market is not without risks and challenges. The lack of clear definitions of what is considered ‘green’, requirements on how proceeds should be tracked, managed and reported on, and the lack of assurance requirements over information reported, all need to be addressed if the market is to build credibility and continue its rapid growth. KPMG predicts that guidance and requirements over the use, management and reporting of proceeds and project performance may be tightened over the next two to three years and that patterns of standard or accepted practice should begin to crystallize. This could have a positive impact on the market, with growing standardization leading to lower transaction costs for issuers. This, in turn, would serve to encourage more green bonds to be issued, greater investor interest and confidence, and a better price for issuers. Bond issuers should take a rigorous approach to the use and management of green bond proceeds now without waiting for mandatory requirements to emerge. Issuers that do so are likely to build increased credibility with investors, underwriters and rating agencies, as well as reducing their own reputational risks. Given that green bonds are long-term financing vehicles, the reputational risk to issuers extends for many years across the life of the bond and beyond, therefore it is advisable to seek to reduce that risk from the point of issuance onwards.

Conclusion EQ

April-May 2015

I N T ERV I EW

Exclusive Interview With Anita Liu, Jinko Solar EQ : In 2014 , JinkoSolar gave another good set of yearly results, which showed steady performance in margins and sharp growth in solar panel shipments. It generated more than $100 million in net profits last year, in contrast to many of its Chinese peers who bled money. What are the driving engines to enable JinkoSolar faster growth than peers. AL : Vertical integration, costs advantage, industry leading technology, proven quality and wide geographic footprint makes it a top pick. EQ : The company shipped nearly 3 GW of solar products in 2014, making it the world’s 3rd largest shipper of solar modules. What made JKS a winner in the last year? And what are your main contribution markets? AL : We have established strong presence not only in the major markets of China, USA, Europe and Japan but also in the smaller and faster growing markets of Chile and India. During 2014, the company made sales to 59 countries. We are given the strong long term growth outlook for the solar industry and its strong position by investors, customers and bankers. So JinkoSolar is one of the most bankable PV companies. EQ: In addition to sales expansion, Jinko Solar speed up capacity expansion not only in China, but in overseas countries, what is the status and planning? AL : Now we have established 5 production facilities in China, South Africa, Portugal and Southeast Asia in order to better serve local customers to fulfill

April-May 2015

their demand and specific product requirement. 1) Increasing Project Pipeline and Diversification - Jinko Solar continues to strengthen its pipeline of projects. With a growing project pipeline, the management anticipates that transferring project assets to its potential yieldco will lead to additional value enhancement. SunEdison (NYSE:SUNE) has been extremely successful with its yieldco model.

EQ : It is predicted that given the current trajectory JinkoSolar may become the 2nd largest player in 2015. What do you think? AL : We focus on process rather than gaining in ranks. Now it is too early to give this prediction.

EQ : JinkoSolar’s revenues for the full year was $1.61 billion, which was an increase of 41% from the last year. JKS keeps first in terms of gross margin and profitability, how do you achieve that? AL :

• industry-leading cost structure • Above industry average ASP

www.EQMagLive.com

• Strong Outlook – We estimate a YoY growth between ~10%-26.6% in 2015

• Financing strength - JinkoSolar is dramatically deepening its finance pool and lowering its costs of capital, which should give us a huge competitive edge moving forward.

• Higher module efficiencies thanks to technology innovation Actually JinkoSolar has maintained and improved many key metrics while doing so, we are confident that we are finally shaping up for the better.

Caption Anita Liu at Jinko S o l a r Booth.

EQ : Now JinkoSolar has been a prime example of the increasingly healthy state of the Chinese solar manufacturing industry, and is rapidly differentiating itself through its deepening finance pool and increasingly healthy financials. Can you explain it further AL : JinkoSolar has been effective at taking advantage of this situation, getting access hundreds of millions and even billions of dollars in funding. Just a few weeks back, We secured $479M in financing from Minsheng Banking Corporation (OTCPK:CGMBF), which should be a huge help to further develop JinkoSolar’s manufacturing and downstream ambitions. Even better, Minsheng Bank agreed to a $161M deal with JinkoSolar just a year earlier, which implies that financing institutions are more than willing to continue ramping up investments into solar PV. As financing institutions get more positive exposure to solar PV, our financing pool should continue widening at an exponential pace.

Regarding to healthy financials, JinkoSolar has great financials, which is rare

www.EQMagLive.com

EQ : It is well known that JinkoSolar has superior cost-structure, do you have further cost reduction planning?

I NTERVI EW

Clearly, JinkoSolar is doing a great job of expanding its access to financing, and does not look to be slowing down anytime soon. We are ahead of its competition in terms of financing capabilities, as is evident in its ability to obtain more innovative financing deals. Given the generally higher capital costs associated with solar PV, such extensive financing deals should give JinkoSolar a competitive edge moving forward in the form of lower capital costs.

in the Chinese manufacturing solar industry. The company reported a nearly unrivaled(among Chinese competitors) a yearly margin 22.4%. In an industry where leading Chinese solar manufacturers regularly report margins in the 10-15% range, JinkoSolar is certainly exceptional. More importantly, the company’s gross margins have only been improving over the past few years, and has jumped more than 200 basis points since 2013. Not only does a high gross margin increase JinkoSolar’s profitability, but it also more effectively shields the company from potential future volatility, which is highly likely in the exceedingly volatile Chinese manufacturing industry.

AL : JinkoSolar still has strong cost reduction momentum through comprehensive vertical integration and extensive supply chain, further enhanced commodity-level efficiencies and better business operation practice and management, despite the our already stellar cost-structure. We are looking to improve our margin moving forward.

April-May 2015

N O RT H A MERI CA

Utilit y- Grade Solar Energizes Communities In North Carolina

Author: Tom Bowker, Alpha Energy Director of Business Development, Renewable Energy Systems

tility-grade solar is generating a

Solar developer Geenex and energy

time and on budget. The size of the project

lot more than just talk in North

investment company ET Capital, partnered

and the use of 866 string invertors made

Carolina (U.S). The state was

to develop the HXOap Solar Farm. Duke

this project unique. Alpha Energy is the

ranked second nationally after installing

Energy became owner and operator of

first U.S. engineering, procurement and

397 MW of new solar electric capacity

the completed project in December 2014,

construction (EPC) contractor to construct

in 2014. Only California installed more

and promptly began selling the renewable

a string-level distribution system of this size.

solar in that year. Public policy, such as

energy to Dominion North Carolina

state and federal tax incentives, private

Power through a 15-year power purchase

sector leadership and rapidly falling costs

agreement (PPA).

The ground-mounted system uses driven-post foundations.

associated with solar energy have all played

The nearly 99,000 solar

a role in the continued increase.

panels are connected to a total of 866 Advanced

One of the more

Energy 3-phase 1,000

notable North Carolina

volt DC non-isolated

projects in 2014 was

string inverters for

the 29.6 MW HXOap

power conditioning.

Solar Farm, constructed

The design is consistent

by Alpha Energy in

and optimized with

Roanoke Rapids (Halifax

the placement of each

County), North Carolina.

inverter, AC panel

On a cool winter day last

and transformer pad.

December when operators

The architecture

powered up the facility,

of the inverter

it was the largest string

an d

inverter system operating

distribution

in the western hemisphere

system is unique

ele c tric al

and one of the largest PV

when compared to the

systems on the U.S. east

typical utility grade PV generating plant.

coast. The HXOap Solar

Duke Energy is a key player in the

A typical project would have most likely

Farm is able to produce electricity for

development of utility grade solar in

utilized 20-1000 kVA central inverters and

roughly 3,500 homes, and brought with

the United States. Its regulated utility

minimal AC distribution components. This

it environmental and economic benefits to

operations serve roughly 7.3 million

facility used 98,724 solar panels connected

the community.

electric customers located in six states

to 866 string inverters. A standardized

in the Southeast and Midwest. According

array layout connects each inverter to

The location for this unique solar farm

to a May 7, 2015 press release, Duke is

subarrays consisting of 19 modules per

is the decommissioned Halifax Airport.

investing $500 million in solar energy in

source circuit with six strings per inverter.

The airport was replaced with the Halifax-

North Carolina, and plans to build up to

Northampton Regional Airport in 2009.

500 megawatts of solar in Florida by 2024.

Since then, the 220-acre site has sat

AlsoEnergy, which provides monitoring solutions for the energy market, coordinated

abandoned, with aging buildings scattered

Alpha Energy, a full-service engineering

monitoring and communications of the

throughout and weeds growing out of its

and project development company, provided

string inverters, multiple met stations and

large runway.

engineering consultation and construction

site meters. Custom alerts and simplified

on the project, helping deliver the project on

views were created to highlight and roll

58Â

April-May 2015

www.EQMagLive.com

up individual inverter fault information that

renewable energy projects can benefit

Governance & Competitiveness, “377

would not turn into indiscernible noise from

a local economy the same way as other

facilities totaling 3,034 MW in nameplate

the 866 inverters on site. They deployed

development activities, including new, jobs,

capacity are in various stages of planning

and configured a custom VPN for secure

energy cost savings, higher property values,

and development,” though at this time it is

data transport to the connecting utility

improved local business competitiveness,

uncertain how many of these projects will

and off-taker. The robust communications

local market and industrial development,

be completed.

infrastructure, which allows the monitoring

marketing and branding opportunities for

and reporting of the field mounted devices,

the community.

combines fiber optic communication distribution with modbus data transfer from the equipment in the array.

One of those new facilities will be built this year with the help of Alpha Energy.

In 2013, Halifax County was listed as

Alpha has just been contracted by Principal

the third poorest county in NC. More than

Solar Inc. as its engineering, procurement

a quarter of the population lives under the

and construction (EPC) partner to build a

In order to meet the size requirements

federal poverty line (household income of

100 MW solar farm in Cumberland County.

of the PPA, the project was constructed

$23k for family of four). Roanoke Rapids

in a way that interconnected - at two

is considered one of the 10 poorest cities

Construction began this May on the

different voltages - to distribution systems

in the nation. It was estimated that this

facility, named Principal Sunrise IV, and

fed by two different substations. 25

project could generate $75 million into the

it’s expected to be operational by the

percent of the projects output, known as

economically challenged area between 2014

end of the year. The project will be the

the north interconnection (5MWAC), was

and 2029. It brought roughly 200 temporary

largest solar facility east of the Rockies,

interconnected at a voltage of 13.2kV. The

jobs and boosted local businesses during

and like the HXOap Solar Farm, the power

south interconnection, which was 75 percent

construction. Long term benefits will likely

produced is expected to be purchased by

of the output (15MWAC), was connected to

include permanent jobs and an increase in

Duke Energy, through a 15-year power

a 34.5 kV distribution system. There are two

visibility and pride for the community.

purchase agreement. While some details

different revenue grade meters one at each interconnection.

on the equipment specifications remain to The project revitalized 220 acres of

be completed, the facility is expected to

previously abandoned property, which is

use roughly 320,000 solar panels tied to a

Now that the project is complete the

increasing local tax revenue while not

central inverter system. It is being built on a

benefits are being realized in many ways.

impacting undeveloped property. The lack

530-acre tract of land near the town of Hope

According AlsoEnergy’s live “dashboard”,

of noise, air and water pollution allowed

Mills. The facility is expected to generate

the facility has generated 12.2 GWh of

the utility-scale solar farm to be built close

enough electricity to power 30,000 homes.

electricity as of mid-May, which equals a

to urban centers and wildlife areas, which

The future of solar looks bright for the U.S.

reduction in carbon emissions of roughly

will go a long way in helping improve and

According to the Solar Energy Industries

18.5 million tons, or equates to 945,063

preserve healthy communities.

Association (ASEI), roughly 20,000 MW

gallons of gas saved.

of solar capacity is forecasted to come North Carolina is expected to surpass

online over the next two years, doubling

The benefits of this project are more

its 2014 solar ambitions in the near

the country’s existing capacity, which is sure

than just gigawatt-hours generated and

future with a number of utility-scale solar

to generate a lot of talk as well.

dramatically reduced air pollution emissions.

projects. According to a recent report by

According to the U.S. Energy department,

Duke University’s Center on Globalization,

www.EQMagLive.com

April-May 2015

SO L A R P V I NV ERT ERS

Delta Highlights New Innovative Energy Storage Solutions And Solar Inverters At Intersolar 2015 The leading global provider of power and thermal management solutions will expand its product offering to include new energy storage solutions and inverters that meet the expanding needs of solar customers in Europe. Delta Energy Systems

t Intersolar this year Delta introduced new products to allow customers to benefit from solar energy even after the sun goes down. With electricity prices rising the storage and self-consumption of energy generated by PV systems can help customers use all the solar energy they produce, thus leading to greater energy independence and reduced utility bills. Delta will introduce two new energy storage systems – the DC-coupled 7.4 kWh system known as the Hybrid E5 and the AC-coupled 3.7 kWh system known as Flex E3. Further expanding its high-efficiency solar inverter line, Delta will also present two new inverters in the RPI series – the M30A three-phase commercial inverter with 30 kVA output and the H3 singlephase residential inverter with 3 kVA output. Delta visualizes a clean energy future where everyone can enjoy the benefits of renewable energy and energy savings. With the introduction of our innovative energy storage systems and solar inverters, Delta is providing solutions that help everyone meet their energy goals in a smart and eco-friendly way.

Energy Storage Solutions The Hybrid E5 energy storage system is composed of the RPI E5 hybrid inverter as well as an external battery cabinet equipped with a 7.4 kWh Li-ion battery, a smart meter and smart energy management box. The Hybrid E5 storage system is designed for new PV systems and features a high charging efficiency up to 97 %. This is made possible since the E5 inverter can send DC electricity generated by the PV system directly to the battery, without additional power conversion steps or equip60

April-May 2015

ment needed. Because the E5 inverter and battery cabinet ship as two separate compact pieces in the system, greater flexibility and simplified installation of the equipment are an added benefit. The smart meter monitors energy flow and sends the data back to the smart energy manager box, the intelligence in the system. The smart energy manager box not only controls the E5 inverter and battery functionality in an optimized way but it also serves as a gateway to the internet and provides complete energy and battery data coming from the system for online viewing. The data from the box is sent over the internet via a router and can then be viewed on the SOLIVIA Monitor application from an internet-connected laptop, tablet or smartphone.

The Hybrid E5 system features: • High peak efficiency (PV to Grid) of 97.2 % and nominal continuous power output of 5.0 kW for the E5 hybrid inverter • Power electronics are combined in one enclosure featuring 2 MPPT to connect 5 kW of PV panels, 125...250 VDC battery in/ouput and AC in/output. Thus, minimized mounting and interconnections are needed.

• Energy management box to control and optimize the system and the power usage of the owner. It provides all power consumption and battery status data to the user online. • Built-in customized energy management modes for different customer requirements. The Flex E3 is an AC-coupled energy storage system meaning it is installed directly on the AC Line, making it ideal for installation with pre-existing as well as new PV systems and is also compatible with other renewable energy sources such as small wind energy turbines. The unit consists of one compact cabinet designed to be wall mountable or floor standing with all needed equipment and software for operation included. It is available with a variety of system architectures for diverse customer needs with a single system offering storage capacity from 2.9 kWh to 3.7 kWh or with three systems in parallel offering up to 11.0 kWh depending on the selection of lead-acid or Li-ion batteries. Due to its high flexibility, the Flex E3 can be used in several different intelligent modes. Self-consumption maximizer mode is ideal for the users that want to optimize

www.EQMagLive.com

energy consumption from their Flex E3 battery and PV system to avoid purchasing costly grid electricity. Schedule mode allows the system to load and discharge its battery at fixed times to ensure the lowest overall energy price in countries where electricity rates fluctuate during the day.

efficiency of 97 %. The unit is the right choice for homeowners that are seeking an affordable solar inverter that has all essential functions plus reliable performance to generate clean solar electricity for the home. A wide input voltage range of 125 – 550 V and a single high-speed MPP tracker offer greater system flexibility in small power PV systems with fewer modules.

The Flex E3 system also features: • Delta’s own AC inverters which offer >96 % energy conversion efficiency and nominal continuous power output of 2.34 kW for a single system or up to 7.0 kW for a 3 systems in parallel configuration. •

Nominal battery voltage: 48

V • Remote monitoring and management through its communication capabilities that support Ethernet, RS-485, CAN bus interfaces. Compatible with the monitoring software SOLIVIA Monitor (and SOLIVIA Live app) for Delta’s PV inverters.

in large commercial rooftop installations with multiple roof orientations. The M30A electronics compartment with its IP65 enclosure rating is designed for protected outdoor installations, even in harsh environments. An IP65 AC plug is also included in the scope of delivery along with a wall mount bracket that allows the unit to be easily and safely installed onto a wall.

The inverters feature an innovative heatsink design for cooling which draws the heat away from the inverter through a natural convection process. Because there are no fans required, maintenance costs are reduced and audible noise is greatly reduced. Additionally, the intelligent cooling design extends the life of electronic components and increases the life of the solar Inverter. The RPI M30A and H3 will be available for delivery in select European countries starting in Q3 2015.  The Hybrid E5 and Flex E3 energy storage products will be available starting in Q4 2015.

Residential Solutions The H3 is a single-phase inverter with 3 kVA power output and features a high

• Built-in customized energy management modes for different customer requirements.

Commercial Solutions The compact RPI M30A transformerless three-phase inverter features a nominal 30 kVA output but enables maximum power output up to 33 kVA. This feature allows the inverter to provide 10 % more power and higher yields when compared to other 30 kVA inverters on the market. The inverter features an excellent power density-to-size ratio and very high max. efficiency of 98.5 %. For the system planner, maximum flexibility is ensured thanks to a wide input voltage range of 200 – 1000 V and 2 MPP trackers. Asymmetrical loading (33/67 %) is also possible, ensuring maximum yield

www.EQMagLive.com

April-May 2015

S O L A R O FF G RI D & RO O FT O P

Price And Quality Of PV Self Consumption Kits – Two Unknowns At The Same Equation -Hugo Silva – Lógica E.M. S.A.

Sometimes a low-cost product doesn’t imply necessarly a good quality product, but other times it does. On the other side, it’s usual to associate a high-cost product to an equal high quality product, although, there are times in which the product falls short of quality comparatively to the price.

his is not an easy solving “equation”. Most of the times, distributors/ promoters/ installers base their choice in a trial-erros method (i.e. when a brand or model doesn’t accomplish satisfaction among the costumers, it is changed for the next instalation. The choice for a certain product is oftenly based also on Certificates, manufacturing units audit reports and/or portfolio/references of other installations. It’s important to mention that each PV installation is unique: has its own characteristics; a unique geography; a unique transportation of equipments to the site of installation.

•Inverters: validation of inverter’s efficiency (%η);

April-May 2015

In Portugal there are already selfconsumption kits being sold since last year. Contrarily to the previous regulation (microgeration, in which 100% of the energy produced is injected into the public grid) nowadays it’s possible to buy a selfconsumption kit as a DIY product of power ranges between 200 W and 1500 W. Along with the selfconsumption kits, a different type of equipments will be used – microinverters – until now, not widely disseminated into the Portuguese market. According to the wide range of products in the market, to the reseller arises the need of choosing between one or an other product, which most of the times it’s not an easy task: What’s the criteria to follow? – the price? the guarantee? the quality? and how to evaluate the quality of the product?

aboratory tests have a crucial importance for the quality assessment of products (PV modules, inverters/microinverters and mounting structures). Lógica E.M. S.A. developed a comprehensive sequence of tests especially dedicated to selfconsumption kits:

•PV modules: electrical parameters assessment (eg. P, U, I, in a total of 10 parameters), electrical insulation, structural integrity assessment, etc.;

The Quality of Selfconsumption kits

• Mounting Structure: test wind uplift resistence of the mounting structure, in which the PV module is mounted and the structure fixed to concrete beams, simulating a real context of operation.

www.EQMagLive.com

Considering only one faulty PV module, it’s almost imperceptible in a several kW/MW plant. Altough, in a selfconsumption installation (up to 1500 W) where the total amount of modules can be up to 6 modules, the impact of a faulty PV module can lead to devastating consequences. According the end user’s point of view, the blame falls over the seller/ installer and not over the brand itself. This kind of opinion (which is understandable in some way) is not healthy to the market, leading to a chain-reaction of reputation propagation in the wrong way. With the release of the Portuguese LawDecree n.153/ 2014, selfconsumption installations between 1500 W and 1 MW also became a real possibility. A 1 MW plant implies approximately an amount of 4000 PV modules. Depending on the type of transport, it means a total of 4 fulfilled containers of PV. Installations of this size must have a different approach in terms of quality assessment. In terms of balance of systems, PV modules are the component which appears in the largest amount. The possibility of performing quality assurance tests to electrical parameters (and others) at the delivery site, is an added value that ensures a reliable operation during their life time.

The impor-

tance of ensuring Quality

It is known that all PV modules in the market for commercial usage are certified, and in addition their production lines are subject to rigorous audits. Although, the fact of being certified does not mean that modules will remain the same conditions they have when they left the production line until the time they are delivered at the PV plant location. From the point where modules leave the factory there may occur several adversities related

www.EQMagLive.com

with the handling, packaging/storage and transport. One of the most common defects is the so-called microcracks. These may have origin in mechanical and thermal stresses. This kind of defects is not viewable to the human eyes. It is only detected by electroluminescence imaging. The consequences of microcracks can be dramaticaly huge. According to a real context of tests performed by Lógica E.M. S.A., we have observed a deviation of more than 10% of Power Output on a 96 cells module, with only 2 cells afected with several microcracks. The effect of mechanical deserves another overview. It is known that certified modules are tested to withstand a maximum static mechanical load of 5400 Pa. All PV professionals have a common image on their mind: a person standing on a PV module. The static load produced by a middle size man (80 kg) over a PV module is about 16300 Pa! Three times more than the maximum load that modules are certified to withstand. Moreover, this load induces hundreds of severe microcracks on PV cells. There are also other defects related with: junction boxes (in 2013, more than 600 000 modules with defective juction boxes caused a flury); premature degradation of soldering; humidity infiltrations (which cause corrosion of several components); off-spec modules (modules with wrong labeling in terms of electrical parameters). Lately an other issue has been concerning the owner of PV plants – PID. Usually

this problem occurs on strings operating in high voltages (near to 1000 V). Although there are not yet clear conclusions about the PID effect, it may has two sources: a negative potential between cells and the ground (that causes an accumulation of positive charges over the cells), and the glass corrosion (due to high voltages). It produces sodium ions that will degradate the encapsulant and afect the p-n junction avoiding the normal current flow. According to tests performed during 2013 to a significant amount of samples, almost all of the so-called “PID free” modules were in fact not resistant to PID efect. It was observed the after 150h of PID stress test, there were degradations above 60% of the power output. The quality of materials such as cells, encapsulant and glass, are crucial to determine the resistance of a PV module to this issue. PID can although be reversible. It’s importante to note that the reversal of this efect takes equal time is PID took to afect cells. Nowadays there may be two ways to reverse PID efect: one is connecting the inverter negative pole to the ground; the other have to be with generating positive voltages (during the night, and near to String Umpp) – there are commercial equipments to produce this mitigation mechanism.

Preventive actions of inestimable value After a Quality Assurance package of tests previous to the installation, a preventive maintenance is in the forefront for the detection of system failures (eg. Detection of strings with lower power output than expected). After the detection, the identification and diagnosis of the failure is essential. An assessment to each module is crucial for the corrective operation – replacement with spare parts, guarantee or insurance. Quality Assurance tests are an extremely cost-effective actions that implies the ROI to be achieved within the expected period of time.

April-May 2015

S O L A R O FF G RI D & RO O FT O P

Hybrid Control Of PV Battery Based Microgrid System Umashankar S , Sonal Gaurav, Chirag Birla, Aman Lamba School of Electrical Engineering, VIT University, Vellore, Tamil Nadu Swaminathan Ganesan Schneider Electric, Bangalore, Karnataka

Introduction: More than 1.3 billion people living in remote parts of the world either have no access to electricity at all, or have limited access to unreliable electrical sources. Microgrid is an emerging concept that helps in solving this problem by managing local loads and distributed energy resources (i.e. PV cells, Wind Turbines, Diesel generators etc.) that can be operated in a controlled, coordinated way.

300 Wm-2 fed through a repeating sequence block. Due to this the output voltage and subsequently the output power changes. The output of the PV array is boosted 310V based on the requirement of the grid.

Figure 1. Block Diagram of the System

Our article deals with the management of Energy Storage Systems (ESS) connected in a Microgrid and regulate the battery charge, hold and discharge operations using power electronics based on the requirement of the Microgrid. Our work aims to integrate a non-conventional source of energy such as a PV array with the grid and battery system using a DC-DC buck-boost bi-directional converter. The system is then simulated for various modes based on different real world PV output and Load variation conditions in a Matlab Simulink environment.

The bi-directional converter used is a non-isolated type converter. It exhibits less conduction losses, no magnetizing current saturation and less weight and volume to enhance the system performance. The bidirectional Buck-Boost converter is used to boost PV output to battery voltage requirement during charging conditions and in discharging conditions reduce battery output voltage to desired value to supply the load. An AC load consisting of a series R-L branch connected in series with an AC voltage source is used in the system as the single phase grid. A dump load with resistance 15 â&#x201E;Ś is connected in parallel to simulate increase in load condition.

Figure 2. Output Voltage and Current graph of the load.

The Bi-directional Converter and the different operation modes of the system

Block Diagram: The block diagram for the implementation of this technique is shown in figure 1. The connection involves a PV array connected in parallel with a battery through a DC-DC Buck-Boost Bi-directional converter. This system is then connected in series with an AC Load through a DC-DC Boost converter and inverter across a DC link.

Methodology: The PV array operates at varied insolation levels of 1000 Wm-2, 700 Wm-2 and Figure 3. Output Voltage, State of Charge (SOC) and Current graph of the load. 64Â

April-May 2015

www.EQMagLive.com

Conclusion: The PV array along with the grid and battery is successfully simulated using a DC-DC buckboost bi-directional converter for different conditions of PV output and load variations. The system exhibits how a renewable source of energy such as PV array can work together with Battery in Microgrid to power local loads. The project demonstrates the usefulness of a Bi-directional converter in regulating battery charging and discharging efficiently.

References [1] T. Suman, “A New PV/ Fuel Cell Based Bidirectional Converter for Microgrid Applications”, International Journal of Emerging Engineering Research and Technology, vol. 2, Issue 5.

Figure 4. Output power graphs for PV array, Load and Battery. are controlled using a control logic system. The Bi-directional converter IGBTs are controlled using multiport switches. Each multiport switch connected to the IGBT works alternatively depending upon the mode of operation. The PV array and the battery system are connected to the load using ideal switches. The multiport switches and the ideal switches are together controlled using From-Goto blocks in Simulink which are fed signals from logic system. The ideal switches are closed when input is 1 and open when input is 0. Using this logic the controller generates an output of 1 or 0 as required during the operation of the different modes.

drops and PV only supply’s the load. Mode 3 runs from 1.6 to 2.4 sec during which the battery supply’s the load. Mode 4 runs from 2.4 to 2.8 sec during which PV and battery both supply the increased load. The output graphs of load and battery is shown in figure 4 and figure 5 respectively. The power graph during the simulation is shown in figure 6.

Applications and Cost Analysis:

Results:

The system is reliable for usage for offgrid and grid interactive operations. Good opportunity to work together in a Microgrid with renewable sources of energy such as a PV array and provide continuous source of power to local loads.

The output graphs of the load and battery obtained during simulation of each mode represent the performance of the system under specified conditions of battery charging and discharging. Mode 1 is from 0 to 0.8 sec simulation time during which the PV output is optimum. Mode 2 runs from 0.8 to 1.6 during which the PV output

We calculate the cost of the components used in our project is approximately Rs. 12,700. The cost of a similar existing technology in market is Rs. 17,500 [4]. Hence analyzing our project costs with the existing technology cost we find that our project is 27% cheaper than the existing technology costs.

www.EQMagLive.com

[2] Hasan, Haque, Negnevitsky, “Control of Energy Storage Interface with Bidirectional converter for Photovoltaic Systems”, AUPEC, 2008. [3] http://new.abb.com/smartgrids/ smart-grid-technologies/energy-storagesolutions/battery-energy-storage-systems/ key-benefits. [4] http: // w w w.eb ay.in / itm / Su kam-Solar-Power-Conditioning-UnitPCU-Hybrid -Inver ter-10 0 0VA-24V1KVA-/281300613024

April-May 2015

S O L A R O FF G RI D & RO O FT O P

A Brighter Future In Uttar Pradesh Thanks To Solar Home Lighting Systems DuPont™ Solamet® photovoltaic metallization pastes help maximize the power output of solar panels, illuminating new opportunities for families and villages. DuPont India

DuPont™ Solamet® metallization pastes help to maximize power output for solar panels used for home lighting systems

and increasingly more accessible.

Project provides light to approximately 400,000 rural households

Challenge

Systems can save t ypical households about 20,530 rupees ($325 USD) per year on kerosene Allows for extended business hours and more time for school work and chores SUMMARY In rural India, 300 million villagers live without access to electricity, depending instead on kerosene lamps for light. This use of kerosene exposes them to health and safety hazards, including toxic fumes and risk of fire. Affordable and reliable solargenerated lighting systems have helped nearly 400,000 households in Uttar Pradesh, India, to enjoy safer and cleaner power. A key collaboration between DuPont and India’s largest solar panel manufacturer is helping make these systems more efficient, 66

April-May 2015

“The impact for families and villages living without electricity goes well beyond the safety and practical concerns of burning fuels within a home.”

The challenge was to provide a safer, more efficient, reliable and cost-effective alternative to kerosene lamps for home lighting in areas like Uttar Pradesh, a state in northern India, where the electricity supply is unreliable or nonexistent.

Solution The collaboration between DuPont and India’s leading solar panel manufacturer has resulted in a solar-powered source of inexpensive, reliable lighting, tailored to the needs of rural households. The solar home lighting systems consist of a solar panel, a battery, a charge controller, and a DC luminaire. These stand-alone systems provide basic lighting at the most affordable price point, without requiring a connection to a power grid. These systems are cleaner and safer, and their usage is cheaper than kerosene. Reliability and efficiency are key to the performance of the stand-alone solar units, and for the peace of mind of the villagers. Solamet® metallization pastes from DuPont help ensure that the panels are as energyefficient as possible, providing households with a maximum return on their investment. DuPont Photovoltaic Solutions is committed to continuous innovation,

research and development to consistently increase the power output, durability and longevity of solar panels. Solamet® photovoltaic metallization pastes have been successfully used for more than 30 years to increase the conversion efficiency of solar cells, significantly boosting the power output of solar panels. Solar cell efficiency has nearly doubled over the last 12 years due to continuous advances in Solamet® paste technology. Recent advances in Solamet® pastes also create significant cost savings for manufacturers, because without sacrificing efficiency, less material is required for each solar cell. By specifying Solamet® pastes for the panels used in the project in Uttar Pradesh, the solar panel manufacturer helps ensure the highest levels of performance and longevity for the solar panels that are at the heart of the new lighting systems.

Results The solar home lighting systems have transformed the homes and lives of many of the villagers of Uttar Pradesh, who previously had to deal with an inconsistent energy supply on a daily basis. To date, the project has provided light to approximately 400,000 households, offering a safer, more efficient, reliable and affordable lighting source that extends the day and opens up new opportunities for families and businesses. For the government of India, the project in Uttar Pradesh also supports the national push for more green energy, with the national goal of doubling the country’s existing renewable energy capacity to 55,000 megawatts (MW) in total by 2017.

www.EQMagLive.com

PR DUCTS

Applied Materials’ New Photovoltaic Metallization System Boosts Cell Efficiency, Sets Low Cost-OfOwnership Benchmark

• New Tempo™ metallization system can increase cell efficiencies at significant cost savings • System is in production at JA Solar Holdings Co., Ltd., delivering high output and yield Ahead of the SNEC International Photovoltaic Power Generation Exhibition being held last month, Applied Materials, Inc. announced its Applied Tempo™ metallization system that is setting new efficiency, high-productivity and low-cost benchmarks for manufacturing advanced highefficiency cell designs. Supporting Applied’s unique Fine Line Double Print™ (FLDP) technology and record throughput, the Tempo platform delivers substantial efficiency, yield and cost benefits that translate into the industry’s lowest cost of ownership and lowest overall cost-per-watt solution for cell manufacturing. New Tempo platforms are successfully being used today by multiple PV manufacturers worldwide. Among the first customers to run the platform in high-volume production is JA Solar Holdings Co., Ltd., one of the world’s largest manufacturers of highperformance solar power products. “We are very pleased to collaborate with Applied Materials as we focus on manufacturing our future cell designs,” said Dr. Wei Shan, CTO of JA Solar. “The new Tempo system requires fewer operators than any other metallization platform, yet still delivers exceptional Fine Line Double Printing, throughput and yield performance, which are critical requirements for us to meet market demand for higher efficiency cells. We were able to quickly implement double printing to enhance cell efficiency and, with the plat-

www.EQMagLive.com

form’s dual lane configuration, achieve output in excess of 75,000 cells per day. Based on these advantages and the platform’s low cost of ownership, JA Solar looks forward to working with Applied on further solutions to advance solar cell technology.” “We are delighted JA Solar, one of the most respected and established technology leaders in China, is benefiting from the advanced metallization capabilities of the Tempo system in production. JA Solar is improving cell efficiency using our Fine Line Double Printing technology and achieving record high daily throughputs at the same time,” said Jim Mullin, vice president and general manager of Solar Products for Applied Materials’ Energy and Environmental Solutions Group. “These are important advantages to keep pace with the 10 Watt per year ‘efficiency clock’ driving the PV industry. We’re honored that an industry leader such as JA Solar has chosen Applied’s precision materials engineering technologies to meet its cell performance, yield and

cost needs.” The Tempo platform’s groundbreaking performance builds on the proven technologies of Applied’s metallization platforms. These include FLDP that reduces resistivity and shadowing to deliver a 0.2% gain in cell efficiency. FLDP optimizes the conducting lines of a solar cell by making them taller and narrower, increasing cell efficiency while simultaneously reducing expensive silver paste usage. Also important, by reducing breaks in the metal lines, FLDP can help increase yield. Sophisticated handling and high speed control allow the Tempo platform to run at more than 3,200 wafers per hour without impacting printing process and quality.

April-May 2015

PR DUCTS

Centrotherm Presents Groundbreaking Products And Processes For The Manufacturing Of High-Efficiency Solar Cells At The Snec PV In Shanghai

• Centrotherm c.REG regeneration furnace for the reduction of lightinduced degradation (LID) • PECVD process for aluminum oxide coating (AlOx) • Low-pressure boron diffusion for bifacial n-type solar cells Centrotherm presented new pioneering products and processes for the production of crystalline solar cells at the main Asian photovoltaic trade fair SNEC PV in Shanghai. These allow manufacturers the next step from the standard solar cell to the production of highly efficient PERC and n-type solar cells. The newly developed centrotherm products and processes can be optimally integrated into existing mass production and achieve cell efficiencies of more than 20%.

PECVD system c.PLASMA.

show no light induced degradation.

Centrotherm aluminum oxide PECVD process for the manufacture of PERC solar cells

In the framework of the BiSoN alliance with the ISC Constance, centrotherm is offering process and system packages for the mass production of this cell concept since last year. Now, centrotherm launches an additional new low-pressure process for highly efficient boron doping with its R&D partner in Constance.

Many cell manufacturers are turning towards more complex cell architectures with higher efficiencies. Therefore, the next generation of crystalline solar cells requires a highly effective surface passivation of front and rear side of the wafer. The newly developed centrotherm process for the rear side passivation by AlOx/ SiNx stacked layers is characterized by excellent surface passivation properties.

Newly developed regeneration furnace c.REG reduces significantly light induced degradation (LID) After first exposure to light mono-crystalline p-type solar cells might suffer performance losses due to light induced degradation (LID). This effect is ascribed to recombination active boron oxygen (B-O) complexes in the wafer bulk that reduce conversion efficiency substantially. To passivate B-O-defects centrotherm developed a regeneration process and corresponding equipment that is applied directly after fast firing, after sorting or even before module manufacturing. LID is significantly reduced with the belt furnace c.REG. A particularly efficient and quick regeneration can be achieved in connection with the direct plasma process of the centrotherm 68

April-May 2015

The formation of a well passivated boron emitter is achieved with this process, which is crucial for many n-type cell structures. In addition, solar cell manufacturers achieve significant cost reductions while maintaining high quality production. On the one hand by the reduction of boron consumption by up to 75% and on the other hand by eliminating the boron silicate glass (BSG) removal. The process is offered as an upgrade package for the centrotherm diffusion furnace c.DIFF as well as in new systems.

Furthermore, the centrotherm c.PLASMA PECVD system provides improved process flexibility for further dielectric layers (SiONx, SiOx, etc.) in both mono and multi solar processing. The process is offered as an upgrade package for the centrotherm PECVD system c.PLASMA as well as in new systems. Low-pressure boron diffusion for bifacial n-type solar cells N-type solar cells are increasingly getting into the focus of solar cell manufacturers as they have a higher efficiency potential and

„With our product and process innovations we offer our customers solutions to their manifold and very different requirements on their path to highly efficient solar cell concepts,” notes Dr. Josef Haase, Senior Vice President Technology Photovoltaics, before adding: „It is essential for the customer, that centrotherm systems deployed in their production can be upgraded to the latest state-of-the-art with process and hardware packages. That offers the customer flexibility for the future along with the performance of our systems and processes.

www.EQMagLive.com

PR DUCTS

DuPont Photovoltaic Solutions Highlights New Material Advances at Industry Leading Solar Expo Innovations Push the Boundaries of Solar Panel Performance DuPont Photovoltaic Solutions (DuPont) is highlighting new advanced materials designed to improve the power output, reliability and return on investment (ROI) for solar energy systems during the SNEC Photovoltaic (PV) Power Expo, in Shanghai, China. The DuPont features two new DuPont™ Solamet® photovoltaic metallization pastes for high-efficiency solar cells and collaborations with key customers. During 14 different leadership and technical forums, DuPont will share insights on the market, technology and the future of the solar energy industry. “DuPont continues to deliver innovative materials that help make solar cells more efficient, and solar panels more powerful and profitable long term,” said Chuck Xu, global business director, DuPont Photovoltaic Solutions. “Our newest Solamet® technology

www.EQMagLive.com

advances are particularly exciting as they continue to break down barriers to higher panel power performance.”

Featured attractions in the DuPont booth include: • Two new DuPont™ Solamet® photovoltaic metallization pastes for highefficiency solar cells, including Solamet® PV19x frontside silver pastes and Solamet® PV76x pastes for advanced PERC solar cell architectures. By improving the efficiency with which a solar cell converts sunlight to electricity, Solamet® pastes help boost the power output of solar panels. • High-efficiency solar panels based on the latest advances in Solamet® pastes, including Yingli PANDA, Solartech Sapphire, and Jinko Eagle panels, as well as panels from China Power Investment (CPI) and China Energy Conservation and Envi-

ronmental Protection (CECEP), made using advanced materials from DuPont. • DuPont™ Tedlar® polyvinyl fluoride (PVF) film – the only backsheet material proven to protect solar panels in the field for more than 30 years even in extreme conditions. • Panels from the extensive DuPont field testing program that demonstrate how materials selections can impact system performance and lifetime. • Findings from the latest field research across China, the United States and Europe that indicate issues with current solar panel testing methods, and demonstrate the need for stronger standards to help ensure reliable performance over the lifetime of systems

April-May 2015

PR DUCTS

DuPont Microcircuit Materials Introduces Newest Generation DuPont™ Solamet® Photovoltaic Metallization Pastes

Advanced Materials to Help Make Solar Panels More Powerful DuPont Microcircuit Materials (DuPont) has introduced DuPont™ Solamet® PV19x photovoltaic metallization pastes as the newest family of advanced materials designed to help increase the power output of solar panels. Solamet® PV19x pastes offer solar cell and panel manufacturers significant efficiency gains up to and exceeding 0.15 percent when compared to Solamet® PV18x paste, the current industry benchmark. Increasing the efficiency of solar cells boosts the power output of solar panels, lowers overall system costs and helps improve the return on investment for solar energy systems. DuPont™ Solamet® PV19A photovoltaic metallization paste, the first product in the PV19x series, is a front side silver paste based on proprietary Tellurium technology and tailored to optimize the efficiency with

April-May 2015

which solar cells convert sunlight into electricity. It enhances the power output of solar cells by enabling fine line printing down to 30 microns and demonstrating excellent paste transfer for improved line aspect ratios that minimizes the shading effect on the surface of the solar cells, while maintaining superior electrical conductivity. “Through our continued investment in research, development and intellectual property, our customers have come to rely on Solamet® technology to help them succeed in an intensely competitive market environment,” said Thomas Lin, global photovoltaic marketing manager, DuPont Microcircuit Materials. “DuPont Tellurium technology, for example, is a key differentiator to help Solamet® PV19x pastes amplify the power output of solar panels, and we’re very excited about the advantages this newest formulation delivers.”

cessing latitude during manufacturing, which means cost savings result from higher yields, and tighter cell distribution is shifted toward higher efficiency. Improved frit technology enables extreme Lightly Doped Emitters (LDEs) because it improves contact resistance by 10 fold to further boost efficiency on monocrystalline and multicrystalline solar cells. DuPont continues setting the pace of innovation in the solar industry with more than 110 new Solamet® photovoltaic metallization paste products introduced over the last 7 years, and it is actively developing variants of the new Solamet® PV19x series aimed at boosting solar cell efficiencies even further.

Solamet® PV19x pastes offer wider pro-

www.EQMagLive.com

PR DUCTS Large Area Solar Simulator By Eternal Sun Main Characteristics • AAA-class accuracy sunlight • Steady-state and long pulse illu mination • Large test area up to any size • Operational under different angles • Small footprint & turn-key system • Low maintenance costs

The large area solar simulator produces AAA-accuracy, steady-state and long pulse sunlight using a unique technology. Its positioning is highly flexible, making it easy to use and also ideal for various purposes and different industries. The simulator comes in multiple standard sizes and can even be adjusted to custom size upon request. For PV testing purposes, user-friendly IV measurement equipment is provided with the system, making it the ideal setup to test all kinds of solar modules, from thin-film to heterojunction bifacial modules. Because of its cold sky infrared filter, it is also used for testing solar thermal collectors

Reliable operation • Proven, patent-pending technology • Developed and tested at Delft University of Tech nology • 1800 hours non-stop operation

Accurate lighting Max. AAA-rating according to IEC 60904, ASTM E927 & JIS C8912: •

Spectral match: class A, <2% (0.75-1.25 in 400-1100 nm bands) • Uniformity: class A, <2% • Stability: class A, <2% Cold sky infrared filter

1000 W/m2 (STC), lower intensities by computer controlled dimming 1100 W/m2 (IEC tests) or 1366 W/m2 (space AM0) optional

www.EQMagLive.com

• Testing of all next generation PV module types and solar thermal collectors

Practical in use • • • •

Large test area: up to any size Small simulator size relative to test area Easy access and fast operations Turn-key system

April-May 2015

PR DUCTS

IBC Solar Presents New Products And PV Solutions Of Any Scale At Intersolar Europe 2015 •

IBC SolStore: new DC-coupled lithium storage system • Optimised for commercial selfconsumption: flat-roof assembly system IBC AeroFix • Financially strong: German system house as a global partner for PV projects • Participation in ‘Rural Electrification’ special exhibit of BSW-Solar

IBC SOLAR AG, one of the world’s leading photovoltaic systems houses, will once again showcase its products at this year’s Intersolar Europe, the continent’s most important trade fair for solar technology. In hall B2, booth 150, the company from Bad Staffelstein will present its entire range of offers from June 10th to 12th, 2015. Products and services for private households, for industrial and commercial businesses as well as solutions for large-scale system construction in Germany and abroad form the focus of IBC SOLAR’s fair presentation. DC-coupled storage system: IBC SolStore Li The photovoltaics specialist from Bad Staffelstein is expanding its portfolio with a DC-coupled storage solution based on lithium. A prototype of this system solution will be presented at Intersolar Europe for the first time. The system is suitable for both private households and small commercial businesses, and optimally rounds off the storage portfolio of IBC SOLAR. Thanks to its modularly extendable design, both PV and battery capacity can be chosen flexibly and adjusted to one another. The storage system manufactured in Germany thereby offers maximum freedom in self-consumption of solar energy and also offers a price advantage of up to 15 % in the overall system.

April-May 2015

Alongside the new DC solution, IBC SOLAR will present its entire storage portfolio at Intersolar Europe. For any application scenario, it offers an optimally combined system solution. All storage solutions provide an intelligent control unit and independently check the coordination between energy production, energy requirements, self-consumption and feed-in. As a private brand of the system house, they fulfil the highest level of quality standards and offer full warranty and investment security.

in more than 30 countries – with its own subsidiaries, international partner companies, and its activities as project developer, project marketer and EPC service provider (Engineering, procurement, Construction). No matter what size of PV project, the system house provides expert assistance for its customers and is a financially strong partner with solar system competence from Germany. The company specifically uses its over thirty years of experience for promoting the use of solar technology around the world.

Improved PV mounting system for flat roofs In addition to

At Intersolar in Munich, IBC SOLAR will present its services and current photovoltaics projects realised around the world – from the topographically demanding large-scale system to the tailored selfconsumption solutions for industry, small and medium-sized companies or private households.

t h e IB C SolStore storage solution, IBC SOLAR will present more of its own product lines, including a PV mounting system for flat roofs. The low-ballast, easy-to-fit and versatile IBC AeroFix is completely tailored towards commercial self-consumption of solar power in small and medium-sized businesses. To achieve an even higher level of efficiency in the overall system, IBC SOLAR has further optimised the use of materials. New product features include an integrated cable clip for securely attaching the module connections, height-adjustable outside clamps and an additional safeguard against heavy snow loads. Global partner for PV projects IBC SOLAR is globally represented

At the trade fair booth, IBC SOLAR’s premium partners will receive detailed information about the comprehensive services offered within the IBC SOLAR premium partner network, the support for the realisation of open-area projects, and training offers of the Competence Center as well as the PV-Manager, the latter being a planning software by IBC SOLAR. PV-powered pump system in Namibia At the booth of the German Solar Industry Association (BSW-Solar, Bundesverband Solarwirtschaft) in hall B1, booth 558, IBC SOLAR will be presenting a pilot project for the electrification of rural regions in Namibia. Together with SolSquare, the Namibian IBC SOLAR premium partner, the company has planned and installed a PV-powered water pump. The solution is designed to easily and effectively convert existing diesel-based pump systems to solar energy. A lecture about the PV-powered pump system takes place on June, 10, 15.15 a.m. at the booth of BSW-Solar.

www.EQMagLive.com

PR DUCTS 2-Step Laminator By Jinchen

This 2-step laminator is designed to run a state-of-the-art lamination process

second chamber under defined temperature, vacuum, and pressure while the first chamber

accessories. The annual production capacity of this 2-step system is almost doubled com-

for standard glass-backsheet, glass-glass modules also flexible modules. The machine is equipped with an additional hot-press chamber, in which pressure, temperature and vacuum can be controlled separately. A typical lamination process takes place in the

is used for heating the laminate and light vacuum. In this way the throughput of this system can be significantly increased. By means of the 2-step design the actual working time per chamber is reduced, which effectively extends the lifetime of consumable

pared to a single-chamber design. The total floor space needed for this lamination capacity, including infeed- and outfeed-tables, is significantly reduced.

Heraeus Introduces SOL205B And Improvements In SOL9621 Series At SNEC 2015

The Heraeus Photovoltaics Global Business Unit, a worldwide leading supplier of metallization pastes for the photovoltaic industry, introduced two new product modifications for front-side and back-side applications at the SNEC (2015) The Heraeus SOL205B is a back-side tabbing paste for mono- and multicrystalline silicon solar cells. This newest formulation optimizes the Ag content and glass chemistry to provide higher and consistent

www.EQMagLive.com

adhesion before and after high temperature ageing. The SOL205B provides cell manufacturers with enhanced busbar adhesion and therefore improved module reliability. At the same time, the SOL205B has a lower silver content and paste usage per cell giving it an excellent performance to cost ratio.

testing customers with LDE applications achieved up to 0.1% absolute higher cell efficiency. This is due to the reduced contact resistance and stable contact formation. The lower recombination leads to higher V(oc). The latest versions of the SOL9621 Series also has improved printability with the demonstrated ability of ultra-fine line printing, suitable for screen openings less than 40 micron. This paste is ideal for LDE single printing, double printing and PERC applications.” Several versions of the Heraeus SOL9621 Series are currently in mass production and are available in large volumes.

Heraeus’ SOL9621 Series includes the latest product customizations from Heraeus’ successful SOL9621 Series launched at last year’s SNEC tradeshow. According to Dr. Weiming Zhang, “For many customers, we have created several improvements in the SOL9621 Series relative to the products we released in this series last year. Alpha

April-May 2015

PR DUCTS

16 Percent: Manz Achieves New World Record For Efficiency Of CIGS Thin-Film Solar Modules

- High-tech equipment manufacturer sets new benchmark for efficiency of CIGS modules on mass production line in Schwäbisch Hall - Impressive transfer of the 21.7% world record for laboratory cells of technology partner ZSW Stuttgart to mass production - CEO Dieter Manz: 16 percent world record in module format is an important milestone, but immense potential of CIGS technology not nearly exhausted With a module efficiency of 16 percent, Manz AG is presenting an impressive new efficiency world record for CIGS thinfilm solar modules at SNEC in Shanghai, the world’s leading trade fair for the photovoltaics industry. In doing so, Manz is pushing forward into a new dimension and closing the efficiency gap that has previously existed in the multi-crystalline technology that is still prevalent today. In the fall of 2014, the Center for Solar Energy and Hydrogen Research of BadenWürttemberg (ZSW), Manz’s exclusive development partner, was able to demonstrate the superiority of CIGS technology in comparison to crystalline solar cells in the laboratory, with a world-record efficiency of 21.7% in cell format. With Manz’s new world record for module size, this superiority has now been impressively proven in production. The significance of this result is all the greater since the high-tech equipment manufacturer produced the world record module on its innovative production line for CIGS technology at its location in Schwäbisch Hall, on equipment for mass production. The significant increase in performance was achieved mainly by the next generation of CIGS semiconductor material, which Manz applies to a glass substrate in the so-called co-evaporation process. Additional technological innovation is a new module design 74

April-May 2015

for increasing the active module surface. In addition, Manz engineers were able to sustainably reduce optical losses. Dieter Manz, founder and CEO of Manz AG, is extremely satisfied with the consistent, continued development of CIGS thin-film technology by his engineers: “Our performance parameters are world-class. With significantly lower production costs compared to crystalline solar cells, CIGS technology will play a large role in the coming investment cycle of the photovoltaics industry,” Dieter Manz is convinced. Today, CIGS modules from Manz already offer the

lowest electricity generation costs in comparison to the still prevailing crystalline silicon technology. As a technological leader, Manz offers a secure investment option with maximum profitability With Manz CIGSfab, the Reutlingen equipment manufacturer is currently the only supplier of turnkey CIGS production lines in the world, with a scalable production capacity of 50 to 350 Megawatts per year. With an internal rate of return of more than 15 percent, an investment in a fully integrated CIGS line from Manz is one of the most profitable in the entire energy sector. “As a high-tech equipment manufacturer with unique process know-how, we offer an unbeatable combination of arguments in favor of investment in a CIGS production line,” explains Dieter Manz: “A lower total investment in comparison to crystalline systems, significantly shorter implementation

time for the plant, as well as the unrivaled low production costs. An investor in Manz CIGS technology is guaranteed absolute investment security, with the highest margins in the entire energy sector – in the future, and even today. The future potential of CIGS technology is enormous and will lead to further cost reductions.” Manz’s 16 percent efficiency world record is the impressive result of a long-term development partnership with the Stuttgart Center for Solar Energy and Hydrogen Research of Baden-Württemberg (ZSW). Following the presentation of 21.7 percent cell efficiency in the laboratory by the globally leading research institute for CIGS thin-film technology in the fall of 2014, Manz was able to transfer the essential insights of the technology that was used to mass production. “This great success demonstrates the future potential of CIGS thin-film technology and emphasizes nothing less than our claim to technology leadership,” says Dieter Manz. “Building on the know-how of ZSW and our own experts, it is thus absolutely realistic that we will already be able to present module efficiencies of significantly higher than 17 percent in the near future, produced on our innovative production line in Schwäbisch Hall. We have already mastered the necessary processes in the lab, such as the aftertreatment of CIGS coatings. The goal of our joint efforts is the further reduction of electricity costs – around the world, under all climatic conditions.” Manz’s world record with 16 percent efficiency was certified last week by the testing organization TÜV Rheinland. Manz AG offers potential investors in CIGS production systems a long-term road map for further efficiency increases, whose milestones have always been achieved ahead of schedule in recent years

www.EQMagLive.com

PR DUCTS

RENA Technology Sets Standards In Wet-Chemical PercProcessing

Focusing on the PERCtechnology expansion in todays solar cell production, RENA InOxSide+ offers an edge isolation technology with integrated rear side smoothing and cleaning. Applied wet chemical processes enable an advanced rear side surface preparation for subsequent passivation layer deposition as a key factor for successful PERC solar cell production. The new RENA InOxSide+ combines edge isolation and rear side smoothing with etch depths of up to 6 μm according to customer demands. Latest equipment innovations provide also a per-

fect front side emitter protection confirming the RENA InOxSide+ as the leading edge isolation concept.

strategic investor Capvis (Switzerland) firmly on its side, is now ready for the next growth phase. RENA will further on set its future focus on its expertise in wet chemical processing equipment for the solar cell production and of course in the further development of production equipment for high efficiency solar cells. RENA showed in several projects that it continued to be one of the leading suppliers for production machines with cutting edge technology for the PV industry. A new company name with long standing experience and know-how.

RENA Technology GmbH with its new

Light-Induced Degradation In Case Of Multi-Crystalline, Rear Side Passivated Solar Cells (Perc) • Comparison of PERC and PERT cells shows clear advantages of the PERT technology • Since the light-induced degradation fails to appear, PERT cells offer a better performance than PERC cells at the same manufacturing cost. Freudenstadt / Germany. With its innovative APCVD systems the SCHMID Group offers the possibility of PERT (Passivated Emitter Rear Totally Diffused) cell production. According to recent studies, they offer significant performance benefits in the field compared to PERC (Passivated Emitter and Rear Contact) cells, since PERT cells do not show the considerably light-induced degradation documented for PERC mc-cells. Amongst others the study “Light Induced Degradation of Rear Passivated mc-Si Solar Cells” by K. Ramspeck et al., published on the occasion of the 27th EU PVSEC, shows the following: Multicrystalline solar cells that are passivated with aluminum oxide Al2O3

www.EQMagLive.com

(PERC) on the rear side, show a degradation of up to 6% (relative) with respect to standard mc-BSF cells, when being exposed to light. Obviously the degradation effect is basically different from the light-induced degradation in Cz-cells and cannot be regenerated either. Based on the findings on the lightinduced degradation of PERC cells, the SCHMID group has developed systems for the production of PERT cells that are proven to have no degradation effect, at the same manufacturing costs as for PERC cells. Another advantage of SCHMID’s PERT technology is that the cells can be used in conventional modular technique with backsheet as well as for bifacial use. The PV industry appreciates this technology innovation and this is why SCHMID has already been able to sell several systems for the production of PERT cells. The new PERT process technology is primarily based on the APCVD (Atmospheric Pressure Chemical Vapor Deposition) sys-

tems developed by SCHMID. Working at atmospheric pressure and using chemical vapor deposition these systems guarantee a consistent coating quality at a high throughput and at low cost. APCVD systems are therefore the most effective way to apply the required number of layers, which are required for modern high-performance solar cells. For more than 10 years the SCHMID APCVD systems have already been used in industry with great success and high acceptance, and are continuously improved in the SCHMID own technology centers and adapted to future trends - such as bifacial and PERT cell concepts

April-May 2015

PR DUCTS

Singulus Technologies Presents New Modular System For Chemical Buffer Layer Deposition Cis/Cigs Thin-Film Solar Cells

SINGULUS TECHNOLOGIES is the market leader for Chemical Buffer Layer Deposition for CIS/CIGS thin-film solar cells and has presented the latest development in this technology at SNEC 2015 in China. With the development of a completely new concept for the TENUIS II CBD system SINGULUS will open up the way to cost-effective production. This machine is a central component for the manufacturing of CIS/CIGS thin-film solar cells. The industrial manufacturing machines of the TENUIS type have a modular cluster system and enable both significant savings in terms of required floor space and the simultaneous one-sided coating of two substrates. The new generation of the TENUIS plant offers substantial cost advantages in the production of high performance CIS/CIGS thin-film solar cells. With application and temperature control, the process time has been reduced, bringing the positive effect of significantly higher production line output. The new system makes it possible to use alternative buffer layer by replacing the intermediate layer system consisting of cadmium sulfide and zinc oxide by a combination

76Â

April-May 2015

of zinc oxide sulfide and zinc magnesium. The new generation of the TENUIS plant offers substantial cost advantages in the production of high performance CIS/CIGS thin-film solar cells. Furthermore, the costs are significantly reduced by process adjusted temperatures and by the very efficient use of process chemicals enabling the new plant to consistently exploit the savings potential in the manufacturing of thin-film solar cells. SINGULUS TECHNOLOGIES offers wet processing systems from R & D, through over pilot use to full production range 60, 150 and 300 MW.

Enabler in the CIS/CIGS thin-film solar cells industry Through its production systems, SINGULUS TECHNOLOGIES supplies wet-chemical processing and selenization systems for second-generation CIGS/CIS cells and has thus positioned itself at the vanguard of technology leaders for pioneering development and production systems. Inline sputtering systems add a further production stage to the portfolio, which already spans the key processes of CIGS/CIS cell production. In

light of the anticipated volume of investment in production lines for CIGS/CIS thin-film solar cells, SINGULUS TECHNOLOGIES believes the long-term prospects of the solar segment to be bright. Through its new system concepts and innovative processes, the company is promoting the development of solar technology, which will play an increasingly important role in the global energy mix.

SINGULUS TECHNOLOGIES â&#x20AC;&#x201C; Innovations for New Technologies SINGULUS TECHNOLOGIES develops technologies for economic and resourceefficient production processes. The applications include vacuum thin-film coating, surface engineering, wet-chemical processes as well as thermal process technologies. SINGULUS TECHNOLOGIES utilizes its know-how in the areas of automation and process technology in order to develop additional, attractive work areas with innovative products alongside the existing application areas of consumer goods, energy, entertainment, mobility and semiconductors.

www.EQMagLive.com

PR DUCTS

Solarworld Ag Introduces Five Bus Bar Technology

Market introduction midyear – again efficiency record set SolarWorld will further increase the efficiency of its products. After an upgrade of all production to high-efficiency PERC solar cells, the group has announced plans to bring cells and modules with five bus bar technology on the market in the middle of this year. The current market standard is three bus bars (contacts on the front side of solar cells, at which they are connected). The five bus bar technology alone increases the efficiency by up to two percentage points. With this technology, SolarWorld reached a cell efficiency of 21.51 percent recently and thus topped its own world record for industrial PERC cells based on crystalline

p-type silicon wafer. “As much power as possible in the smallest space with maximum durability – this is the strategy of SolarWorld. Thus, we

reduce the total cost for our customers, increase their electricity yields and make solar power more and more competitive with conventional power generation – all made in Germany and made in the USA,”

said Dr.-Ing. E. h. Frank Asbeck, CEO of SolarWorld AG. SolarWorld is transferring the recordbreaking technology to production. The company plans to launch the first 300 watt module with 60 solar cells on the market in the third quarter. To integrate the five bus bar technology, the existing stringer systems, which connect solar cells to strings of 10 solar cells, will be modified. In addition, printing on the cell front side will be adjusted to five bus bars and finer lines. This process has started at SolarWorld’s site in Hillsboro, Oregon. Modifications there shall be completed during the second quarter

Solectria Introduces the PVI 36TL Transformerless, Three-Phase String Inverter Solectria - A Yaskawa Company, a leading U.S. PV inverter manufacturer, announced the introduction of the PVI 36TL adding to its three-phase, 1000 VDC, transformerless string inverter line. The PVI 36TL sets the standard for the industry with 98.6% peak efficiency, 98.0% CEC efficiency and standard, integrated DC and AC disconnects. Solectria’s PVI 23/28/36TL line of inverters are designed to maximize return on investment (ROI) through their lightweight design, high efficiencies, easy installation, dual MPPT zones and wide MPPT range. Integrated customized options include factoryinstalled web-based monitoring, DC arc-fault protection, rapid shutdown and integrated DC fused string combiner. Utilizing these

www.EQMagLive.com

inverters in commercial applications will reduce PV system material and labor costs, including the cost of additional combiners. “Adding this transformerless, threephase string inverter aligns with our continuous growth strategy, broadening our product portfolio and keeping us at the forefront of the PV industry,” said Phil Vyhanek, President of Solectria – A Yaskawa Company. “The PVI 36TL has the design flexibility our customers have come to expect from Solectria with an integrated, detachable wiring box, various mounting configurations and is NEC 2014 compliant with integrated arc fault and rapid shutdown.

April-May 2015

PR DUCTS SoLayTec, InPassion ALD For AL2O3

For processing up to 5,000 wafer / hour* This tool is highly flexible and made to deposit Al2O3 on c-Si solar cells in mass production. The flexibility is based on the following four pillars: • Layer thickness • Throughput • Graceful degradation philosophy • Field Replaceable Unit

Layer thickness flexibility can be chosen without any hardware changes: There might be a need for the Al2O3 layer to be changed to another thickness

for optimization of cell efficiency or costs. It’s easy to change this within the graphical user interface of the system directly. When you adapt the layer into less nm’s of Al2O3 the throughput will increase up to max. 5,000 wph (available on request).

Throughput flexibility Depending on the capacity levels that are needed SoLayTec offers two types of InPassion ALD. Main difference is the number of deposition units modules added in such a system. The basic two products offered are 4, 6 or 8 deposition units, that respectively result into 2,500* wph, 3,600* wph or 5,000* wph.

Graceful degradation philosophy In the event one deposition unit (1 out of 6) is required to be stopped for service, maintenance or because of an error, the other five deposition units will continue production. This gives the end user the highest possible uptime. In case of such an event, com-

April-May 2015

peting tools will be completely down.

Field Replaceable Unit (optional FRU) If one of the deposition units is not working properly and can’t be fixed by the customer or SoLayTec service team, this module or FRU will be replaced by another FRU. In this way the tool will be running as fast as possible at 100% capacity again. In parallel this FRU will be send to a SoLayTec service station to be refurbished. *Note: based on 4,7nm layer thickness

Specifications •

Throughput 2,500, 3,600 or 5,000

wph • Uniformity 3.0% wiw, 4.0% wtw • Deposition rate 1,0 nm/s per deposition unit • Process temperature 180 ~ 200 ºC • Wafer dimension 156x156 mm • Wafer thickness 150 up to 200 µm The Key Features of these Technologies • • • • • •

Proven up to 1,0% efficiency gain Flexibiliy in layer thickness Service during production Cleaning once per week 1hr Deposition rate up to 10nm/s Non-uniformity < 4% wtw

www.EQMagLive.com

PR DUCTS Spi-Sun Simulator™ 5100SLP

The latest addition to Spire’s suite of Solar Simulators is the Spi-Sun Simulator™ 5100SLP. Targeted for high volume production testing of solar modules, the 5100SLP is designed to meet the demanding standards of PV module makers worldwide while providing the uncompromised performance and quality expected of the Spire simulator family. The 5100SLP focuses on reducing the cost of ownership with a single lamp and small footprint design that integrates easily into any factory environment. A totally new approach to the internal optical design has resulted in improved optical efficiency without thermal problems or power limitations.

true sunlight conditions and is critical for getting every watt out of high efficiency c-Si and thin film modules. The system also allows for better control of “measurement uncertainty” with a measurement repeatability of better than 0.15%.

The 5100SLP is a very compact metrology instrument and has been developed to exceed IEC 60904-9 Class AAA specifications for irradiance spectrum, spatial uniformity, and temporal stability. The new system provides better than Class A irradiance from 400nm-1100nm which replicates

The 5100SLP’s delivers accurate and repeatable power measurements enabling traceability to international gold module standards certified by the world’s leading certification bodies. Spire’s simulators are the industry standard for test labs and universities worldwide, and used in Independent and National Labs including NREL, UL, TÜV, FSEC, EC-JRC, CSA, KIER, and Intertek.

Tigo Energy Launches TS4 Platform Universal Jbox Platform Enables Plug and Play MLPE Functionality For Any Solar Module

and is immediately available in 5 offerings: diodes, monitoring, safety, optimization, and

Tigo Energy, the smart module market leader, today announced certification of its TS4 platform - the world’s first universal Jbox solution. The TS4 platform enables module manufacturers and installers to standardize on a single Jbox design that can feature any number of Module Level Power Electronic (MLPE) capabilities (such as Rapid Shutdown Safety, monitoring etc.). This enables greater flexibility in system design and increased control over project budgets all while reducing inventory and labor costs compared with traditional solar PV installations. TS4 platform has been designed to standardize the application of a wide range of MLPE capabilities to any PV Module. The TS4 platform is made up of a two-piece solution, the TS4 base (Jbox base), which is mounted to the solar module, and a TS4 cover, a plug-and-play MLPE which can easily be swapped in and out. TS4 is certified

www.EQMagLive.com

longer strings. Installers and system owners utilizing the TS4 platform can choose which features are important for any given project or budget while using the same PV module. The TS4 platform has been adopted by industry leading PV module partners. Modules equipped with Tigo’s TS4 platform

will be available from many vendors, seven (7) of which are on the list of the top ten (10) global PV module manufacturers. TS4-D (diodes) are the equivalent of traditional modules and is priced at current Jbox costs, therefore adding zero cost to TS4 equipped PV modules. TS4 based modules will ship at the end of Q1 2015. “We are excited to introduce the TS4 platform, which is a natural extension of our strategy,” said Zvi Alon, CEO of Tigo Energy. “Tigo’s platform is already the most flexible in the world, working with all the major inverter and module manufacturers globally. The introduction of TS4 gives installers an even greater degree of control over what they want and need for any given project. Whether an installer wants safety and monitoring to meet NEC 2014 Rapid Shutdown requirements or optimization, or simply a traditional module that can be easily upgraded later in life, the TS4 platform can support them. This eliminates the need to buy any module that is not TS4 based.”

April-May 2015

PR DUCTS

Trina Solar Announces New Efficiency Record for MultiCrystalline Silicon Modules -

Trina Solar Limited a global leader in photovoltaic (PV) modules, solutions and services, today announced that its State Key Laboratory of PV Science and Technology of China has set a new world record for high efficiency p-type multi-crystalline silicon PV modules. Trina Solar’s Honey Plus multi-crystalline silicon module reached a new module efficiency record of 19.14% with an aperture area of 1.515 m2, as independently confirmed by the National Center of Supervision and Inspection on Solar Photovoltaic Product Quality (CPVT) in Wuxi, China. This result is a new world record for a multicrystalline silicon module composed of 60 high-efficiency Honey Plus multi-crystalline silicon cells (156×156mm2), fabricated with

April-May 2015

advanced technologies including back surface passivation, local back surface field and half-cell module technologies developed by Trina Solar. The multi-crystalline Honey Plus solar cells, the brand name for Trina’s PERC solar cells, are now in mass production. The half-cell module technology is not currently part of the Honey Plus products, but will be incorporated at a later date. “We are very pleased to announce these new exciting efficiency results achieved by Trina Solar’s researchers at the State Key Laboratory of PV Science and Technology,” said Dr. Pierre Verlinden, Vice-President and Chief Scientist of Trina Solar. “To the best of our knowledge, this is the first time that a multi-crystalline Silicon PV module reaches an efficiency higher than 19%. It

demonstrates that multi-crystalline Silicon PV modules can reach an efficiency level that was reserved to the most efficient solar cells before, such as mono-crystalline IBC or heterojunction cells. This milestone achievement is the result of a very close collaboration among our silicon crystallization, solar cell and module scientists. We believe that innovation is playing the very essential role to Trina’s sustainable growth and long-term success. Our focus remains on developing innovative and cutting-edge solar power products and technologies to strengthen our leadership in the PV industry.”

www.EQMagLive.com

PR DUCTS

Valentin Software Presented New Versions Of PV*SOL And PV*SOL Premium At Intersolar Europe

The software company Valentin Software has updated its market-leading design

developed mathematical model for lithiumiron-phosphate and lithium-nickel-oxide batteries into the new Globalstrahlung auf Modul programs and also includes lead-acid battery systems in the database.

panded the preconfigured system variants by nine additional systems. These include the integration of external circulation heat exchangers and the serial connection of solar storage tanks. The comprehensive component databases have been updated in the new version.

programs PV*SOL and PV*SOL premium. With the new versions, operators can now design their solar electric systems in even more detail and also include battery storage in the precise calculation of yields. The company presented its new programs for the first time in June at the international trade fair Intersolar Europe.

As in the previous versions, the new programs also have well-maintained databases of more than 14,500 solar modules, apWeishaupt - C7 - Systemhydraulik 7 proximately 3,500 inverters, and 500 batteries and battery systems, which is automatically updated Image captions: and expanded. Both PV*SOL and PV*SOL premium are availImage 1: Representation of results valable in English, ues in a carpet plot French, German, Image 2: Graphic of the energy balance Italian, Polish and for yield prediction Spanish. Image 3: Terrain view of the PV system with shading objects New Release of Image 4: System configuration in T*SOL T*SOL 5.5 with serially connected buffers

Exact Simulation with Minute Values With the newly introduced minute simulation, users can now precisely map both self-consumption and inverter oversizing, as well as the interaction of solar power systems with battery storage. “Calculations with the usual hourly values are not always sufficient for the current requirements of network operators”, explains Managing Director Dr. Gerhard Valentin. Moreover, Valentin Software has integrated a specially

www.EQMagLive.com

Just in time for Intersolar Europe, Valentin Software

Source: Valentin Software, Berlin

has also updated its simulation software for solar thermal systems T*SOL to take account of the current energy saving regulations. The new version allows users to provide the necessary information required for fundProduction Forecast with consumption ing programs. For this purpose, Valentin Software has ex-

April-May 2015

PR DUCTS

Zeversolar launches a new generation of PV string inverters at Intersolar Europe

Zeversolar continues its solar revolution by introducing a new generation of lightweight, high efficient PV string inverters for residential applications. The six products of the brand-new Zeverlution series presented at the world´s leading trade fair for the solar industry Intersolar Europe in June. The new inverters have nominal powers of 1.0 to 3.68 kilowatts and work with a patented inverter topology that needs less power electronic components. By this, the Chinese inverter manufacturer has managed to increase the reliability of the products and to reduce the weight significantly: With maximum 7.3 kilograms, the new products weigh only half of their predecessors, which makes them very easy to transport and to install. Flexible applications While the new single-phase inverters Zeverlution 3000SE and 3680SE work without a boost, are compatible with smart modules and DC optimisers and reach efficiencies of up to 98.7 percent, the new single-phase Zeverlution 1000S, 1500S, 2000S and 3000S boost inverters reach maximum efficiencies of 97%.

Zeversolar launches the Zeverlution inverter series at the trade fair Intersolar Europe in Munich.

Integrated communication All inverters of the new generation have a compact design with IP65 casing for outdoor use, Sunclix connectors for toolless DC wiring as well as retrofitable integrated Ethernet and Wi-Fi communication with remote update. In addition, they are completely silent. “With our new inverters, we have set a milestone regarding reliability, efficiency and simplicity, and we are very proud to present them to our customers at the gathering place for the PV industry in June”, says Christian Weinekoetter, Director Product Management at Zeversolar. Zeversolar at Intersolar Europe

April-May 2015

www.EQMagLive.com

2015 Asia Pacific Resilience Innovation Summit & Expo

Solar South 2015

POWER-GEN Africa 2015

Date: 19-21 June 2015 Place: Chennai , India Organiser: Smart Expos

Date: 15-17 July 2015 Place: Cape Town, South Africa Organiser: Pennwell Tel.: 27 21 9309515 Email : exhibitpgaf@pennwell.com Web.: www.powergenafrica.com

Date: 24-26 Aug 2015 Place: Honolulu, Hawaii, USA Organiser: Techconnect Tel.: +1 512 6978849 Email: wenning@techconnect.org Web.: islandsconnect.com

PV Japan 2015

Power Purchase Agreement 2015

Tel.: 91 44 22501985 / +91 95000 70800 Email: solarsouth@smartexpos.in Web.: www.solarsouth.in

12th Renewable Energy Finance Forum Date: 24-Jun-15 Place: New York, USA Organiser: Euro Money Tel.: 1 212 9013828 Email: energyevents@euromoneyplc.com Web.: www.reffwallstreet.com

Intersolar North America 2015 Date: 14-16 July 2015 Place: San Francisco, California, USA Organiser: Solar Promotion Tel.: 49 7231 58598-206 Email: brade@intersolar.us Web.: www.intersolar.us

Date: 29-31 July 2015 Place: PV Japan 2015 Organiser: Nikkei PR Advertising Co. Tel.: 81.3.6812.8694 Email: pvj@nikkeipr.co.jp Web.: www.jpea.gr.jp/pvj2015

Date: 24-27 Aug 2015 Place: Johannesburg, South Africa Organiser: Infocus International Tel.: +65 6325 0274 Email: reanne@infocusinternational.com Web.: www.infocusinternational.com/ppa

The 7th Guangzhou International Solar PV Exhibition 2015

ESER Expo 2015

Date: 18-20 Aug 2015 Place: Guangzhou, China Organiser: Guangdong Grandeur International Exhibition Group Tel.: 86 20 29188156 Email: grand.ev@grahw.com Web.: www.pvguangzhou.com

Semicon West 2015 Date: 14-16 July 2015

Place: San Francisco, California, USA Organiser: SEMI Tel.: 1 408 9436900 Email: sales@semi.org Web.: www.semiconwest.org

Enersolar+ Brasil 2015 Date: 15-17 July 2015 Place: Sao Paulo, Brazil Organiser: SmartEnergy Srl Tel.: 39 02 66306866 Email: info@enersolarbrasil.com Web.: www.enersolarbrasil.com

Date: 26-28 Aug 2015 Place: Shenzhen, China Organiser: ESER Tel.: +86 755 83165556 Email: eserexpo@eserexpo.com Web.: www.eserexpo.com

Power & Energy Africa - Tanzania 2015 World Renewable Energy Technology Congress & Expo

Date: 21-23 Aug 2015 Place: New Delhi, India Organiser: Energy & Environment Foundation Tel.: +91 92 13901510 Email: punit.nagi@ee-foundation.org Web.: wretc.in

Date: 27-29 Aug 2015 Place: Dar es Salaam, Tanzania Organiser: EXPOGROUP Tel.: +971 50 6285684 Email: response@expogr.com Web.: www.expogr.com/tanzania/powerenergy/

AsiaSolar 2015

Date: 24-25 Aug 2015 Place: Shanghai, China Organiser: Aiexpo Tel.: +86 21 36411819 Email: info@aiexpo.com.cn Web.: www.asiasolar.net

Renewable Energy World Asia 2015 Date: 01-03 Sep 2015 Place: Bangkok, Thailand Organiser: Pennwell Tel.: +44 1992 656641 Email: sophiap@pennwell.com Web.: www.renewableenergyworld-asia.com

For Listing of your Event : Conference and events are listed free-of-charge, so please feel free to get in touch to tell us about your event. We would also be happy to provide you with free copies of magazine for distribution at your events.(while stock last). Please send your conference information to : Mr. Gourav Garg at gourav.garg@EQmag.net

www.EQMagLive.com

April-May 2015

ADVERTISERS INDEX

SUBSCRIBE Subscribe “EQ International” at www.EQmag.net or fill your complete address and Email to : piyush.mishra@ eqmag.net or Call +91 98930 99769

ALLIED MOULDED...............................................................21

Yes! I would like to Subscribe to EQ International Magazine For 1 Issue:

o Indian citizens Rs. 200

o International $ 25 / € 20

ANCHOR ELECTRICALS......................................................11

CSUN...............................................................FRONT COVER

For 1 Year (12 issues):

o Indian citizens Rs. 2400

o International $ 300 / € 240

EQ CLEANTECH FINANCE SUMMIT......................................03 Please Mail the coupon to: Name:-------------------------------------------------------------------------------------

EQ INTERNATIONAL............................................................20

Job Title:-------------------------------------------------------------------------------Department: ---------------------------------------------------------------------------

GROWATT............................................................................23

Company:------------------------------------------------------------------------------Description of the Company: ---------------------------------------------------Adress:-----------------------------------------------------------------------------------

JA SOLAR......................................FRONT GATE FOLD COVER

--------------------------------------------------------------------------------------------City/State/Zip Code:-----------------------------------------------------------------

L&T CONSTRUCTION..........................................................13

Country:--------------------------------------------------------------------------------Phone:-----------------------------------------------------------------------------------Fax:----------------------------------------------------------------------------------------

RENEWABLE ENERGY INDIA EXPO 2015.............................43

E-Mail. ----------------------------------------------------------------------------------Web site:--------------------------------------------------------------------------------

RISEN SOLAR TECHNOLOGY...............................................09

PAYMENT 1.- My Cheque/DD in favour of “FirstSource Energy India Private Limited”

for Rs……………………………………………………………………

Drawn on………………………………………is enclosed herewith.

TBEA......................................................INSIDE BACK COVER

Date/Signature: 2.- I will pay by Credit Card

TMEIC..................................................INSIDE FRONT COVER

Type:...........................................................................

SOVA POWER.....................................................................15

Name on Card:..............................................................

Number:.......................................................................

Security Code: ..............................................................

Expiration Date:.............................................................

TOTAL................................................................BACK COVER

Mail this coup on to: FirstSource Energy India Pvt. Ltd. Subscription Department. 17 Shradhanand Marg, Chawani. Indore 452 001. Madhya Pradesh. India Tel. + 91 96441 22268 , + 91 96441 333199

April-May 2015

www.EQMagLive.com

R.N.I. NO. MPBIL/2013/50966 | DT OF PUBLICATION: JUNE 20 | POSTAL REGD.NO. MP/IDC/1435/2013-2015