Hanwha SolarOne and HuiTianRan to establish JV for solar projects

Hanwha SolarOne (HSOL), a China-headquartered manufacturer of photovoltaic (PV) cells and panels, has entered into a memorandum of understanding ("MOU") with Shanghai HuiTianRan Investment (HTR) to establish a joint venture (EPC JV) to build 700MW solar PV projects.

As per the deal, HTR will cooperate in the development of Hanwha’s PV downstream business, leveraging its existing JV project with a state-owned electric power company (SOE).

HTR will identify both commercial and residential rooftop resources, and it plans to employ HSOL’s PV modules in its 700MW power plant projects or appoint HSOL as the EPC service supplier for the proposed projects.

The parties intend to sign a definitive cooperation agreement within the next 60 days.

HSOL chief financial officer and downstream business head Jay Seo said that the MOU with HTR provides further impetus to the company’s accelerating downstream activities in China.

"The contemplated cooperation on HTR’s planned 700 MW PV power plant projects with a well-established SOE provides the potential for either a large module supply agreement or selection as sole EPC provider."

The company stated that it will build up its project profile in EPC and support the independent power plant (IPP) development and ownership going forward.

Seo added, "We have now identified downstream business potential of 950 MW in China through this and other recently announced agreements."