Consortium secures 47.5MWAC project in Zambia, under the World Bank’s Scaling Solar program
LUSAKA, Zambia/PARIS, France/TEMPE, Az. – June 16, 2016 – Neoen S.A.S., a leading French renewable energy firm, and First Solar, Inc. (Nasdaq: FSLR) today announced that they have successfully bid for a 47.5 megawatt (MW)AC utility-scale solar power project in Zambia. The consortium was awarded the project by Zambia’s Industrial Development Corporation (IDC) at a groundbreaking tariff of $0.06 per kilowatt-hour (kWh), the lowest seen in sub-Saharan Africa, to date.
The project – the first to be developed under the World Bank’s Scaling Solar program – is part of Zambia’s first utility-scale Independent Power Producers (IPP) scheme for solar energy. Scheduled to be completed by mid-2017, the facility will be located in the Lusaka South Multi-Facility Economic Zone and the IDC will retain a 20 percent stake in the project. The energy generated by the facility will be supplied to ZESCO, the state-owned utility company, under a 25-year Power Purchase Agreement (PPA).
The power plant, named after Zambia’s West Lunga National Park, will cover an area of almost 129 acres, equal to approximately 73 soccer pitches. The project will displace the need for 125 million liters of water that would have been consumed by conventional generation, because solar PV does not require any water to generate energy.
“Neoen is very proud to bring solar power to Zambia at such groundbreaking prices. We believe that solar energy can further accelerate Zambia’s growth, and we are ready to develop a whole portfolio of reliable, competitive solar plants across the country,” commented Xavier Barbaro, CEO of Neoen.
The plant will be powered by approximately 450,000 high performance First Solar modules, which offer up to six percent more energy in Zambia that conventional crystalline silicon PV panels. This is a direct result of the modules’ superior temperature coefficient, which translates into higher energy yields in warm climates, and their spectral response which allows them to generate more energy than conventional crystalline silicon panels, in humid conditions.
“By partnering with Neoen and First Solar, Zambia stands to gain from over 14 gigawatts of global renewable energy experience. And it is this combined experience that will deliver a world-class power generation asset,” said Nasim Khan, First Solar’s Vice President of Business Development for Africa. “Significantly, this project shatters the misperception that low cost energy cannot be delivered with high quality, high performance modules.”
About Neoen S.A.S.
Neoen, an independent energy company, was founded in 2008 on the initiative of French business leader Mr Jacques Veyrat and is a subsidiary of Mr Veyrat’s Impala SAS (www.impala-sas.com). OMNES Capital (www.omnescapital.com) the former Credit Agricole Private Equity Renewable Energy fund, and Bpifrance (www.bpifrance.fr) the French public investment bank, are the minority shareholders of Neoen.
Neoen develops, finances, builds and operates renewable energy power plants (solar, wind and biomass). Neoen is active in France, Portugal, Australia, Mexico, Egypt, Mozambique and El Salvador, and seeks to achieve installed power of over 1000 MW by 2017. For more information about Neoen, please visit www.neoen.com
About First Solar, Inc.
First Solar is a leading global provider of comprehensive photovoltaic (PV) solar systems which use its advanced module and system technology. The company’s integrated power plant solutions deliver an economically attractive alternative to fossil-fuel electricity generation today. From raw material sourcing through end-of-life module recycling, First Solar’s renewable energy systems protect and enhance the environment. For more information about First Solar, please visit www.firstsolar.com.
