Electrical Business

News
Canadian Solar and SkyPower conclude purchase agreement, launch international joint venture


June 22, 2012
By Anthony Capkun

June 22, 2012 – Canadian Solar Inc. and SkyPower Global closed their purchase transaction, under which Canadian Solar has acquired a majority interest in 16 solar projects from SkyPower representing about 190-200 MWDC. The companies also formally launched an international 50:50 joint venture agreement called CSI SkyPower.

“By aligning two of the solar industry’s most powerful companies, we will be able to move projects forward faster and more efficiently, thereby directly helping the countries we have a presence in by providing cleaner, sustainable energy and through the creation of jobs,” said Dr. Shawn Qu, Canadian Solar’s chair and CEO.

Each of the 16 solar projects was awarded a 20-year power purchase contract by the Ontario Power Authority. 15 of the contracts are issued under Ontario’s Feed-In-Tariff (FIT) Program, and one of the contracts is issued under Ontario’s Renewable Energy Standard Offer Program (RESOP). The projects are in the advanced permitting stage and are expected to commence construction in 2013 and be fully operational in 2014.

The 50:50 joint venture agreement creates an opportunity to leverage the skills of solar module manufacturer Canadian Solar and SkyPower, an owner and developer of solar power projects.

The joint venture will operate in Africa, the Middle East and South America. In each of these target regions.