First Solar Inc of Tempe, AZ, USA, a manufacturer of cadmium telluride (CdTe) thin-film photovoltaic (PV) modules, has signed a captive power purchase agreement (PPA) with Singapore-based Cleantech Solar, a provider of sustainable energy solutions to enterprises in India and Southeast Asia. Cleantech Solar will build 150MW of solar and 16.8MW of wind assets in Tamil Nadu, India, supplying approximately 7.3 gigatonne-hours (GWh) of power to First Solar's new 3.3GW vertically integrated solar manufacturing factory, also in Tamil Nadu.
When fully operational in the third quarter of 2024, the solar and wind generation assets are estimated to meet up to 70% of the facility's anticipated electricity needs, displacing about 7000 kilotons of CO2 emissions throughout the life of the PPA. Furthermore, Cleantech Solar has contracted to purchase 150MW of India-made Series 7 panels from First Solar, with the modules powering the PPA's solar PV component. The modules are scheduled to be delivered in the first half of 2024.
"Our new manufacturing facility in Tamil Nadu sets a high benchmark for responsible and sustainable vertically integrated solar manufacturing, not just in India, but globally," says Sujoy Ghosh, VP and managing director of First Solar India. "By powering our operations with clean, renewably generated electricity, we are working to further reduce our environmental footprint, which is already the lowest in the industry," he said.
The Tamil Nadu plant of First Solar, which is located in a region of significant baseline water stress, is thought to be the world's first net-zero water withdrawal solar manufacturing facility. It will be designed to have zero wastewater discharge and will rely exclusively on tertiary filtered reverse osmosis water from the city's sewage treatment plant. The factory also houses India's first PV solar recycling plant. First Solar claims to have pioneered high-value solar recycling, which includes closed-loop semiconductor recovery for use in new modules as well as the recovery of other materials such as aluminum, glass, and laminates.
“This collaboration extends beyond powering First Solar’s flagship manufacturing facility in India; it involves leveraging their advanced, ultra-low-carbon thin-film solar panels to energize our solar assets,” says Cleantech’s CEO Sachin Jain. "Cleantech has a significant presence in the renewable energy sector in the state of Tamil Nadu, particularly in wind and solar." Our region's cutting-edge solar and wind energy parks play a critical part in delivering clean, cost-competitive power to our renowned clients, including First Solar," he says.
"This collaboration enables our partners' efforts to diversify their energy sources, integrate renewable energy into their operations, and achieve a higher degree of stability and sustainability in their power supply," Jain said. "This partnership exemplifies our commitment to advancing sustainable energy solutions and reinforces our position as a key player in the renewable energy landscape."
The agreement is thought to be one of India's largest intra-state PPAs, and projects being developed across Cleantech Solar's renewable energy parks in Tamil Nadu are already delivering solar, wind, and hybrid energy solutions to corporate customers. Cleantech Solar's entire portfolio size in Tamil Nadu is now nearly 500MW throughout operational and development stages, including solar, wind, and hybrid power projects, according to this latest deal.