Yingli Solar to Add 50MW of Solar Power in Hubei Province - Analyst Blog
Solar panel manufacturer Yingli Green Energy Holding Company Limited YGE, also known as Yingli Solar, is constructing a 50 megawatt (MW) solar power plant in Huangshi City, Hubei Province, China. Construction work on the solar project has already started in abandoned mining land. The plant is expected to begin commercial operation from the fourth quarter of 2015.
The emergence of China as a manufacturing and industrial superpower led to rising energy demand. Historically, China’s increasing demand for electricity to run its factories and support extensive urbanization was fed by coal. This inevitably led to widespread pollution. The Chinese government is now determined to curb carbon pollution and encourage alternate resources for power generation.
The universal availability of sunlight and the presence of high quality solar panel makers in the country will help China to meet its ambitious solar energy generation target of 70 gigawatts (GW) by 2017. Reclaiming the land that has been degraded due to mining could also provide an environmentally friendly solution for the construction of big solar projects. These generally require large stretches of land. Yingli Solar’s current project is a pilot effort being built on reclaimed mining lands.
Yingli Solar will utilize 100 hectares of land in western Huangshi City, a region known for extensive mining operations. The project will install about 170,000 YGE 72 Cell Series multicrystalline solar panels that are expected to generate approximately 55,000 megawatt-hours of green electricity annually. Once operational it will lower coal consumption by nearly 22,000 tons and eliminate over 50,000 tons of greenhouse gases.
In January this year, Yingli Solar announced it would add a 20 MW solar power plant in China's Xinjiang Province and completed a 10 MW project in Hebei Province.
We expect to see more such solar projects coming up in China if it were to realize its goal of generating 20% of its total consumption from renewable sources by 2030. This will definitely boost the prospects of Chinese solar cell producers like Yingli Solar, JA Solar Holdings Co., Ltd. JASO, JinkoSolar Holding Co., Ltd. JKS and Trina Solar Limited TSL among others.
Yingli Solar currently has a Zacks Rank #3 (Hold).
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