One of the world’s leading solar module manufacturers and projects developers, Yingli Green Energy, has announced a joint venture aimed at the development of solar PV power plants in Africa.
Yingli Green Energy Holdings announced earlier this month a partnership with Namene Energy International, a leading renewable energy projects developer in Africa, to work together to set up 100 MW of utility-scale and 50 MW of rooftop solar power projects in Ghana and other African countries.
Yingli Green Energy and Namene Energy will each hold 50% equity stake in the joint venture. Namene Energy is already working on a utility-scale solar power plant in Ghana, with construction on the project expected to started in 2017.
The companies shall tap banks and other financial institutions to set up the projects, while Yingli Europe will supply the modules for the projects.
Africa is one of the fastest emerging solar power markets with several companies from the developing as well as developed world looking for investment opportunities. Egypt and South Africa are currently the most attractive markets, however other smaller economies are also attracting investments. Ghana, specifically, is taking significant regulatory measures to promote renewable energy. Earlier this year, the President of Ghana announced that the levy on petroleum products will be increased to $0.02 per litre. A part of the revenue raised from this levy will be used to establish the Renewable Energy Fund. Additionally, a levy of $0.02 will be charged on a per kWh basis on electricity transmitted. Revenue from this levy, too, will be used for supporting solar power projects.
Earlier this year, IFC InfraVentures and Scatec Solar announced a joint venture to develop 33 MW solar PV project in Mali. Last year, Scatec Solar also joined hands with the Norwegian investment fund for developing countries (Norfund) to set up solar power projects in developing and least developed countries in Africa, Asia, and South America.