First Solar Inc. (FSLR:US), the biggest U.S. panel maker, will build 45 megawatts of photovoltaic projects in India’s Telangana state.
The Tempe, Arizona-based company has signed a 20-year contract with state-run utility Southern Power Distribution Co. to sell power at an average of 6.49 rupees (10.7 cents) a kilowatt-hour, according to an e-mailed statement today.
First Solar is pursuing deals to build large solar farms in the Middle East, India, Australia and South America as revenue from utility-scale projects slow in the U.S., where the market is shifting to smaller, rooftop installations.
First Solar has so far only supplied panels in India. The agreement with Telangana marks the first time it is developing a project, according to the statement.
The capacity will be built at two sites in Mahabubnagar district and will generate enough to power 92,000 homes in Telangana. The plants will be completed by May 2015.
To contact the reporter on this story: Natalie Obiko Pearson in New Delhi at firstname.lastname@example.org
To contact the editors responsible for this story: Reed Landberg at email@example.com Indranil Ghosh, Abhay Singh