First Solar Signs PPA with Cleantech Solar to Power India Manufacturing Facility

TEMPE, Ariz. & CHENNAI, January 4, 2024 –First Solar, Inc. (Nasdaq: FSLR) announced that it has entered into a 15-year, captive Power Purchase Agreement (PPA) with Cleantech Solar, a leading provider of renewable energy solutions to corporations in India and Southeast Asia. Under the agreement, Cleantech Solar will construct 150 megawatts (MW) of photovoltaic (PV) solar and 16.8 MW of wind-generating assets in Tamil Nadu, India, supplying approximately 7.3 gigawatt-hours (GWh) of clean electricity to First Solar’s new 3.3-gigawatt (GW) vertically integrated solar manufacturing facility, also located in Tamil Nadu.

When fully commissioned by the third quarter of 2024, the solar and wind generation assets are expected to provide up to 70% of the facility’s anticipated electricity needs. They are expected to displace almost 7,000 kilotons of CO2 emissions over the duration of the PPA. Furthermore, Cleantech Solar has agreed to procure 150 MW of advanced, India-made Series 7 thin film solar panels from First Solar, utilizing the modules to power the solar PV component of the PPA. The modules are expected 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,” said Sujoy Ghosh, vice president and managing director, 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.”

First Solar’s Tamil Nadu plant, located in an area of high baseline water stress, is believed to be the world’s first net-zero water withdrawal solar manufacturing facility. The facility is designed to minimize its impact on local water resources and will rely entirely on tertiary treated reverse osmosis water from the city’s sewage treatment plant and have zero wastewater discharge. Additionally, the factory is home to India’s first photovoltaic (PV) solar recycling plant. The company pioneered high value solar recycling, which provides closed-loop semiconductor recovery for use in new modules, while also recovering other materials including aluminum, glass, and laminates.

First Solar’s responsibly produced, advanced thin film photovoltaic (PV) modules set industry benchmarks for quality, durability, reliability, design, and environmental performance. The company’s solar modules have the lowest carbon and water footprint of any commercially available PV module today, and it’s the first PV manufacturer to have its product included in the Electronic Product Environmental Assessment Tool (EPEAT) global registry for sustainable electronics.

“We are delighted to announce our strategic partnership with First Solar. 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,” said Sachin Jain, chief executive officer, Cleantech Solar. “Cleantech has a substantial presence in the state of Tamil Nadu within the renewable energy sector, particularly in Wind and Solar. Our state-of-the-art solar and wind energy parks in the region play a pivotal role in delivering clean and cost-competitive power to our esteemed clients, including First Solar.”

Jain added, “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. This partnership exemplifies our commitment to advancing sustainable energy solutions and reinforces our position as a key player in the renewable energy landscape. We look forward to a mutually beneficial relationship with First Solar, contributing to the growth and success of both organizations.”

The agreement is believed to be one of the largest intra-state PPAs in India and the projects being developed across Cleantech Solar’s renewable energy parks in Tamil Nadu are already providing solar, wind, and hybrid energy solutions to its corporate customers. With this latest agreement, Cleantech Solar’s total portfolio size in Tamil Nadu now stands at nearly 500 MW across operations and construction stages, and includes solar, wind and hybrid power projects.