China Wind Power loaned $80.6 million to develop 70 MW solar projects

China Wind Power (CWP) – one of China‘s leading renewable energy companies – has received a loan of 490 million CNY ($80.6 million) to develop two Chinese PV projects with a combined installed capacity of 70 MW.

Financed by state-owned lender China Development Bank (CDB), this latest CWP project adds to the company’s 150 MW of PV installations to date, all backed by the CDB to the tune of approximately $250 million.

The renewable energy company will use the funds – acquired on a 15-year long-term project loan – to develop a 50 MW solar farm in Yongren, Yunnan Province, and an additional 20 MW solar farm near the city of Delingha in Qinghai Province. CWP wholly owns both projects, and has also revealed that it has been given the green light by Chinese authorities to develop 530 MW of solar projects elsewhere in the country. Meanwhile, an additional 410 MW pipeline of projects has been approved and is pending construction.

Across the board, CWP has attained project development rights from China’s regional authorities to install more than 5 GW of solar PV over the coming decade.

"We are grateful to CDB for its strong support for the Company’s solar power projects,“ said CWP’s CEO and executive director, Yang Zhifeng. "With the continuous financial support from CDB, this will allow CWP to shift from the joing venture power plants investment model to develop and invest in more wholly owned power plants.

"Thus, with the change in such investment model, power generation will gradually constitute a greater portion of the Group’s revenue and profit. Benefiting from a series of positive national policies and guidance, the solar industry will pose a favorable development opportunity. We will seize this new opportunity, fully utilize our advantages and experience to increase quality solar resources and develop more solar power projects. CWP will gradually push forward our solar power generation business to become our core business and major profit contributor to the Group."

Despite the company’s moniker, CWP appears to have placed an enormous amount of faith in a solar future. Earlier this year the company entered into a stratetic cooperation agreement with a subsidiary of China National Nuclear Corp., – CNNC Rich Energy – in order to further explore both solar and wind project potential. The partnership has jointly developed some 100 MW of solar and wind projects in 2013, with an additional 200 MW of PV installations scheduled by 2015.