The US’s FLS Energy is embarking on an ambitious drive to install multiple solar facilities around the state of North Carolina.
According to a statement from the company, FLS Energy is to purchase 13.2 MW of solar modules from JA Solar as part of a 37 MW portfolio. In addition, a report in The Charlotte Business Journal detailed how the company has achieved financing through tax equity and debt financing for 38 MW of solar construction. The same report stated that the company had achieved $100 million dollars of financing and was looking to repeat the feat later this year.
Dale Freudenberger, CEO of FLS Energy, said that the purchase of panels for the 37 MW portfolio was a reflection of the company’s continued growth in the utility scale solar market. He added, We are scheduled to triple the amount of solar we installed in 2013 and having partners such as JA Solar providing high quality and reliable equipment is vital to our success.
The reason for the truncated timeline in raising financing and for the company’s bold plans in building such large-scale installments in such a short time is due to the tax credits awarded by the State of North Carolina. Quoted in The Charlotte Business Journal, Zoe Hanes, general counsel for FLS Energy, said, We are in a big push to build momentum between now and 2016, when the state tax credits end.
Under current State Law, the Renewable Energy Tax Credit (Corporate) stands at 35%, with an incentive maximum of $2.5 million per installation. These tax credits are scheduled to end on December 31, 2015. North Carolina has recently become a hotbed of solar activity; in January, according to NPD Solarbuzz’s North America PV Markets Quarterly, the State ranked second on the list for installed solar PV in the US for 2013. And, in the same month, Canadian Solar was selected by the National Renewable Energy Corporation to supply 25.3 MW to four utility-scale plants in the state. The deal with Canadian Solar will see the company deliver over 80,000 modules to the state counties of Fort Wayne and Duplin.