PVTIME - Canadian Solar Inc. (the "Company", or "Canadian Solar") (NASDAQ: CSIQ), announced today that it has commenced construction on one of the largest commercial and industrial ("C&I") rooftop solar projects in Malaysia, in collaboration with Antah Solar Sdn. Bhd. and Eleaps Sdn. Bhd. The 5 MWp project will span an area of over 26,000 m2, and is located in Penang, Malaysia.
The 5 MWp power purchase agreement was signed with Muda Paper Mills Sdn Bhd ("Muda Paper"), a subsidiary of Muda Holdings Berhad, listed on the Bursa Malaysia Securities Berhad since November 1984 (KLSE: 3883). Muda Paper is the largest industrial-grade paper producer in Malaysia. The project will be powered by 13,000 pieces of Canadian Solar's high-efficiency KuMax modules. Once in operation, the plant is expected to generate approximately 6,700 MWh of clean, reliable solar electricity each year for 25 years. The Company expects the project to reach commercial operation by the end 2020.
Dr. Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar, commented, "This transaction marks our first corporate solar PPA in Southeast Asia. We have secured close to 170 MWp of corporate PPAs across Southeast Asia and Australia since the beginning of 2020, partnering our C&I clients to reduce carbon emissions while cutting operational costs. With our proven track record and established C&I pipeline, we expect to partner with more corporates to capture the growing potential of the global C&I solar market and help our customers to achieve their sustainability goals. We appreciate DEG's funding to support Canadian Solar's expansion across this region."
DEG, or Deutsche Investitions- und Entwicklungsgesellschaft, a subsidiary of Germany's development bank KfW Group and one of the world's largest private sector development financiers, will provide the Company with a US$20 million long-term loan facility. This loan matures in 2024 and will be deployed across Canadian Solar's solar pipeline, including the Muda Paper C&I rooftop project, demonstrating the Company's commitment to promote social and environmental goals in its project development activities.