Solar EnerTech Targets Solar Cell Manufacturing to Meet Projected Market Growth
Solar EnerTech Corp. announced that the company is ramping up towards its near term goal to quickly achieve solar cell manufacturing capabilities to meet rapidly increasing demand in the solar power market, which grew 55% last year according to a newly published research report. Clean Edge, Inc. reports the solar photovoltaic (PV) market grew to $11.2 billion in 2005 and estimates it will reach $51.1 billion by 2015. Solar EnerTech is focused on the development and manufacture of quality solar cells, new applications and advanced technologies to take advantage of the burgeoning opportunity in the solar industry.
The Clean Edge report asserts that the clean energy market has gained considerable momentum and represents one of the fastest-growing technology sectors in the world. According to its research, solar PV (including modules, system components, and installation) is up 55% over 2004 and will grow from an $11.2 billion industry in 2005 to $51.1 billion by 2015.
The research also notes that a shortage of silicon feedstock materials is posing a challenge for the solar industry as companies face hurdles acquiring enough high-grade silicon to keep pace with demand. Earlier this week Solar EnerTech reported the execution of a Letter of Intent with PAIS Industries Group whereby PAIS Industries would supply the company with 1,200 metric tons of solar grade silicon ingots for a duration of three years. The intent of the LOI is to supply Solar EnerTech with silicon feedstock needed to manufacture its solar cells and ensure access to affordable materials regardless of industry-wide shortages or price shifts. The arrangement is contingent upon completion of a formal agreement between PAIS Industries and the government of the Inner Mongolia Autonomous Region to allow PAIS the rights to develop and process locally mined silicon into a marketable solar grade end product.
The construction of Solar EnerTech's new solar cell manufacturing plant in Shanghai is running ahead of schedule and within budget. The projected production capacity for its facility is estimated at an output of 20mw per production line. At current prices this projection translates into roughly $37.5 million dollars in annual revenue per line. The company's strategic plan is to have the initial 20mw in production by fourth quarter of this year.