Feb. 04, 2011
Participation in a 9.7MW photovoltaic power generation project in the Region of Puglia in southern Italy
Sumitomo Corporation (President and CEO: Susumu Kato; Head Office: Chuo-ku, Tokyo; hereinafter, "Sumitomo") participated in a 9.7MW photovoltaic power generation project in the Region of Puglia in southern Italy. This is our first large-scale solar power project in the country, making Sumitomo's cumulative installed PV power about 30MW, the largest among Japanese companies*1.
*1 Including the Les Mees project in southern France to be started in May 2011
Originally, S.A.G. Solarstrom AG (hereinafter, "SAG"), a major photovoltaic developer in Germany, started photovoltaic projects and built plants, establishing two wholly owned project companies (with 5MW and 4.7MW power each), which have recently started commercial operation. Sumitomo has acquired an 85% stake in each of the project companies.
In Italy, a Feed-in Tariff scheme has been introduced to promote renewable energy use, with electricity generated by the project to be sold to GSE (Gestore dei Servizi Energetici), a governmental enterprise, for 20 years for around €43 cents/kWh (around 47 yen/kWh).
Italy, together with Germany and France, is one of the countries whose photovoltaic market expansion is expected to be the most promising. Regarding this project as a bridgehead to cultivate the Italian market, Sumitomo will continue to engage in solar energy generation projects to further increase its photovoltaic business assets globally as well as in Italy.
Location: Outskirts of Brindisi, the Region of Puglia, in the southern part of Italy
Total project cost: Approx. €45 million (approx. 5 billion yen)
Controlling share: Sumitomo and Sumitomo Corporation Europe, 85%; SAG, 15%
Electricity purchaser: Gestore dei Servizi Energetici (GSE)
Project period: 20 years (Feed-in Tariff validity period)
Subsidy: Approx. €43 cents/kWh (approx. 47 yen/kWh）
Plant construction: SAG
Module supplier: Yingli, China (the world's fifth largest module producer in 2009)
Name: S.A.G. Solarstrom AG
Chief Executive Officer: Dr. Karl Kuhlmann
Location: Freiburg in Breisgau, Germany
Sales: €153 million (approx. 16.8 billion yen)
Year of establishment: 1998
Number of emploees: Approsximately 175
Map: The photovoltaic site is located in the south of the Region of Puglia
The power-generating site dotted with solar panels
Corporate Communications Department,