Shanghai Electric Power to invest USD 58m in solar projects in Japan

Jul 17, 2014 - Chinese power producer Shanghai Electric Power Co Ltd said Thursday it will raise the capital of its wholly-owned subsidiary in Japan by some CHY 358.9 million (USD 57.8m/EUR 42.8m) to provide funding for four photovoltaic (PV) projects of a combined 132 MW.

The company’s unit Shanghai Electric Power (Japan) Co Ltd will use the money to invest in a 76.5 MW PV project in Fukushima, a 2.4 MW scheme in Osaka, a 4.8 MW plant in Hyogo and the 48 MW PV park in Tochigi Prefecture. The sum may even increase, depending on the progress and results.

The investment is in line with Shanghai Electric Power's strategy of expanding abroad and developing green energy projects, the company added. The power producer entered the Japanese PV market earlier this year by hooking to the grid the first 2.4 MW phase of a solar park in Osaka on May 18. When completed, the three phases are expected to have a capacity of 15 MW.

The company, a unit of China's industrial conglomerate Shanghai Electric Group (HKG:2727), has a total installed capacity of 7.17 GW on equity basis, chiefly in coal and gas power plants in China. Wind and solar operations are still at a nascent stage, making up 0.8% and 0.6% of the total, respectively.

(CNY 1 = USD 0.161/EUR 0.119)

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