Soltech Group signs order in China that provide approximately SEK 11.2 million during the contract period
Advanced Soltech’s subsidiary in China, has signed an order with ShenZhou ZheDong Agricultural Trade Development Co. The order concerns the installation of a solar energy plant of 0.8 megawatts (MW) and is estimated to generate annual revenues of approximately SEK 0.56 million, or approximately SEK 11.2 million during the agreement’s 20-year term. The investment in the facility, which will be wholly owned by ASRE, amounts to approximately SEK 4.34 million and construction is scheduled to start no later than the second quarter of 2021.
Advanced Soltechs CEO Max Metelius comments:
-Our focus is to continue to contribute to climate benefits by investing in economically sustainable solar energy plants. Today, our portfolio of solar plants contributes to reducing CO2 emissions by well over 100,000 tons per year, which we are very proud of.
For further information please contact:
Max Metelius, CEO Advanced Soltech Sweden AB (publ) Tel: 072- 316 04 44. E-post: firstname.lastname@example.org
Certified Adviser of the company is FNCA, Tel: 08-528 00 399 E-mail: email@example.com
About the China venture
In China ASAB operates through, its wholly owned local subsidiaries Advanced Soltech Renewable Energy (Hangzhou) Co. Ltd, ASRE and Longrui Solar Energy (Suqian) Co. Ltd. The business model consists of financing, installing, owning, and managing solar energy installations on customers’ roofs in China. The customer does not pay for the plant, but instead undertakes to buy the electricity that the plant produces under a 20-year agreement. Current income comes from the sale of electricity to customers and from subsidies. The goal is to have an installed capacity of 1,000 megawatts (MW) by 2023, which is fully connected to the electricity grid by 2024.
ASAB is 50.82 % owned by Soltech Energy Sweden AB (publ), 48.82% by Soltech’s Chinese partner, Advanced Solar Power Hangzhou Inc and 0.36% by several holders of preference shares