Solar Energy Initiatives Inc. today announced it has inked a contract for the design, construction and operation of a 300-megawatt solar park in west Texas. The agreement is in line with a grass roots campaign, â€œRenew the Nation,â€ which was put in play to supply employment in the U.S., as well as to reduce the global dependence on fossil fuels.
The company will sell solar thermal and photovoltaic (PV) technologies to a Limited Liability Company that will be formed to own, finance and operate the solar park. According to the press release, the dimensions of the project signify Solar Energyâ€™s position in the marketplace, as well as the dedication of its management.
“Solar Energy Initiatives is thrilled to have secured such a monumental contract,” David Fann, CEO of Solar Energy stated in the press release. “The size and scope of this venture represents a significant milestone in establishing the Company as a true market leader within the rapidly expanding solar deployment sector. It is an incredible testament to our management team and board of directors that we have been successful in securing the contract to build the largest non-utility owned solar park.”
Solar Energy anticipates generating up to $750 million in revenue within six years, and more than $100 million in sales in the first year of development. The companyâ€™s estimates are based on the sale of solar panels and do not include the sale of electricity.
When the park reaches full capacity, it is expected to generate enough clean energy to displace about 700,000 metric tons of carbon emissions each year, providing enough energy to power about 60,000 homes. Fann stated that the company expects the contract to lead to more contracts on a municipal scale.
“As we continue to attract additional funding for these projects from our partners we will bid on new projects that make strong economic sense for our company. The deployment of these large scale projects will enhance our ability to negotiate panel prices with solar panel providers which will enhance our overall margins and drive our profitability,â€ Fann stated. â€œManagement believes that the signing of the solar park contracts will assist us in working with additional municipalities and land owners to obtain additional contracts, increase our earnings and achieve our primary goal of improved shareholder value.”
The company will commence initial activities for the park within the next 18 months, and additional constructions throughout the park will be completed in increments over the next six years.