US and Chinese solar giants do business

First demonstration project to benefit both firms.

U.S. thin film photovoltaic maker First Solar, Inc. has partnered with Zhenfa New Energy Science & Technology Co., Ltd. on its first commercial demonstration project China. First Solar uses cadmium telluride (CadTel) as a semiconductor to produce panels that are less expensive than those manufactured from crystalline silicon.

First Solar will supply 2 megawatts of its thin-film CadTel PV modules to one of Zhenfa's solar projects in Xinjiang province. The project is to begin in the first quarter of 2013. Thin-film PV is just starting to take root in China.

The project will be First Solar’s first commercial demonstration project First Solar said China has the potential to become one of the largest, if not the largest, solar markets in the world and can consequently help drive down the cost of solar electricity significantly by helping the industry scale and invest in technology improvements. China’s energy policy for 2012 has set a target for China’s ‘installed generating capacity of solar energy at 21GW by 2015.

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