Linyang Grid-Parity Solar

completed

The proposed investment is for a loan of up to US$60 million to support Jiangsu Linyang Energy Co., Ltd., (“the company”), a renewable energy company publicly listed on the Shanghai Stock Exchange (601222.SH) to advance its grid-parity ground-mounted solar power generation projects in four coastal and central provinces (Jiangsu, Anhui, Shandong, and Hebei) in China with a total generation capacity of up to 299MW.  The company provides engineering, procurement, and construction (EPC) services to its clients in China by installing rooftop and ground solar power stations, and also owns and operates its own ground solar power stations, with a total of 51 ground-mounted solar power generation stations (“ground stations”) in the above-mentioned four provinces. To supplement power generation revenue and to support local development, where conditions are suitable for agriculture, the company operates “under-the-panel” cash cropping activities (i.e. planting, harvesting, and sale of horticultural and medicinal crops) at ground photovoltaic (PV) stations.  The company-managed planted area comprises about 1,450 hectares (ha), with the remaining footprint of 600 ha rented out to local rural community members to undertake their own agricultural income generation activities. The proposed IFC financing, by supporting the company’s expanded solar power generation capacity, will contribute to reducing the greenhouse gas footprint of the electricity sector in China.