First Solar to supply up to 100 MW per year of CdTe thin-film photovoltaic modules in Japan

Photovoltaic power systems maker First Solar (Tempe, AZ; NASDAQ:FSLR) and XSOL Co., Ltd. (Kyoto, Japan), a leading distributor and integrator of solar systems in Japan, have signed an agreement to supply First Solar's cadmium telluride (CdTe) thin-film photovoltaic modules in Japan. The agreement targets installation of 100 MW per year.

Last year, First Solar announced plans to invest $100 million in development of very large solar-power projects in Japan. This agreement with XSOL enables First Solar's CdTe technology to be supplied to smaller-scale projects as well.

First Solar says its CdTe thin-film technology generates up to 8% more energy than conventional crystalline silicon modules, and that the better temperature coefficient of CdTe leads to greater energy yield in warmer climates.

Two worries exist about CdTe technology: 1) Cadmium is toxic; this problem can be lessened by recycling old CdTe photovoltaic modules. 2) World tellurium supplies are limited.

"First Solar already has in place a globally-proven module recycling program, enabling us to meet our commitments to save the global environment and broaden solar-power accessibility," says Akira Waki, Director for XSOL.

In regard to the safety of the cadmium-containing solar cells, Xsol notes that they have already been confirmed to be safe by international research institutes including the University of Tokyo.

Another U.S. manufacturer of CdTe photovoltaic modules, Abound Solar (Loveland, CO), filed for bankruptcy in 2012.

Sources: http://investor.firstsolar.com/releasedetail.cfm?ReleaseID=862193 and http://techon.nikkeibp.co.jp/english/NEWS_EN/20140729/367966/