(EnergyAsia, April 13, Monday) --- The US Export-Import Bank said it has approved a total of $61 million in long-term financing to support exports of photovoltaic (PV) solar modules by SolarWorld Industries America to South Korea’s Gochang Solar Park Co Ltd.

The exports were used in five solar power-generation projects and helped to sustain jobs at the company’s manufacturing plants in Camarillo, California, and Hillsboro, Oregon.

Ex-Im Bank said its five separate loan guarantees are supporting loans provided by the Private Export Funding Corp (PEFCO). Ex-Im Bank’s financing also covers $10.2 million of local costs for installation. The repayment term for each of the loans is 13.5 years.

All five solar-energy projects, completed and in operation since September 2008, are located on a 97-acre site near the city of Gochang in southwestern South Korea. The projects collectively are generating and transmitting 15 megawatts of renewable energy per hour that is sold to the Korean electric utility company, Korea Electric Power Corp, for its grid under a 15-year agreement that includes a subsidised feed-in tariff program from the Korean government.

The transactions were originally financed in the Korean market to expedite the construction of the projects and ensure completion by the deadline to receive a favourable subsidised feed-in tariff rate.

The initial Korean financing has been converted to Ex-Im Bank’s long-term loan guarantees.
Ex-Im Bank vice-chair Linda Conlin, the board member who leads the Bank’s Environmental Exports Initiative, said:

“Ex-Im Bank is pleased to support Solarworld USA’s exports for these projects because we want to help advance the competitiveness of US exporters and support jobs in the US.

“Ex-Im Bank’s long-term financing at economically viable interest rates ensures the sustainability of these projects in this important sector in Korea, which actively supports the development of renewable-energy sources.

Raju Yenumandra, vice president of sales and marketing at SolarWorld Industries America, said:

“Ex-Im Bank’s financing for these five large projects in the fast-growing Korean market is especially helpful in the global credit crunch that we are experiencing. These projects supported green manufacturing jobs in California and Oregon and have helped us to expand our US production capacity and hire more American workers.”

SolarWorld Industries America, also known as SolarWorld USA, is a subsidiary of SolarWorld AG, one of the world’s largest solar-energy companies. It has approximately 600 US employees at its PV-module manufacturing plant in Camarillo, California, and its silicon-wafer production facilities in Hillsboro, Oregon, and Vancouver, Washington.

Financing for the five projects was arranged by TSI Renewable Ventures (TSI-RV) of Pasadena, California, a developer of renewable-energy, grid-connected power facilities.

TSI-RV CEO and President Michael W. Stoddard said: “Our company is involved in developing and financing renewable-energy projects around the world. In all cases, financing is critical for the development of these projects overseas. Ex-Im Bank has provided a tremendous boost to this industry by helping to finance these solar projects in Korea.”